New draft for combined heat and power law

The federal economy ministry has made changes to the reform of the combined heat and power (CHP) law, after last month’s agreement with the EU Commission on state aid questions. The changes include the introduction of tenders for governmental support for facilities with a capacity of 1 to 50 megawatts. Also, existing CHP facilities used for self-consumption will continue to be exempt from paying the renewables surcharge. The German Chemicals Industry Association (VCI) welcomed some of the changes. “Putting higher burdens on existing facilities would have hurt the competitiveness of many industry locations,” its director-general said in a press release.

Find the new draft of the reform law in German here.

Read the VCI press release in German here.

For background read the CLEW article Agreement with EU Commission clears way for German power market reform.