Renewable Market Watch™ is not just another market research firm. Renewable Market Watch™ is delivering strategic insight about emerging and commercial drone markets. We partner with our customers to provide research and consulting reports in areas appropriate to their specific requirements.

Through its service Renewable Market WatchTM, the company provides independent sectors overview of the emerging renewable energy and commercial drone industries, customized analysis, market outlooks and sector studies.

What makes us different is the quality and accuracy of information, which is interpreted in the best way to take your investment decisions.

You may find relevant information our latest reports and analyses here: http://renewablemarketwatch.com/country-reports

EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

TABLE OF CONTENTS

1. METHODOLOGY ...... 12 1.1. Methodology ...... 12 1.2. Limitations ...... 14 2. EXECUTIVE SUMMARY ...... 15 3. RENEWABLE ENERGY POLICY LANDSCAPE ...... 17 4. EUROPE ENERGY MARKET ...... 32 4.1. General Electricity Market Information ...... 32 4.2. Renewables in the Energy Sector ...... 40 4.3. Single Electricity Market in European Union (EU) ...... 44 5. EUROPE RENEWABLE ENERGY POTENTIAL AND MAPPING ...... 46 6. GLOBAL RENEWABLE ENERGY MARKET ...... 51 6.1. Market Overview ...... 51 6.2. Future Development Trends ...... 55 7. EUROPE CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET ...... 57 7.1. Key Market Drivers ...... 57 7.2. Key Industries Sourcing Electricity from Renewable Energy Sources (RES) in Europe ...... 59 7.3. Market Overview ...... 60 7.4. Future Development Trends ...... 65 8. COUNTRY PROFILES ...... 68 8.1. ALBANIA ...... 68 8.2. ARMENIA ...... 70 8.3. AUSTRIA ...... 72 8.4. AZERBAIJAN ...... 75 8.5. BELARUS ...... 77 8.6. BELGIUM ...... 79 8.7. BOSNIA AND HERZEGOVINA ...... 83 8.8. BULGARIA ...... 86 8.9. CROATIA...... 88 8.10. ...... 92 8.11. CZECH REPUBLIC ...... 95 8.12. DENMARK ...... 98 8.13. ESTONIA ...... 102 8.14. FINLAND ...... 104 8.15. FRANCE ...... 106 8.16. GEORGIA ...... 108 8.17. GERMANY ...... 110 8.18. ...... 113 8.19. HUNGARY ...... 117 8.20. IRELAND ...... 120 8.21. ITALY ...... 122 8.22. KAZAKHSTAN ...... 125 8.23. KOSOVO ...... 127 8.24. LATVIA...... 128

3 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

8.25. LITHUANIA ...... 132 8.26. MACEDONIA (FYROM) ...... 135 8.27. MALTA ...... 137 8.28. MOLDOVA ...... 139 8.29. MONTENEGRO ...... 141 8.30. NETHERLANDS ...... 143 8.31. NORWAY ...... 146 8.32. POLAND ...... 148 8.33. PORTUGAL ...... 152 8.34. ROMANIA ...... 156 8.35. RUSSIA ...... 158 8.36. SERBIA ...... 160 8.37. SLOVAK REPUBLIC (SLOVAKIA) ...... 162 8.38. SLOVENIA ...... 165 8.39. SPAIN ...... 168 8.40. SWEDEN ...... 172 8.41. SWITZERLAND ...... 175 8.42. TURKEY ...... 178 8.43. UKRAINE ...... 181 8.44. UNITED KINGDOM ...... 185 9. COMPARATIVE ANALYSIS OF CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET AND ATTRACTIVENESS INDEX IN EUROPE BY COUNTRIES ...... 189 10. COMPARATIVE ANALYSIS OF MANDATORY RENEWABLE ENERGY CAPACITY GENERATION TARGETS BY SECTORS AND COMPANIES IN EUROPE ...... 193 11. ELECTRICITY GRID NETWORK IN EUROPE ...... 197 11.1. Transmission System Operators (TSO’s) ...... 197 11.2. Distribution System Operators (DSO’s) ...... 201 11.3. Grid Connection Constraints ...... 206 12. CORPORATE POWER PURCHASE AGREEMENT (PPA) CONTRACT MODELS AND STRUCTURES 207 13. COMPETITIVE LANDSCAPE. PROJECT DEVELOPERS AND INVESTORS IN EUROPE CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET ...... 211 14. COMPETITIVE LANDSCAPE. EPC COMPANIES, EQUIPMENT MANUFACTURERS, AND CONSULTANTS IN EUROPE CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET ...... 214 15. SWOT ANALYSIS OF EUROPE CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET ...... 217 16. RISKS ABOUT INVESTMENTS IN EUROPE CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET ...... 221 17. INVESTMENT TRENDS, POTENTIAL AND OPPORTUNITIES IN EUROPE CORPORATE RENEWABLE POWER PURCHASE AGREEMENT (PPA) MARKET ...... 225 18. CONCLUSIONS ...... 228 19. LIST OF ABBREVIATIONS ...... 230 20. REFERENCES...... 234 21. DISCLAIMER ...... 235

4 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

LIST OF MAPS, CHARTS AND TABLES

MAP 1: Transmission Grids System Map of Europe 2018 ...... 32 MAP 2: Exchange Balance of Physical Energy Flow Values in GW in Europe and Evolution between 2017 and 2018 ...... 33 MAP 3: Share of Renewables from Electricity Consumption in Europe, 2018 (in %) ...... 37 MAP 4: Solar Resource Potential of Europe ...... 46 Map 5: Wind Resource Potential of Europe ...... 48 Map 6: Biomass Resource Potential of Europe ...... 49 Map 7: Hydro Resource Potential of Europe ...... 50 MAP 8: The European Network of Transmission System Operators (TSO’s) for Electricity 2018 ..... 197 MAP 9: Map of RWE Group Operations in Europe ...... 203 MAP 10: Map of CEZ Group Operations in Europe ...... 204

Chart 1: Average Base Load Electricity Price in Selected European Countries (€/MWh): 2008 - 2018; Renewable Market WatchTM ...... 35 Chart 2: Forecast for RES Generation Capacity by Source Type in the EU to 2020 and 2030 (in GW) 39 Chart 3: New Installed and Decommissioned Power Capacity by Source Type in the EU in 2018 (in MW) ...... 41 Chart 4: Share of New Power Generation Capacities Added in the EU 28 in 2018 (MW) ...... 42 Chart 5: Annual Installed Power Generating Capacity (MW) and Renewable Share (in %) 2000 – 2018 in the EU ...... 43 Chart 6: Net Installed and Decommissioned Power Generation Capacity in the EU 28 for 2018 (in GW), ...... 43 Chart 9: World Installed Renewable Energy Capacity 2012 - 2040 in GW ...... 56 Chart 10: Global Cumulative Installed Renewable Power Capacity (in MW) by Source Type (Solar, Wind, Biomass, Hydro, Tidal) 2007 - 2027 ...... 56 Chart 12: Number of Companies Actively Sourcing Renewable Electricity and Corporate PPAs in Selected Europe Countries 2018 ...... 59 Chart 13: European Renewable Energy Cumulative Installed Capacity Segmentation by Country in 2018 (in MW) ...... 62 Chart 14: European Annual Renewable Energy Market Forecast 2007 - 2027 (in MW), Renewable Market Watch ...... 63 Chart 15: Cumulative Development Forecast of Corporate Renewable PPA Volume in Europe 2007 - 2027 (in MW), including estimates ...... 66 Chart 16: Cumulative Investment Volume in Renewable Power Capacity in Europe with Corporate PPA Contracts 2007 - 2027 (in Millions EUR), including estimates ...... 67 Chart 17: Cumulative Development Forecast of Corporate Renewable PPA Volume in Albania 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM; ...... 68 Chart 18: Cumulative Investment Volume in Renewable Power Capacity in Albania with Corporate PPA Contracts 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 69 Chart 19: Cumulative Development Forecast of Corporate Renewable PPA Volume in Armenia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 70 Chart 20: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Armenia 2006 – 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 71 Chart 21: Cumulative Development Forecast of Corporate Renewable PPA Volume in Austria 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 73

5 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Chart 22: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Austria 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 74 Chart 23: Cumulative Development Forecast of Corporate Renewable PPA Volume in Azerbaijan 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 75 Chart 24: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Azerbaijan 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 76 Chart 25: Cumulative Development Forecast of Corporate Renewable PPA Volume in Belarus 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 77 Chart 26: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Belarus 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 78 Chart 27: Cumulative Development Forecast of Corporate Renewable PPA Volume in Belgium 2006 – 2026 (in GW), including estimates; Renewable Market WatchTM ...... 80 Chart 28: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Belgium 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 82 Chart 29: Cumulative Development Forecast of Corporate Renewable PPA Volume in Bosnia and Herzegovina 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 84 Chart 30: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Bosnia and Herzegovina 2000 - 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 85 Chart 31: Cumulative Development Forecast of Corporate Renewable PPA Volume in Bulgaria 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 87 Chart 32: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Bulgaria 2007 - 2027 (in Millions EUR), including estimates...... 87 Chart 33: Cumulative Development Forecast of Corporate Renewable PPA Volume in Croatia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 90 Chart 34: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Croatia 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 91 Chart 35: Cumulative Development Forecast of Corporate Renewable PPA Volume in Cyprus 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 93 Chart 36: Cumulative Investment Volume Solar Photovoltaic (PV) Capacity in Cyprus 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 94 Chart 37: Cumulative Development Forecast of Corporate Renewable PPA Volume in Czech Republic 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 96 Chart 38: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Czech Republic 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 97 Chart 39: Cumulative Development Forecast of Corporate Renewable PPA Volume in Denmark 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 98 Chart 40: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Denmark 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 101 Chart 41: Cumulative Development Forecast of Corporate Renewable PPA Volume in Estonia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 102 Chart 42: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Estonia 2006 ÷ 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 103

6 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Chart 43: Cumulative Development Forecast of Corporate Renewable PPA Volume in Finland 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 104 Chart 44: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Finland 2006 ÷ 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 105 Chart 45: Cumulative Development Forecast of Corporate Renewable PPA Volume in France 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 106 Chart 46: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in France 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 107 Chart 47: Cumulative Development Forecast of Corporate Renewable PPA Volume in Georgia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 108 Chart 48: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 109 Chart 49: Cumulative Development Forecast of Corporate Renewable PPA Volume in Germany 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 110 Chart 50: Cumulative Investment Volume Solar Photovoltaic (PV) Capacity in Germany 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 112 Chart 51: Cumulative Development Forecast of Corporate Renewable PPA Volume in Greece 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 115 Chart 52: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Greece 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 116 Chart 53: Cumulative Development Forecast of Corporate Renewable PPA Volume in Hungary 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 117 Chart 54: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Hungary 2006 ÷ 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 119 Chart 55: Cumulative Development Forecast of Corporate Renewable PPA Volume in Ireland 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 120 Chart 56: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Ireland 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 121 Chart 57: Cumulative Development Forecast of Corporate Renewable PPA Volume in Italy 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 123 Chart 58: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Italy 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM 124 Chart 59: Cumulative Development Forecast of Corporate Renewable PPA Volume in Kazakhstan 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 125 Chart 60: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Kazakhstan 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 126 Chart 61: Cumulative Development Forecast of Corporate Renewable PPA Volume in Kosovo 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 127 Chart 62: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Kosovo 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 128 Chart 63: Cumulative Development Forecast of Corporate Renewable PPA Volume in Latvia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 130 Chart 64: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Latvia 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 131

7 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Chart 65: Cumulative Development Forecast of Corporate Renewable PPA Volume in Lithuania 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 132 Chart 66: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Lithuania 2006 ÷ 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 133 Chart 67: Cumulative Development Forecast of Corporate Renewable PPA Volume in Macedonia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 136 Chart 68: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Macedonia 2006 ÷ 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 136 Chart 69: Cumulative Development Forecast of Corporate Renewable PPA Volume in Malta 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 137 Chart 70: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Malta 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 138 Chart 71: Cumulative Development Forecast of Corporate Renewable PPA Volume in Moldova 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 139 Chart 72: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Moldova 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 140 Chart 73: Cumulative Development Forecast of Corporate Renewable PPA Volume in Montenegro 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 141 Chart 74: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Montenegro 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 142 Chart 75: Cumulative Development Forecast of Corporate Renewable PPA Volume in Netherlands 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 144 Chart 76: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Netherlands 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 145 Chart 77: Cumulative Development Forecast of Corporate Renewable PPA Volume in Norway 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 147 Chart 78: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Norway 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 147 Chart 79: Cumulative Development Forecast of Corporate Renewable PPA Volume in Poland 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 149 Chart 80: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Poland 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 151 Chart 81: Cumulative Development Forecast of Corporate Renewable PPA Volume in Portugal 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 152 Chart 82: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Portugal 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 154 Chart 83: Cumulative Development Forecast of Corporate Renewable PPA Volume in Romania 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 156 Chart 84: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Romania 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 158 Chart 85: Cumulative Development Forecast of Corporate Renewable PPA Volume in Russia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 159

8 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Chart 86: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Russia 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 160 Chart 87: Cumulative Development Forecast of Corporate Renewable PPA Volume in Serbia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 161 Chart 88: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Serbia 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 162 Chart 89: Cumulative Development Forecast of Corporate Renewable PPA Volume in Slovakia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 163 Chart 90: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Slovakia 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 165 Chart 91: Cumulative Development Forecast of Corporate Renewable PPA Volume in Slovenia 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 166 Chart 92: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Slovenia 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 168 Chart 93: Cumulative Development Forecast of Corporate Renewable PPA Volume in Spain 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 169 Chart 94: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Spain 2006 – 2026 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 171 Chart 95: Cumulative Development Forecast of Corporate Renewable PPA Volume in Sweden 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 172 Chart 96: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Sweden 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 174 Chart 97: Cumulative Development Forecast of Corporate Renewable PPA Volume in Switzerland 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 175 Chart 98: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Switzerland 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 177 Chart 99: Cumulative Development Forecast of Corporate Renewable PPA Volume in Turkey 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 178 Chart 100: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Turkey 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 180 Chart 101: Cumulative Development Forecast of Corporate Renewable PPA Volume in Ukraine 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 181 Chart 102: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Ukraine 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 184 Chart 103: Cumulative Development Forecast of Corporate Renewable PPA Volume in the United Kingdom 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM ...... 185 Chart 104: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in the United Kingdom 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM ...... 188 Chart 105: Adoption of Renewable Electricity Targets by Industry Sector in Europe by 2030 ...... 193 Chart 106: Forecast for Total Net Generation Capacity in the EU by Source Type by 2030 ...... 200

9 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Table 1: Global Top 10 Countries by Newly Installed Renewable Power Capacity (in MW) in 2018; Renewable Market WatchTM ...... 54 Table 2: European Renewable Energy Markets Split 2010 - 2018 (in MW and GW) ...... 60 Table 3: Feed-in-tariffs and Support Schemes for Renewable Energy in Albania ...... 69 Table 4: Feed-in-tariffs and Support Schemes for Renewable ...... 70 Table 5: Feed-in-tariffs and Support Schemes for Renewable ...... 72 Table 6: Feed-in-tariffs and Support Schemes for Renewable ...... 76 Table 7: Feed-in-tariffs and Support Schemes for Renewable ; Renewable Market WatchTM ...... 78 Table 8: Feed-in-tariffs and Support Schemes for Renewable ...... 79 Table 9: Subsidies for in Belgium ...... 82 Table 10: Feed-in-tariffs and Support Schemes for Renewable Energy in Bosnia and Herzegovina .. 83 Table 11: Feed-in-tariffs and Support Schemes for Renewable ...... 86 Table 12: Feed-in-tariffs and Support Schemes for Renewable ...... 89 Table 13: Feed-in-tariffs and Support Schemes for Renewable Energy in Cyprus ...... 92 Table 14: Feed-in-tariffs and Support Schemes for Renewable Energy in Czech Republic ...... 95 Table 15: Feed-in-tariffs and Support Schemes for Renewable ...... 100 Table 16: Feed-in-tariffs and Support Schemes for Renewable ; Renewable Market WatchTM ...... 103 Table 17: Feed-in-tariffs and Support Schemes for Renewable ...... 105 Table 18: Feed-in-tariffs and Support Schemes for Renewable ...... 107 Table 19: Feed-in-tariffs and Support Schemes for Renewable Energy in Georgia ...... 108 Table 20: Feed-in-tariffs and Support Schemes for Renewable ...... 112 Table 21: Feed-in-tariffs and Support Schemes for Renewable ...... 113 Table 22: Feed-in-tariffs and Support Schemes for Renewable Energy in Greece ...... 114 Table 23: Feed-in-tariffs and Support Schemes for Renewable ...... 118 Table 24: Feed-in-tariffs and Support Schemes for Renewable ...... 120 Table 25: Feed-in-tariffs and Support Schemes for Renewable ...... 122 Table 26: Feed-in-tariffs and Support Schemes for Renewable ...... 126 Table 27: Feed-in-tariffs and Support Schemes for Renewable Energy in Kosovo ...... 128 Table 28: Feed-in-tariffs and Support Schemes for Renewable ...... 129 Table 29: Feed-in-tariffs and Support Schemes for Renewable ...... 133 Table 30: Feed-in-tariffs and Support Schemes for Renewable Energy in FYR of Macedonia ...... 135 Table 31: Feed-in-tariffs and Support Schemes for Renewable ...... 138 Table 32: Feed-in-tariffs and Support Schemes for Renewable ...... 140 Table 33: Feed-in-tariffs and Support Schemes for Renewable Energy in Montenegro ...... 142 Table 34: Feed-in-tariffs and Support Schemes for Renewable Energy in Netherlands ...... 143 Table 35: Feed-in-tariffs and Support Schemes for Renewable ...... 146 Table 36: Feed-in-tariffs and Support Schemes for Renewable ...... 151 Table 37: Feed-in-tariffs and Support Schemes for Renewable ...... 154 Table 38: Green certificates, Feed-in-tariffs and Support Schemes for Renewable ...... 157 Table 39: Feed-in-tariffs and Support Schemes for Renewable ...... 159 Table 40: Feed-in-tariffs and Support Schemes for Renewable ...... 162 Table 41: Feed-in-tariffs and Support Schemes for Renewable ...... 164 Table 42: Feed-in-tariffs and Support Schemes for Renewable ...... 168 Table 43: Feed-in-tariffs and Support Schemes for Renewable ...... 170 Table 44: Feed-in-tariffs and Support Schemes for Renewable ; Renewable Market WatchTM ...... 173 Table 45: Feed-in-tariffs and Support Schemes for Renewable ...... 176 Table 46: Feed-in-tariffs and Support Schemes for Renewable ...... 179

10 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Table 47: Additional Incentives to Feed-in-tariffs for Electricity from Solar PV Sources in Turkey for Domestic Procurement...... 180 Table 48: Feed-in-tariffs and Support Schemes for Renewable ...... 182 Table 49: Local Content (Local Procurement) Requirements for Renewable Power Plants in Ukraine ...... 183 Table 50: Feed-in-tariffs and Support Schemes for Renewable Energy in the United Kingdom ...... 187 Table 51: Corporate Renewable PPA Market Attractiveness Index in Europe in 2018 ...... 189 Table 52: Companies with Achieved 100 % Renewable Electricity Targets in Europe in 2018 ...... 194 Table 53: Grid Connection and Access Regimes in the European Union (EU), 2018 ...... 198 Table 54: List of TSO's in Selected European Countries, 2018 ...... 200

© 2019, RENEWABLE MARKET WATCHTM - All rights reserved!

11 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

1. METHODOLOGY

1.1. Methodology

In this context the main component of our analysis is primary research derived from personal interviews and phone interviews with key industry leaders including, but not limited to board members, senior executives, chief technical officers, engineers, sales and marketing professionals. Research analysts of Renewable Market WatchTM communicate with key decision makers representing the entire value chain, including but not limited to developers, owners and asset managers of renewable power plants, manufacturers of renewable energy equipment (solar PV modules, wind turbines, inverters, mounting structures and cables, hydro turbines, etc.), stakeholders, lawyers, journalists, etc.

During the course of preparation of this analysis, secondary research has been conducted by our research analysts to support primary research done. Secondary research sources are duly quoted with footnote references on the pages where applicable. Thus the critical report components, which are primary and secondary research sources, combined with the extensive experience of research staff of Renewable Market WatchTM, are synthesized into the qualitative and quantitative analysis presented in this report. Nevertheless, all analysis process has excellent support with facts, where the facts are unknown, and then assumptions have been performed according to our methodology to ensure accurate representation of the current market situation.

During the course of preparation of this analysis, most of the information was independently verified where possible. Please note that where exact data was not available, common business sense was applied to validate the integrity and feasibility of the information.

The methodology employed in this market study is summarized below:

1. Research and analysis of the current political and economic climate in Europe relevant to the development of the renewable energy and particularly the corporate renewable PPA market; 2. Research of the development of the corporate renewable PPA market in Europe; 3. Research of all European Union Directives related to the corporate renewable PPA market; 4. Identification and research of all relevant organizations, associations and key people in every sector; 5. Research of the legislative framework, licensing regime and the procedures for grid connection of renewable energy projects in the corporate renewable PPA market; 6. Assessment of the main risks related to a potential investment in the corporate renewable PPA market; 7. Identification of problems and risks in corporate renewable PPA in general 8. Research of the opportunities for co-financing, including European funds, grant schemes, debt and equity capital and related; research of the mechanisms for application to European Union programs;

12 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Multinational and multicultural research team of Renewable Market Watch™ works as a trusted knowledge partner for our customers so that we can provide detailed reports in areas that are relevant for them. Our team of highly trained research analysts creates reports which provide you with information about the latest market trends.

We at Renewable Market Watch™ ask our employees to treat our customers, as they would wish to be treated. We are working to expand our capabilities and advance all services necessary to assist the effectiveness of our growing, worldwide customer base, while maintaining our reputation of competency and professionalism.

Our forecasts for future development of the corporate renewable PPA market in Europe built on the basis of the following scenarios:

 The “Low Case” scenario assumes rather pessimistic market behaviour with no major reinforcement or adequate replacement of existing support mechanisms, or a strong decrease/limitation of existing schemes. In this scenario, it is assumed that in countries close to transition, markets are significantly slowing down when Feed-in Tariffs (FiTs) or Green Certificates (GC’s) are phased out.  The “Medium Case” scenario assumes rather realistic market behaviour with some reinforcement or adequate replacement of existing support mechanisms, without a strong decrease/limitation of existing schemes. This scenario has higher probability compared to “Low Case” and “High Case” scenarios.  The “High Case” scenario assumes the continuation, adjustment or introduction of adequate support mechanisms, accompanied by a strong political will to consider renewable energy as a major power source in the coming years. Achieving this will also require removing unnecessary administrative barriers and streamlining grid connection procedures. Although market booms caused by inadequate support mechanisms are less likely to happen because of the growing exchange of best practices when designing support policies, they can still be observed in some cases, similarly to the “High Case” scenario.

Under these three scenarios, this report analyses the historical development of the corporate renewable PPA market in Europe and its potential for the future. Based on a bottom-up approach at country level, it presents aggregated figures and scenarios.

In this bottom-up approach, consolidated forecasts should be understood as a range of possible corporate renewable PPA market developments, with a high probability between the “Low Case” scenario as the lower boundary and the “High Case” scenario as the higher one. Lower or higher forecasts are of course possible as the history of the corporate renewable PPA market development has shown, but with a lower probability.

13 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

1.2. Limitations

This market report does not contain descriptions of each reviewed documents. We have only identified and discussed those documents and issues, which we regard as being material in the context of the corporate renewable PPA market in Europe countries. The accuracy of this report is dependent on the Reviewed Documents being true, complete, accurate and not misleading. This report is a key issues market study and does not purport to provide a very detailed description of all the facts that we have established in the course of the corporate renewable PPA market development in Europe.

We have not sought or received confirmation, information or clarifications from the counterparties to the agreements, arrangements or documents provided to us, nor from any other third party, as to the status of such agreement, arrangement or document, the relationship between the parties thereto or otherwise.

14 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

4. EUROPE ENERGY MARKET

4.1. General Electricity Market Information

The electric power sector in Europe is currently facing different changes and evolutions mainly in response to the three European Union (EU) energy-related challenges – environmental sustainability, security of supply, and competitiveness – within a context of growing electricity demand. These issues may also represent drivers for the further penetration of Distributed Power Generation (hereinafter simply Distributed Generation, or DG) technologies in Europe. In fact, several EU countries are already recording a gradual and steady upward trend in deploying distributed power sources.

MAP 1: Transmission Grids System Map of Europe, ENTSO-E 2018

This trend is also triggered by emerging technological solutions for more efficient, environmentally- friendly and small-size generating units. Additionally, to address the growing electricity demand, the traditional approach of adding new large generation and transmission capacity to the system is frequently hindered by social, economic and environmental constraints in building new high capacity infrastructures. These impediments may then contribute to further DG utilization. It has also to be remarked that the recent new targets for Renewable Energy Sources (RES) penetration in the EU (globally 20% of energy consumption covered by RES by 2020) will foster a rising DG deployment in the EU countries.

32 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

As stated by the European Commission in the European Strategic Energy Technology Plan (SET Plan), one of the key EU technology challenges for the next 10 years is to enable a single, smart European electricity grid to accommodate the integration of a large penetration of renewable and decentralized energy sources. Achieving a sustainable, interconnected European energy system requires extensive energy infrastructure changes, which represent one of the most important investments of the 21st century.

MAP 2: Exchange Balance of Physical Energy Flow Values in GW in Europe and Evolution between 2017 and 2018, ENTSO-E 2018

The volume of electricity that is supplied to the market is defined as the total net volume of produced electricity minus export plus import minus the electricity that is absorbed by pumping (pumped storage).

Three new distribution architectures are presently under development: Active Networks, MicroGrids, Virtual Power Plants. All of these systems - or a combination of them – represent possible schemes towards which today’s distribution systems may evolve in the mid-term in order to address the above issues. A MicroGrid project, based on the Cell concept and ongoing in Denmark, may become a paradigm of how to handle distribution and transmission systems with large DG penetration.

33 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Industry is the key consumer of electricity for the European countries (metallurgy, chemical industry, energy and machine construction), followed by households and transportation industry. The economy of the Central East Europe and South East Europe countries is overall more energy intensive than the average level for EU countries.

Electricity prices on European wholesale markets increased in 2018. Wholesale electricity market prices in Central Western European (CWE*) countries show an average increase of 24 percent. Electricity prices at wholesale markets in Europe increased, particularly due to increased prices of natural gas (+30%), coal (+5%) and CO2 emission allowances (+166%). Countries with a large share of electricity production from hydropower suffered from the dry summer, which led to higher electricity prices. For non-household consumers (defined for the purpose of this report as medium-size consumers with an annual consumption within the range of 500 MWh < consumption < 2 000 MWh), electricity prices during the second half of 2018 were highest among the EU Member States in Cyprus and Germany. The EU-28 average price in the second semester of 2018 — a weighted average using the most recent (2017) national data for the quantity of consumption by non-household consumers — was EUR XXXX per kWh.

90 83 82 77 80 74 69 70 66

60 49 50 46 46 47 42 40 39 40 37 37 29 30

20

10

0 Italy Turkey Hungary Switzerland France Germany Romania Bulgaria 2008 2018 (Market expectation)

Chart 1: Average Base Load Electricity Price in Selected European Countries (€/MWh): 2008 - 201834; Renewable Market WatchTM

In the second quarter of 2018 the European benchmark day-ahead baseload wholesale electricity price fluctuated in a narrow range of XXX €/MWh and reached XXX €/MWh on average. Although in Q4 2018 there were significant differences in wholesale electricity prices across Europe, in the Nordic

34 http://renewablemarketwatch.com/

35 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

5. EUROPE RENEWABLE ENERGY POTENTIAL AND MAPPING

To determine optimal ways of renewable it is necessary on the national level to have a general assessment of potential made of renewable energy sources on the assumption of existing at present stage technological possibilities of their use. Practically in all the European countries such work has been done or is being done at present.

First, we will start with the European solar energy potential. European solar radiation database was developed using a solar radiation model and climatic data integrated within the Photovoltaic Geographic Information System (PVGIS).

MAP 4: Solar Resource Potential of Europe50

Geographically all European countries are suitable for the production of photovoltaic energy throughout the whole year. The solar radiation potential on the European countries territory is considerable despite the large differences in the sunlight intensity between the various countries. Due to the geographical location solar energy potential of Southern Europe is higher than Northern

50 http://re.jrc.ec.europa.eu/pvgis/

46 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

7.3. Market Overview

While the integration of corporate renewable PPAs in the European market is still not so developed like in the USA, it also steered more innovative approaches by which the global corporate renewable PPA market sector seeks as a successful model for the future. Europe represents today a world-class demonstration project for the integration of renewable energy into the energy sector.

№ Country 2011 2012 2013 2014 2015 2016 2017 2018 1 Germany 2 Italy 3 France 4 UK 5 Spain 6 Belgium 7 Greece 8 Czech 9 Romania 10 Netherlands 11 Bulgaria 12 Austria 13 Denmark 14 Slovakia 15 Portugal 16 Slovenia 17 Luxembourg 18 Sweden 19 Lithuania 20 Cyprus 21 Malta 22 Hungary 23 Croatia 24 Poland 25 Finland 26 Latvia 27 Ireland 28 Estonia EU Total in GW Table 2: European Renewable Energy Markets Split 2011 - 2018 (in MW and GW)52

52 www.renewablemarketwatch.com

60 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

8.40. SWEDEN

Sweden is the second largest market in Europe for 2018 by cumulative volume of signed corporate renewable PPAs. The Nordic countries, Sweden, Denmark, Norway and Finland have the largest share of the Europe corporate renewable PPA market at the end of 2018. In the past 7 years we have seen more long term corporate renewable PPAs being entered into the Swedish market. In 2013, Google signed a 10-year Corporate PPA for all the electricity output from a large wind farm, to be used in another Nordic country. Google, IKEA and other large corporations have signed a number of PPAs in Sweden since then, and the trend is increasing, with aluminium corporate Norsk Hydro signing a 19- year PPA purchasing power from the Markbygden wind farm in northern Sweden in November 2017, one of the world's largest corporate wind PPAs. Wind energy accounts for 97% of corporate PPAs in Sweden.

By the end of 2018, Sweden had a total cumulative volume of signed corporate renewable PPAs of XXX GW. Renewable power capacity growth in Sweden under corporate renewable PPAs shall exhibit a very good increase by 2027 after the expansion of the electricity certificate system, with 18 TWh of capacity until 2030 being made available by the Swedish Energy Commission. At the end of our forecast period in 2027 we expect the cumulative volume of signed corporate renewable PPAs in Sweden to reach XXX GW under the medium case scenario.

3000

2500

2000

1500

1000

500

0

2017 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

Low Case Scenario Medium Case Scenario High Case Scenario

Chart 92: Cumulative Development Forecast of Corporate Renewable PPA Volume in Sweden 2007 - 2027 (in GW), including estimates; Renewable Market WatchTM 148

148 http://renewablemarketwatch.com/

172 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Sweden is part of a harmonized and integrated Nordic electricity market with several interconnections with neighboring countries. Cross-border lines with Norway, Finland and Denmark as well as Poland, Germany and Lithuania (with further extensions planned) enable intensive trade and help to cope with possible capacity shortages.

Sweden is leading the way towards a low-carbon economy globally, with one of the lowest shares of fossil fuels in its primary energy supply among the IEA member countries, and the second-lowest CO2 emissions per gross domestic product and per capita. Large international companies are attracted to look for corporate renewable PPA deals in Sweden due to the plentiful wind resources and the Nord Pool power market, facilitating the cross-border sale of power between the Nordic countries. Sweden’s market-based approach to energy policy, which is focused on creating well- functioning and competitive energy markets, has often proved successful.

The main incentive for the use of renewable energy sources in Sweden is a quota system in terms of quota obligations and a certificate trading system. The Electricity Certificates Act obliges energy suppliers to prove that a certain quota of the electricity supplied by them was generated from renewable energy sources. Energy suppliers shall provide this evidence by presenting tradable certificates allocated to the producers of electricity from renewable sources.

Act No. 2011:1200 obliges electricity suppliers, certain electricity consumers and energy-intensive companies to annually acquire renewable energy certificates in due proportion to their electricity sales and their Quota System consumption by a set date. Furthermore, the Act stipulates the conditions in which owners of RES plants may acquire electricity certificates. In general, all renewable energy generation technologies (incl. solar PV) are eligible for the quota system.

Subsidy (Grants Grants amount to 30 % of the eligible costs for companies and 20% for for the installation private individuals and municipalities. Eligible costs include labour costs, of photovoltaic costs of materials and planning costs . Costs of the connection to an external systems) electricity grid are excluded from the eligible costs.

The maximum grant per installation is SEK 1.2 million (§ 5 par. 3 Regulation No. 2009:689). The total eligible costs must not exceed SEK 37,000 (plus VAT) per kW of installed maximum capacity. The eligible costs for hybrid installations must not exceed SEK 90,000 per kW of installed maximum capacity. If the solar system was funded by insurance payments, aid shall be reduced by an amount corresponding to the remuneration.

The budget for the scheme for 2016 was SEK 225 is million (€ 26.3 million) and from 2017 to 2019 SEK 390 million (€ 41 million) annually.

Table 44: Feed-in-tariffs and Support Schemes for Renewable Energy in Sweden; Renewable Market WatchTM 149

149 http://renewablemarketwatch.com/

173 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

Sweden has almost fully decarbonized its electricity generation and in 2018, fossil fuels provided less than 2% of the 160 terawatt-hours (TWh) of electricity generated in Sweden. Since the 1980s, electricity generation has been based on hydropower and nuclear power, representing a combination of stability and flexibility. In recent years, under the support system for renewable electricity, has grown fast.

3000

2500

2000

1500

1000

500

0

2012 2007 2008 2009 2010 2011 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027

Low Case Scenario Medium Case Scenario High Case Scenario

Chart 93: Cumulative Investment Volume in Renewable Power Capacity with Corporate PPA Contracts in Sweden 2007 - 2027 (in Millions EUR), including estimates; Renewable Market WatchTM 150

Sweden has ambitious goals for energy and climate adaptation. It has set a target of 50% more efficient energy use by 2030, and 100% renewable energy production by 2040. It also has a target of net zero emissions of greenhouse gases by 2045. Sweden is well on its way to meeting its 2030 renewable energy targets by the end of 2018. And it’s partially because of the number of corporate renewable PPAs. In the first half of 2018, Norway and Sweden saw corporate wind PPAs signed totaling almost 1.4GW, which is equal to the all the corporate PPAs signed in Europe in 2017.

As a potential area for improvement in Sweden we see the offshore wind sector, which can provide significant contribution to thr corporate renewable PPA volume in the country. At the end of our forecast period in 2027 we expect the cumulative investment volume in renewable power capacity with corporate PPA contracts in Sweden to reach € XXX million under the medium case scenario.

150 http://renewablemarketwatch.com/

174 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

19. LIST OF ABBREVIATIONS

Some of the following definitions are used throughout this Report:

AC means Alternating current

CA means compatibility assessment with the species and habitats subject to protection in the protected areas included in Natura 2000;

CHP means Combined Heat and Power

CO means Carbon monoxide

CO2 means Carbon dioxide

DC means Direct current

DG means Distributed Generation

DSO means Distribution System Operator

DYNAMIC GRID PARITY means Refer to the moment at which, in a particular market segment in a specific country, the present value of the long- term net earnings (considering revenues, savings, cost and depreciation) of the electricity supply from a PV installation is equal to the long-term cost of receiving traditionally produced and supplied power over the grid.

DZP means a detailed zoning plan;

EA means Ecological Assessment;

EC means European Commission

EEA European Economic Area;

EIA means Environment Impact Assessment;

ENTSO-E means European Transmission System Operators association

230 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

EPIA means European Photovoltaic Industry Association

EU means European Union

EUROSTAT means European Statistics Institute

FEED-IN TARIFF (FIT) means Policy mechanism created and regulated by government to promote investment in RES (e.g. PV technology). Under FiT schemes renewable electricity producers are offered long-term contracts under which a guaranteed fixed amount of money is paid to them, usually by the utility provider (national or local), for the energy fed into the grid. The FiT rate is typically set above market rates, offsetting inherent risks in renewable energy production.

GHG means Greenhouse gas

GREEN CERTIFICATE (GC) means Tradable certificate that represents the environmental or social benefits of (green) electricity generated from RES such as PV. Green certificates can be purchased both from electricityproducers and consumers as a proof of producing or consuming renewable electricity.

HV means High Voltage

HVDC means High Voltage Direct Current

IEM means Internal Electricity Market

IPS/UPS means Integrated Power System/United Power System, consisting of Independent Power Systems of 12 countries bordering Russia and the Unified Power System of Russia

ISO means Independent System Operator, responsible for the management of the system, but not owning the assets (See also TSO)

JI Project means Joint Implementation Project;

KW means kilo watt electrical energy

231 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

KYOTO PROTOCOL means the Kyoto Protocol to the United Nations Framework Convention on Climate Change;

MW means mega watt electrical energy

MWp means mega watt peak electrical energy

NET METERING means Compensation scheme that allows electricity consumers to reduce their electricity bills by giving them credit for the electricity produced by their PV system over a certain period of time (usually one year).

NORDEL means association of Nordic electric system operators, comprising Denmark, Finland, Norway, Sweden

NOx means Nitrogen oxides

PPA means power purchase agreement;

PROJECT means the solar photovoltaic power generation project under development on the Site;

PV means photovoltaic

RES means Renewable Energy Sources

REVIEWED DOCUMENTS means all source documents;

SCADA means Supervisory Control And Data Acquisition, a remote control and telemetry system used to monitor and control the electrical system

SELF-CONSUMPTION means Possibility for any kind of electricity producer to directly use/consume part or all of the electricity produced at the same location (on-site consumption), instantaneously.

SITE means the real estate plots over which projects will take place;

SOLAR MODULES means the solar photovoltaic panels.

SOx means Sulphur oxides

232 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

TEN means Trans-European Networks of the transmission system in its control

TSO means Transmission System Operator, which owns the assets and is responsible for the management

UCTE means Union for the Coordination of the Transport of Electricity, the power transmission system of continental Europe

WAMS means Wide Area Measurements System

233 EUROPE CORPORATE RENEWABLE PPA MARKET REPORT 2018 ÷ 2027

21. DISCLAIMER

This report contains important information. Please read it carefully before investing and keep it for future reference. No financial adviser, dealer, salesperson or any other person has been authorized to give any information or to make any representations, other than those contained in this study, in connection with the contents of this report and, if given or made, such other information or representations must not be relied on as having been authorized by official representatives of Renewable Market WatchTM. The information contained herein has been obtained from sources deemed reliable. While every reasonable effort has been made to ensure its accuracy, we cannot guarantee it. No responsibility is assumed for any inaccuracies. Readers and investors are encouraged to consult their professional advisors prior to acting on any of the material contained in this document. With the progress of European corporate renewable PPA market development, this publication is supposed to have new versions (editions). Content and scope of the report may vary from one version (edition) to another and is subject to change from the research team of Renewable Market WatchTM without notice. Please contact officials of Renewable Market WatchTM in order to be sure you read the latest document edition (version).

235 UK FRANCE 4, Lowndes street 30, Avenue des Alpes London, SW1X 9ET Roquefort Les Pins, 06330 +44 (0) 203 60 80 138 [email protected] [email protected] AUSTRIA ITALY 39, Corso Don Giovanni Minzoni 10 b, St. Peter Gurtel 00045 Genzano di Roma (RM) 8042 Graz [email protected] [email protected]

BULGARIA GERMANY 9, Maria Louisa Blvd., 3rd floor 9, Randsiedlung, 9000 Varna 09235 Burkhardtsdorf ++359 (0) 896 833 044 ++49 (0) 173 261 4462 [email protected] [email protected]

OAE, Dubai NORTH AMERICA Sheikh Zayed Road 6579 Highway 7, PO Box 77003, Umm Suqaem Building, office 116 Markham, ON, L3P 0C8 [email protected] L3P 2P2, Canada +1 (647) 801-5914 [email protected]

© 2019, RENEWABLE MARKET WATCH TM. All rights reserved.