The European Commission has given the green light to a €3.2 billion Czech scheme aimed at supporting the production of electricity from new and modernised high efficiency combined heat and power (CHP) plants until 31 December 2025.
Eligible beneficiaries include operators of new or modernised CHP installations that meet the high-efficiency cogeneration criteria as defined in the Energy Efficiency Directive. The scheme excludes projects powered by solid fossil fuels, diesel, and oil, while projects involving natural gas must plan to switch to renewable and low-carbon gases by 2050. The aid will be delivered as a feed-in premium for each MWh of electricity produced, determined through competitive tenders.
The Commission's assessment confirmed that the scheme promotes economic activities, particularly in high-efficiency CHP plant electricity production, with a significant incentive effect. The competitive tender process ensures transparency and fair competition, and the scheme is expected to save approximately 9.3 million tonnes of CO2 annually.
For further information, see Commission’s Press Release