Czech Senate Approves Ending State Support to Renewables in 2014

The Czech Senate passed a law to end state support for most green-power projects starting up from next year as the government seeks to cut costs for consumers.

The upper house approved the law drafted in July, according to the website of the Senate, the nation’s sole legislative body after the lower house was dissolved before an election.

Subsidies for renewables, particularly solar, have raised prices for households and industry in the past three years as costs are passed onto consumers. That has threatened industry’s competitiveness, Prime Minister Jiri Rusnok said in July.

Solar plants connected to the grid after Dec. 31 won’t get subsidies. Hydro, wind and biomass power plants that received construction permits this year will be eligible for support if they’re completed before the end of 2014. Hydro plants with less than 10 megawatts of capacity will be eligible for subsidies.

Before it's here, it's on the Bloomberg Terminal.