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Biogas in Spain
whole spectrum of renewable energy policies is laid down in the Program
for Promotion of Renewable Energies 2005-2010 (PPER or PFER in
Spanish). Revised version of PFER 2000-2010, the strategic target of
PFER is to achieve by 2010 a 12% of primary energy consumption by
renewables, through a joint combination of subsidies, tax exemptions
and feed-in-tariffs for electricity production.
Renewable heat and electricity: biogas As
a result of rising electricity price in recent years, the producers of
renewable electricity had increased revenues within the previous
feed-in system, in which both feed-in tariffs and premi-ums were
coupled to the reference electricity price or average electricity
tariff (AET). In order to impulse biogas production in Spain, in May
2007 adjustments were introduced in Royal De-cree 661/2007 “Regulating
the electricity production under the special scheme”,  that
im-proved both the fixed tariffs and the premiums for biogas
generation, distinguishing among in-stallations with a capacity of less
or equal than 500 kW and installations with a capacity of more than 500
kW. According to RD 661/2007 the premiums and fixed tariffs are no
longer coupled to reference electricity price. Besides, in case of
premium, a cap and floor has been introduced per each category of
renewables. The floor is the lowest level of premium plus electricity
price, and the cap is the maximum electricity price to where a premium
is still paid.
This new system protects the promoter when the
income derived from the market price is too low, and removes the
premium when the income is high enough to ensure breaking even.
premium tariffs are paid on an hourly basis. The amounts of tariffs,
premiums, supplements and cap&floor limits will be annually updated
having the consumer price index (CPI) as a reference minus 25% until
the 31st December 2012 and minus 50% since then. Besides, during
2010, in view of the results of the follow-up reports on the degree of
fulfillment of the targets set out in the national “Renewable Energies
Plan (PER) 2005-2010” as well as the new objec-tives included in the
following national Renewable Energies Plan for the period 2011-2020,
the review of tariffs, premiums, supplements and cap&floor limits
will take place, bearing in mind the costs associated with each of
these technologies, the extent of participation in the special scheme
in the meeting of the demand and its effect on the technical and
economical system, al-ways guaranteeing reasonable profitability rates
with reference to the price of money on the capital market. After that,
every four years a new revision will be done, maintaining the criteria
RD 661/2007 also establishes an objective for reference
installed capacity for category b.7 (in which biogas is included) of
250 MW, which is coherent with the targets set in the national
“Renewable Energies Plan 2005-2010”.
The 2007 tariffs, premiums and cap&floor for biogas are presented below .
Period 1 (years)
Fixed price period 1 (€ct/kWh)
Fiwed price period 2 (€ct/kWh)
Reference premium priod 1 (€ct/kWh)
Reference premium period 2 (€ct/kWh)
Future programme changes expected
No information on future policy.
Source:  Royal Decree 661/2007. 25th May 2007
 Rodrigo Gonzalo, M.: Personal communication. IDAE, June 2008