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Spain Gets 907 Solar Parks to Accept Lower Price (Update1)
2010-10-29 15:20:23.743 GMT
(Adds solar trade group comments from fourth paragraph.)
By Marc Roca
Oct. 29 (Bloomberg) -- Spain, seeking to hold down
electricity prices, convinced 907 solar-power installations to
receive lower subsidized rates in return for avoiding
investigations over permit violations.
The solar parks, with a combined 64.6 megawatts in
capacity, will avoid investigation of whether they illegally
earned the highest subsidized rates, or feed-in tariffs, the
Industry Ministry said today in a statement.
Savings to consumers, who pay the subsidies in their power
bills, will total 430 million euros ($595 million) over 25
years, the government estimated. The amnesty group represents
about 10 percent of the more than 9,000 installations the energy
regulator is probing on suspicion of falsely claiming
eligibility for the top rate.
"The 64.6 megawatts that signed up for the amnesty prove
that there was a significant level of fraud," Tomas Diaz,
spokesman for the trade group ASIF said by e-mail. "They
represent about 10 percent of the 600 to 800 megawatts in
suspicious capacity, according to our calculations."
Projects with 955 megawatts in capacity were sent letters
in late September requesting all relevant paperwork be sent
within two months, so more information on fraud levels and any
related savings will be known in late November or early
December, according to the trade group spokesman.
Spain is seeking to reduce the impact of solar energy on
electricity bills as solar plants claimed more than half the 5
billion euros in renewable-power subsidies paid in 2009 while
providing only about 11 percent of zero-emission power consumed.
The 907 generators will earn 32 euro cents a kilowatt-hour
under the 2008 rule, instead of 46 cents under the 2007 law.
The government gave a two-month amnesty period on Aug. 6 to
plants it suspected may have falsely claimed they met all of the
criteria to earn the highest subsidized price available before
it was reduced after September 2008.
Those found guilty in further investigations will lose all
subsidies and could face legal actions, providing further
savings to consumers, the ministry said.
For Related News and Information:
Top renewable energy page: GREEN <GO>
Energy top news: ETOP <GO>
Most-read solar news: MNI SOLAR <GO>
--Editors: Todd White, Jonas Bergman
To contact the reporter on this story:
Marc Roca in London at +44-20-3216-4638 or
mroca6@bloomberg.net
For related news:
Alternative-energy stories: NI ALTNRG <GO>
Solar-energy search: NSE "SOLAR ENERGY" <GO>
Power markets: VOLT <GO>
Renewable-energy markets: RENE <GO>
Top renewable-energy news: GREEN <GO>
--Editors:
