On Thursday, 17 September, the European Commission published an implementing act containing the rules related to the new EU mechanism aiming to stimulate investment in renewable energy as of January 2021.
“This mechanism [...] will encourage cooperation between Member States and give a practical boost to our green recovery efforts in the coming years”, European Commissioner for Energy Kadri Simson stated gladly.
Provided for by the EU regulation on the governance of the energy union (2018/1999), adopted in December 2018 (see EUROPE 12151/14), this mechanism aims to make it easier for Member States to work together on renewable energy (see EUROPE 12481/10).
In concrete terms, it will enable ‘contributing Member States’ to make voluntary financial contributions to the scheme. The mechanism will pool all these contributions and then allocate funding to ‘host Member States’ (countries in which the renewable energy projects will be established) through a system of competitive tenders.
The Commission—which will be responsible for managing this new mechanism—specifies that the energy produced will count towards the renewable energy targets of all participating countries (contributors and hosts).
Private investors can also contribute.
See the implementing act: https://bit.ly/2HaRL3v (Original version in French by Damien Genicot)