The Regulations on the Efficient Use of Energy encourages the development and use of renewable energy sources in Costa Rica. The regulation exempts equipment used for renewable energy from import duties and provides several tax exemptions (e.g. excise tax, ad valorem tax, general sales tax, specific customs tax). Tax exemptions cover equipment including PV panels, solar water heaters, and wind and hydro equipment for private electricity generation.
The law specifies additional mechanisms to support clean technologies and rational use of energy. Among others, it mandates large consumers (> 240 MWh/year) to develop energy plans that include energy efficiency and renewable energy options.