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Polish Legislature Passes New RES law: Great News for Biogas

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I have argued for several years that auctions are singularly ill-suited for biogas projects. The upfront cost of developing a biogas project is proportionally more than other RES technologies, so the risk of not obtaining support at the completion of project development is very high. See discussion on Polish Biogas Association on support mechanisms.  In English here. More discussion here.

Now the new government has recognized this and provides for biogas plants up to 1 MW to receive an guaranteed level of support. The reference prices have now also been adjusted to allow for profitable biogas projects that are well-structured and utilize heat. See Polish Biogas Association comments on reference prices 2015.  The direct sale of electricity is also allowed for these small projects which enormously incentivizes cooperation with food and meat plants that can provide their wastes in a nearby biogas plant. The full legislative text will be finalized shortly.

The critical issue now is the le…