March 6, 2016

Procedure on feed-in tariff premium approved

On 26 February 2016, the Procedure on determining the level of use of Ukrainian-made equipment on electricity objects that produce electricity from alternative sources of energy and establishment of the relevant premium to feed-in tariffs became effective.

We note that premium to the feed-in tariff (throughout its term of validity) is applied in case of use of equipment of Ukrainian origin at the electricity objects that produce electricity from alternative sources of energy, if such objects are commissioned between 1 July 2015 and 31 December 2024. However, such premium to the feed-in tariff is not applicable to electricity objects of private households.

The certificate issued by the authorized body, which certifies compliance of the constructed object with the project documentation and its operational readiness, or the registered declaration on operational readiness of the constructed object serves as confirmation of the fact and date of commission.

If equipment of Ukrainian origin is used at least on the level of 30%, the premium to the feed-in tariff will be 5%. If equipment of Ukrainian origin is used at least on the level of 50%, the premium to the feed-in tariff will be 10%.

The Procedure stipulates that Ukrainian origin of equipment shall be confirmed by the certificate on Ukrainian origin issued by the Ukrainian Chamber of Commerce.

In order to apply premium to the feed-in tariff on the basis of the requirement of Ukrainian origin, the applicant shall submit its application along with the following documents to the National Commission for State Energy and Public Utilities Regulation:

  • explanatory note on any equipment of Ukrainian origin along with the relevant origin certificates and documents that certify ownership (possession) to such equipment;
  • calculation of the level of use of Ukrainian origin equipment;
  • information on contractors (general contractors), which performed well drilling works at the electricity objects that produce electricity from geothermal energy.

The application and supporting documents are considered by the National Commission for State Energy and Public Utilities Regulation within 30 business days.

Further information on feed-in tariff reform

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