ALTELAW together with the NGO “Ecoclub”: the process of transitioning to renewable energy sources

ALTELAW actively cooperates with the public to support the country’s transition to the production of electricity from renewable energy sources (RES). As part of its activities, Olha Savchenko, together with the NGO “Ecoclub,”  jointly held an event dedicated to the topic “Self-production of electricity (net billing) on March 28, 2024: basic aspects of implementation and the basis of legal regulation in Ukraine.”.

The major audience of the meeting was representatives of local authorities as well as contractors and specialists in this field. The question-and-answer session highlighted the general aspects of the net billing system, along with the mechanism and how to become connected to it.

How does the self-generation mechanism work?

Law No. 3220 amended the rules of the electricity market. Nowadays, every consumer has the right to install a generating facility that produces electricity from renewable sources (e.g., a solar power plant) within the permitted capacity and use it to cover their own needs. If more electricity is produced than is required, the consumer can sell the excess to the grid and receive payment for it on a special account at a price determined by the law or the market. The consumer uses the funds from this account in case they no longer have a generating plant covering all their needs, and they take electricity from the grid.

To join the mechanism, you need to:

• determine the capacity of the SPP, depending on the category and needs of the consumer.
• re-equip the power grid of the facility where electricity will be supplied, if necessary.
• install the SPP and put it into operation.
• test the installed generation facility.
• arrange an electricity-metering unit.
• make changes to the distribution point passport or obtain a new passport.
• conclude the necessary agreements with the electricity supplier.

It is planned that the mechanism will accelerate the development of green energy in Ukraine, help communities survive the consequences of the war, and launch sustainable reconstruction. Additional information on the self-production mechanism can be found in the relevant instructions.