Simplified Purchase and Resale Arrangements - ("Ritiro dedicato - Regulation No. 280/07. Technical and economic provisions on the grid import of electric energy.")

Country / jurisdiction: Italy · Year: 2008 · Status: In force · Level: National · Type: Voluntary

GSE has offered simplified purchase & resale arrangements (ritiro dedicato ) to small producers since 1 January 2008.

Under these arrangements (AEEG's Decision 280/07), producers sell the electricity generated and to be injected into the grid to GSE, instead of selling it through bilateral contracts or directly on IPEX.

An agreement is entered between the producer and GSE, whereby GSE purchases and resells the electricity to be fed into the grid at the zonal price or at a minimum guaranteed price and, on behalf of the producer, transfers the fees for the use of the grid (dispatch and transmission fees) to distributors and to the TSO. The guaranteed minimum tariffs are applicable for one year.

The simplified purchase & resale arrangements are not compatible with net metering (scambio sul posto) and with the all-inclusive feed-in tariff.

Eligible plants:

plants having a nominal apparent power of less than 10 MVA: RES plants or hybrid plants for the portion of electricity generated from RES;

plants using the following RES:

wind <1MW ;

solar PV <100kW;

geothermal < 100kW;

waves;

tides;

hydro (run-of-river only) < 500kW;

plants with a nominal apparent power of less than 10 MVA: non-RES plants or hybrid plants for the portion of electricity generated from non-RES;

plants having a nominal apparent power greater than or equal to 10 MVA: plants using RES other than wind, solar, geothermal, waves, tides and hydro (run-of-river only), provided that they are owned by a self-producer (as defined in article 2, para. 2, Legislative Decree 79/99).

The price applied to the electricity purchased by GSE and injected into the grid is the "average zonal price", i.e. the average monthly price per hourly band which is set on IPEX for the market area to which the plant is connected.

Producers with small-sized plants (with a nominal electrical capacity of up to 1 MW) benefit from “guaranteed minimum prices” for the first 2 million kWh per year and they may get more if the hourly zonal prices prove to be more advantageous.

The guaranteed minimum prices are updated annually by AEEG. At the end of each year, GSE makes adjustments for plants in respect of which the revenue associated with the hourly zonal prices proves to be higher than the one resulting from the application of the minimum guaranteed prices.

Official source: https://www.arera.it/it/docs/07/280-07.htm