Biofuels energy policy in
Greece
General
In
Greece the most important contribution to renewable energy regards the
generation of electricity by large hydropower. The country has been an
early mover in solar thermal energy, and is still among the countries
with a high penetration of solar thermal.
The Greek Renewable
Energy Source Act (Law 3468/2006) is in place as of 2006, focusing on
simplification of the permitting system for the RES investments in
Greece, and also the definition of electricity feed-in-tariffs system,
applicable for the sales of RES-produced electricity to the grid. The
tariffs are adjusted annually for inflation and/or increases in retail
electricity prices
Next to the system of feed-in tariffs renewable energy projects may
be financially supported in the framework of the National Development
Law 3522/2006, through tax exemptions or direct project subsidies
(ranging form 34% to 55% and up to a maximum of 20 million euro).
Special point of attention is the hybrid system for the storage of RES
produced electricity in the non-interconnected islands.
According to the draft Directive of the European Parliament and of
the Council on the promotion of the use of energy from renewable
sources the target for the share of energy from renewable sources in
gross final consumption of energy in the year 2020 for Greece is 18%
(in the year 2005 the share was 6.9%) (European Parliament legislative
resolution of 17 December 2008).
Renewable energy
projections according to the National Renewable Energy Action Plan for
Greece
The National Renewable Energy Action Plan (NREAP) for Greece was
submitted in July 2010. The target according to Annex I of Directive
2009/28/EC is 18% for the year 2020 and the projected NREAP share in
that year exactly matches the target. According to the
projection, the most important contribution in the year 2020 is
expected from wind power (16.8 TWh or 1444 ktoe, 33% of all renewable
energy). Second important contribution is expected from biomass
(renewable heating and cooling) (1222 ktoe, 28% of all renewable
energy). The third largest contribution is from hydropower (6.6 TWh or
565 ktoe, 13% of all renewable energy). Wind power contributes in the
year 2020 with onshore wind (7.2 GW and 16.1 TWh) and offshore wind
(0.3 GW and 0.7 TWh). For solar photovoltaic the 2020 contribution is
projected to be 2.2 GW (2.9 TWh). For solar thermal the 2020
contribution is projected to be 355 ktoe. The two most important
biofuels are projected to contribute 203 ktoe (biodiesel) and 414 ktoe
(bioethanol / bio-ETBE) by 2020. The renewable electricity production
from solid biomass amounts to 0.4 TWh (31 ktoe) and for biogas it is
expected to be 0.9 TWh (77 ktoe). The consumption of renewable heat is
expected to amount to 1222 ktoe for solid biomass and is not specified
for biogas.
Renewable transport
fuels: biofuels
According
to the L.3340/2005 the excise tax for biofuels has been zero for the
years 2005 to 2007. The law imposes the obligatory use of all detaxed
biodiesel in the existing biorefineries (in up to 5% blend). The
detaxed quantities are decided on an annual basis under a quota scheme.
For 2006, 14 investors applied for detaxed biodiesel production, that
amounts to the 91,000 m3 set for 2006 and 114,000 m3 for 2007. A higher
number of investors have expressed interest in investing on biodiesel
in the coming years. The market for pure biodiesel does not exist at
the moment but is expected to be developed slowly in the coming years.
In 2005, the new law L3423/2005 transposed Directive 2003/30/EC in the Greek
legal system en provided for the introduction of biofuels into the oil market.
Pure biodiesel is blended by four Greek oil refineries in diesel used in
transport up to 5% by volume. In 2009, a standard was adopted formally and the
maximum biodiesel percentage was increased to 7%. Biofuel quantities are
allocated every year, after a relevant call for tenders and an evaluation and
allocation procedure, to stakeholders, producers or importers, who are
interested in participating in this quota system. A target of 182 million liters
of pure biodiesel was set for blending for the period of July 2009 to June 2010.
In 2009, only a part of the pure biodiesel produced in domestic biodiesel plants
(47.5%) came from domestic energy crops, mainly sunflower and rapeseed, as well
as cottonseed and used vegetable oils and animal fats of Greek
origin.
Circulation taxes for personal vehicles do not apply to hybrid,
electric and hydrogen passenger cars with a cylinder capacity of 1,929 cc or
less, whereas for similar vehicles with a higher cylinder capacity the
circulation taxes are half of those applied to other new passenger cars. Also,
hybrid are excluded from the traffic restrictions in the city of
Athens.
The Investment Incentives Law 3299/2004, modified by law
3522/2006, Article 37, being valid for the period 2007-2013 emphasises regional
convergence and on the provision of important incentives for new investment
projects might be applicable. In this law, renewable energy investments are
supported as technology changes and are not the main purpose of the law. The
percentage varies with size of investing company as well as the region of the
country, ranging from 20% to 40%.
Future programme changes
expected
No information available.
Sources
Ministry of Economy and Finance,
http://www.mnec.gr/en/metarithmisi/investment (sourced August 2008)
Interactive EurObserv’ER Database, http://www.eurobserv-er.org (status
2007)
Ministry
of development, Directorate general for energy, Renewable energy
sources and energy saving directorate, Hellenic republic, 4th National
Report Regarding The Penetration Level Of Renewable Energy
Sources Up To The Year 2010, Athens, October 2007. Download at
http://www.ypan.gr/docs/D.T.(14-12-07)4th%20National%20Report%20RES.doc (Sourced January 2008)
Ministry of development, Directorate
general for energy, Renewable energy sources and energy saving
directorate, Hellenic republic, Law 3468/2006, Generation of
Electricity using Renew-able Energy Sources and High-Efficiency
Cogeneration of Electricity and Heat and Miscellane-ous Provisions
(Official Gazette A’ 129/27.06.2006). Download at
http://www.ypan.gr/docs/LAW_3468-2006__RES.doc (Sourced
January
2008)
Directive 2009/28/EC of the European Parliament and of the Council
of 23 April 2009 on the promotion of the use of energy from renewable
sources and amending and subsequently repealing Directives 2001/77/EC
and 2003/30/EC (Entry into force on June 25th, 2009), download from
http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:32009L0028:EN:NOT
The National Renewable Energy Action Plans (NREAPs) are all published
on the Transparency Platform on Renewable Energy: http://ec.europa.eu/energy/renewables/transparency_platform/action_plan_en.htm
(sourced July - December 2010)
Renewable Energy Projections as
Published in the National Renewable Energy Action Plans of the European
Member States, http://www.ecn.nl/nreap
(sourced December 2010)
Interactive EurObserv’ER Database
http://www.eurobserv-er.org
Last update: June 2011
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EurObserv'ER
Database, http://www.eurobserv-er.org (date of last update)'
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