Poland plans new subsidies for the biomass market

Poland is planning a new law for renewable energies. Different remunerations will be introduced which will depend on the type of power generation for the first time ever. Small plants that burn only biomass and utilise excess heat will receive more than four times the compensation that large, coal-fired plants without heat recovery and which only co-incinerate biomass received. Currently, the co-incineration of biomass is prevalent in coal-fired power plants. In the future, pure biomass power plants and the promotion of CHP will be better rewarded. This will lead to new project opportunities at industrial sites with large volumes of biomass. This is the conclusion reached by a study conducted by ecoprog GmbH in cooperation with local partners.About half of Polish electricity from renewable energy sources is derived from biomass, nearly a third from co-incineration. The reasons for this large proportion are, on the one hand, the considerable biomass potential of Poland and, on the other hand, the large number of coal-fired power plants in the country. These produce about 90 % of electricity in Poland. Thirty out of thirty-nine Polish coal-fired power plants burn biomass. The ecological evaluation of co-incineration is becoming increasingly critical in Poland, as excess heat is mostly wasted. At the approximately 450 locations that would be suitable for this, due to the large biomass potential produced by factories in the wood and furniture industry, only eleven biomass power plants are in operation. Currently, the law is stuck in the Polish parliament. In particular, the large state-owned utilities are opposed to a reduction of subsidies for co-incineration. Due to the delay of the new law, the prices of renewable energy certificates have collapsed. The Renewable Energy Act is due to take effect in the second half of 2013.

Katharina Ertmer

 

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