Green Energy and Tax Certificates
Green Certificates GEC & CHP
GEC and CHP
Under the current regulatory framework in Belgium, the biogas installations with high-quality combined heat and power (CHP) benefit from operational support in the form of green energy certificates (GEC) and combined heat and power certificates (CHP).
To convert an environmentally harmful waste product into green energy and fertilizer, the Belgian government grants green energy certificates.
Biogas installations with a CHP are eligible for both green energy and combined heat and power certificates (GEC & CHP). The Flemish government thus supports the production of green electricity and primary energy savings through the use of a CHP. After all, the production costs of sustainable energy from biogas are associated with an additional cost compared to energy production from fossil sources.
The system to support the production of electricity from biogas consists of two parts:
- Biogas producers receive GEC for the production of electricity
- Electricity suppliers must annually buy up a certain number of GSC and hand it in to the Flemish Government.
The green certificates are granted on the basis of the conversion of the feedstock into green products that Circular offers. As they are issued by the government, they are a secure revenue source for Circular.
Combined Heat and Power Certificates (CHP)
Combined heat and power certificates can be awarded to biogas installations with a CHP for the heat and power savings obtained, calculated as the primary energy savings realized in relation to the separate generation of heat and electricity.
A CHP installation is only supported if it is qualitative, in other words if the relative primary energy saving is at least 10% for installations from 1 MWe, or if the relative primary energy saving is positive for installations smaller than 1 MWe.
Like GEC, CHP are traded on the certificate market. After all, electricity suppliers are obliged to submit a fixed number of CHP to the Flemish Government every year.
