The plan contains various measures to cater for the loss in capacity due to the run-down of nuclear energy and to increase import capacity by extending connections with other countries.
The profitability of existing power stations should be improved, including by means of competitive injection tariffs, market reform of support services and an exemption from the federal levy on natural gas used for the production of electricity.
A public tender procedure will also be launched to attract the requisite new investments for gas-fired power stations with a capacity of 800 MW. In this regard, flexible support will be granted for a period of six years as from the date of industrial commissioning, in line with rules yet to be laid down in detail. The assessment criteria will be: the level of requested financial support, technical performance, capacity to resolve intermittence and peak demand problems, the date of commissioning, and increasing competition on the production market. The royal decree and the bill of conditions governing this public call for tenders should have been tabled for approval by the government on 19 July 2013.
The decision to extend Tihange 1 nuclear power station by ten years is confirmed, with the transition to more renewable energy being made easier and the cost to the consumer being reduced. The precise economic and financial terms of extending Tihange 1 (audit of production costs by the CREG, reasonable compensation for the owners and distribution of the receipts) should have been tabled with the government for approval on 19 July 2013. A maximum of one-third of the receipts held back by the State in return for the extension will be used to support the aforementioned new investments needed for gas-fired power stations and to offset the exemption from the federal levy on natural gas used for electricity production; two-thirds will be put towards reducing the contribution by families and businesses to the development of offshore wind parks.
In addition, a strategic reserve is being created that can be activated at times when the risks of supply certainty cannot be covered by the market. This will be done by means of creating competition with temporarily closed production sites that are situated “outside the market” and with planned temporary uncoupling of major industry.
Finally, new connections to foreign countries (the UK, Germany) and with offshore wind parks should ensure an increase in the physical and commercial electricity import capacity.
The plan was approved at the core cabinet meeting held on 5 July this year and now requires to be further developed.
