This legislation aligns with the European Union’s Directive 2018/2001/EU, promoting renewable energy sources such as wind, solar, geothermal, and biomass.
The Article (in Montenegrin and English) prepared by Dajana Drljević and Aleksa Janković, Associates from the JPM Montenegro office, outlines key aspects of the law including detailed regulations on planning renewable energy shares, administrative procedures, and incentive systems for electricity generation. It introduces market premium systems and feed-in tariffs specifically for small plants and demonstration projects. A notable addition is the recognition of Energy communities, which allows groups of individuals and organizations to collaborate in utilizing renewable energy.
The law also addresses the use of renewable energy in transportation, mandating obligations for fuel suppliers to incorporate renewable sources and establish necessary infrastructure. It outlines a market premium incentive structure, where producers may owe payments if market prices exceed their realized prices, and includes provisions for compensation related to electricity delivery restrictions.
Overall, the law aims to enhance investment conditions for renewable energy generation and improve the regulatory framework across various sectors, ultimately benefiting both buyers and investors in the renewable energy market.