The Energy Transition Bill has set up a new support scheme for electricity produced from renewable energy sources which consists of a feed-in-premium scheme. This scheme will be applied to installations which capacity larger than 500 kWc, in compliance with the European Commission regulation on state aid (applicable since January 2016).
Feed-in-premiums will be granted through 2 pathways either through :
- direct contracting, where eligible technologies will be able to sign a contract for 15 to 20 years with a compelled entity, or
- through competitive tenders, where only the winners will be able to sign a contract for 15 to 20 years.
Technologies eligible for direct contracting: hydropower under 1 MW, waste incineration, biogas from landfill and waste water treatment plant above 500 kW, geothermal power plants, onshore wind.
Technologies subjected to tendering: small hydropower (1- 4,5 MW), biomass, biogas above 500 kW, Solar PV above 500 kWc.
This programme is in force as of May 2016 with the publication of two decrees (n°2016-682 et n°2016-691).