The important role of energy storage in the amendment to the RES Act

Published: Updated: Estimated reading time: 6 minutes

On April 25, 2023, the Council of Ministers gave its approval to the proposed amendment to the Renewable Energy Sources (RES) Act. Under document number UC99, this amendment introduces several significant modifications within the national energy sector, aimed at expediting the adoption of the European Union’s Renewable Energy Directive II (RED II).

Changes in important areas

The proposed amendment to the RES Act outlines six primary areas that will undergo changes, along with an additional section encompassing miscellaneous regulations:

  • Biomethane: The amendment addresses regulations concerning the production and use of biomethane, focusing on its role in the renewable energy sector.
  • Energy Clusters: The draft introduces provisions related to the establishment and operation of energy clusters, aiming to enhance collaboration and efficiency within the renewable energy domain.
  • Transposition of RED II: The amendment aligns the RES Act with the requirements of the European Union’s Renewable Energy Directive II (RED II), ensuring seamless integration of EU energy policies.
  • Modernization of RES Installations: This section emphasizes the modernization of existing renewable energy installations, encouraging upgrades to enhance their efficiency and overall performance.
  • Continued Support for Expired RES Installations: The draft outlines provisions for extending support to renewable energy installations that have reached the end of their initial 15-year support period, aiming to sustain their operation and contribution to the energy mix.
  • Hybrid RES Installations: The amendment addresses regulations pertaining to hybrid renewable energy installations, focusing on integrating multiple energy sources for optimal performance and grid stability.
  • Other Regulations: This category encompasses miscellaneous regulations that contribute to the overall objectives of the RES Act amendment.

These proposed changes are intended to facilitate the implementation of the EU’s RED II directive and enhance the effectiveness of renewable energy initiatives within the domestic energy sector.

Biomethane and clusters with important regulations

The proposed changes in the amendment highlight the significance of biomethane in achieving climate objectives. To accomplish this, regulations are being introduced to support the growth of biomethane production. These regulations are designed to attract investors towards establishing facilities for producing and purifying biogas or biomethane, along with modernizing existing infrastructure.

The draft amendment addresses the following key aspects:

  • Defining Biomethane: A clear definition of biomethane and its installed capacity will be introduced.
  • Business Activity Rules: Specific guidelines will be established for businesses involved in biogas or biomethane production from biogas.
  • Register of Producers: A registry will be established to track and manage biogas producers, ensuring transparency.
  • Subsidy System: A subsidy system, known as feed-in-premium, will be implemented to financially incentivize producers who inject biomethane into the gas network.
  • Guarantees of Origin: A mechanism for guarantees of origin will be introduced to authenticate biomethane production.

Apart from biomethane, the proposed amendment also addresses the advancement of energy clusters. These changes are intended to benefit a range of recipients, including local communities, energy producers, entrepreneurs, local government units, housing communities, and cooperatives. The document defines what constitutes an energy cluster, outlines the rules for forming such clusters, specifies the scope of their activities, and designates their operational areas. Additionally, the amendment establishes a registry to record these energy clusters and introduces a bonus mechanism to encourage the use of self-generated energy within these clusters. These adjustments aim to foster cooperation among diverse entities, enhance energy efficiency, and provide opportunities for eco-friendly energy practices within local contexts.

RED II transposition, or time to catch up

It’s evident that aligning with RED II requires significant efforts. Thus, the subsequent section of the UC99 proposal focuses on incorporating the directives in various key areas:

  1. Heating and Cooling (as detailed in Articles 23-24 of RED II).
  2. Guarantees of Origin (outlined in Article 19 of RED II).
  3. Creation of a National RES Contact Point (as per Article 16 of RED II).
  4. Streamlining Administrative Procedures (covered by Articles 15-16 of RED II).
  5. Implementation of Additional RED II Regulations.

In practical terms, these provisions aim to facilitate a gradual increase in the utilization of Renewable Energy Sources (RES) for heating and cooling purposes. Among the proposed measures is the introduction of more stringent conditions for the obligation to connect to heating networks, aligning with the requirements of the RED II directive.

Other changes worth noting

The draft amendment to the RES Act encompasses several notable changes, including:

  • Building Permit Exemption for Photovoltaic Installations: Photovoltaic installations with a capacity of up to 150 kW would be exempt from the requirement for a building permit.
  • Modernization Support System: A support system for modernization will be introduced, applicable to RES installations older than 15 years. This pertains to modernization expenses of at least 25% of the costs of a new reference RES installation.
  • Simplified Investment Process: The investment process will be streamlined through the development of regulations concerning contracts for selling electricity generated from renewable sources.
  • Expanded Options for RES Producers: Producers of Renewable Energy Sources (RES) in installations with a capacity below 500 kW will have the choice to sell energy to either the obligated seller or any entity through the auction system.
  • Tenant Prosumers: Regulations for tenant prosumers will be simplified, making it easier for tenants to become producers and consumers of renewable energy.

Hybrid RES installations and energy storage

A specific segment of the project focused on hybrid Renewable Energy Source (RES) installations. A significant alteration in this domain is the incorporation of energy storage into the definition of such installations. According to the outlined document, an RES installation can be classified as hybrid once it meets three specific criteria.

One of these conditions necessitates the presence of an energy storage facility utilized solely for storing electricity generated by the equipment within this installation. Additionally, the proportion of energy supplied to the power grid through the electricity storage mechanism should amount to at least 5% annually, excluding any renewable energy sourced from the grid and verified by a guarantee of origin.

This adjustment in the definition seeks to enhance the stability of the distribution network without the necessity for rapid expansion, while concurrently increasing the efficiency of hybrid RES installations. Grid stability is further promoted by permitting electricity to be drawn from the grid for storage, contingent on the utilization of an appropriate metering and billing system.

Sources: gov.pl; gramwzielone.pl

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