On Monday 24 October, the European Commission announced that it has authorised German aid for a high-output cogeneration plant. It also opened an in-depth investigation into reductions granted to some users in the surcharges imposed to finance the aid.
"Cogeneration plants not only produce electricity but also put to use the heat generated in the process. The German cogeneration support scheme we approved today can make an important contribution to EU energy and climate goals. It improves the integration of highly efficient electricity cogeneration into the market whilst keeping electricity prices low for customers", said Margarethe Vestager, the European commissioner responsible for this issue.
The aid is financed by a surcharge (a cogeneration tax) on electricity generated using cogeneration that is received by grid managers in addition to fees for access to the grid. The German authorities have made reductions for users of large amounts of energy each year and for some high-energy industrial users. These reductions reduce the surcharge they would otherwise have to pay and therefore constitute state aid. The Commission will examine whether these reductions in the cogeneration surcharge might have been necessary to make the financing of cogeneration aid schemes viable. (Original version in French by Élodie Lamer)