Country:Honduras
Year:2007 (Oct 2nd)
Policy status:In Force
Jurisdiction:National
Date Effective:2007 (Oct 2nd)
Date Amended:

Accord 1562-2011: 2011 (Nov 30th): Provisions for licensing projects of electric generation for projects under 3000 kW;
Decree 138-2013: 2013 (July 25th);

Policy Type:Regulatory Instruments, Economic Instruments, Economic Instruments>Fiscal/financial incentives, Economic Instruments>Fiscal/financial incentives>Tax relief
Renewable Energy Policy Targets:Multiple RE Sources, Multiple RE Sources, Power
Policy Sector:Electricity, Framework Policy
Size of Plant Targeted:Small and Large
URL:http://www.poderjudicial.gob.hn/juris/Leyes/Ley%20de%20Promocion%20a%20la%20Generacion%20de%20Energia%20Electrica%20con%20Recursos%20Renovables.pdf
URL:http://www.tsc.gob.hn/leyes/Ref_art_2_ley_promocion_energia_electrica_2013.pdf
URL:http://www.tzibalnaah.unah.edu.hn/bitstream/handle/123456789/1234/20111130.pdf?sequence=2&isAllowed=y
Legal References:Decree 70 of 2007
Renewable Energy Description:

The Law for the Promotion of Electric Power Generation with Renewable Resources, approved under Decree 70-2007 aims to promote public or private power generation projects through renewable resources. The law aims to:

  • Facilitate the investment and development of renewable energy resources;
  • Introduce reforms in the process of granting permits to speed up studies and construction of new power generation from renewable resources;
  • Create new sources of direct employment in the rural sector during construction of projects;
  • Increase the efficiency of the national grid through increased distributed generation;
  • Promote competition among a larger number of agents;
  • Improve the quality of life of the inhabitants in rural areas, and
  • Find new alternatives to traditional energy sources.

It establishes that renewable energy producers, in addition to direct contracting procedures can participate in auctions from the public utility National Electric Energy Company (Empresa Nacional de Energía Eléctrica, ENEE).

Amended:

Accord 1562 of 2011 creates a registry of small renewables energy producers, and set transmission charges of USD 0.01/kWh for renewable energy projects.

Decree 138 of 2013 extends the incentives that the Decree 70-2007 offers to renewable energy projects, such as exoneration of income tax, import duties and concession fees (except for hydropower); tax credits on pre-investment expenditures; while also extends the incentives to off-grid projects for distributed generation. It clarifies and redefines benefits for RE generation projects. 

Decree 138 of 2013 established net metering for users under 250 kW.

It also establishes a special incentive for PV projects - fixed the duration of the 10% incentive at 15 years, and an extra premium of USD 0.03/kWh - that had started the operation before August 1st, 2015, limited to under 50 MW projects, and not exceeding 300 MW total installed capacity.

Decree 138 of 2013 also exonerates from all construction permit fees the renewable energy projects that provide an environmental impact assessment.

Related policies:Law of Electrical Industry (Ley General de la Industria Electrica) , Incentives Law for Renewable Energy Generation (Ley de Incentivos con fuentes renovables)
Related Documents:

To download Law on the Promotion of  Electric Power Generation with Renewable Resources oh Honduras please click here

In order to download related documents please go to:

  • Accord 1562 of 2011 click here;
  • Decree 138 of 2013 click here;

Last modified: Fri, 24 Feb 2017 16:49:57 CET