The state stimulates the development of renewable energy production through three support mechanisms defined in the Law on the Promotion of Renewable Energy Use. These support schemes were introduced to encourage the development of the renewable energy sector in the Republic of Moldova (Law No. 10 of 26.02.2016) and to provide producers with more attractive opportunities to capitalize on the electricity generated from renewable sources.
Net Metering (for installations up to 200 kW): This mechanism allows energy producers to supply excess electricity to the grid, receiving compensation for their own consumption with the surplus produced.
The net metering mechanism enables holders of power plants with a capacity of up to 200 kW to generate electricity from renewable sources for their own use and to deliver surplus energy to the grid. This surplus energy can then be used to cover electricity consumption during periods when self-production is insufficient.
To benefit from this mechanism, the end consumer must meet certain conditions, such as generating energy from renewable sources, connecting to the grid, and owning a power plant with an installed capacity of up to 200 kW. Net metering beneficiaries are selected on a "first come, first served" basis and are limited to a total installed capacity that does not exceed 10% of the maximum load value of the distribution operator recorded in the previous year.
Fixed Tariff: This mechanism involves setting a fixed tariff for energy produced from renewable sources, providing eligible producers with a guaranteed payment for the energy supplied to the grid.
Fixed Tariff support schemes are implemented for different types of renewable installations, such as wind, photovoltaic, hydroelectric, and biomass and biogas cogeneration plants. Producers enrolled in this scheme benefit from fixed tariffs for the electricity produced, thus ensuring financial stability.
The Fixed Tariff support scheme was introduced with the adoption of Law No. 10 of 2016 on the promotion of renewable energy use. This scheme targets producers who wish to invest in generation capacities ranging from 10 kW to 4 MW for wind installations and up to 1 MW for other types of generation units, such as photovoltaic, hydroelectric, and biomass and biogas cogeneration installations.
The National Agency for Energy Regulation (ANRE) confirms the status of eligible producers, according to the ANRE Decision on the Regulation for confirming the status of eligible producers.
Fixed Price: This mechanism involves auctions for fixed prices for larger renewable energy production projects. The National Agency for Energy Regulation (ANRE) has established fixed tariffs and ceiling prices for electricity produced from renewable energy sources in 2023. These tariffs vary depending on the type of technology used and the capacity of the installation. These mechanisms and initiatives highlight Moldova's efforts in promoting and developing renewable energy, aiming to achieve energy independence and environmental protection goals.
Net Billing: This mechanism represents a method of evaluating and compensating the electricity delivered to the grid by renewable energy producers. While the net metering mechanism measures the volume of electricity delivered to the grid in kilowatt-hours (kWh), net billing converts this into monetary value.
The National Agency for Energy Regulation is responsible for setting the prices for green energy supplied to and received from the grid, as well as developing the methodology for applying the mechanism. Renewable energy producers will receive monthly information on the amount of energy delivered or received from the grid. At the end of each year, a balance will be made, and producers will be notified if they have supplied more than they received from the grid.
Depending on the results of the annual balance, producers will receive financial compensation if they have delivered more energy to the grid than they have consumed. The net billing mechanism encourages the production and supply of surplus green energy, offering financial rewards to producers involved in generating renewable energy.