What Changes in the Energy Law Bring for the Renewable Energy Sector

The draft amendments to Serbia’s Energy Law introduce significant changes regarding the connection of power plants to the distribution system, especially for plants utilizing renewable energy sources.

It is prescribed that the connection procedure begins with the submission of a request to the distribution system operator for the preparation of a connection study. However, a connection study is not required for power plants with an installed capacity of less than 50 kW.

The connection study must also include temporary power restrictions during the operation of the power plant, for which the distribution system operator is not obligated to pay financial compensation to the producer. This applies if the study shows that the connection of the power plant at certain times could result in the transfer of total active power to the transmission system, exceeding the legally prescribed limits governing the use of renewable energy sources.

It is also prescribed that the distribution system operator and the applicant regulate rights and obligations in detail through a contract on the preparation of the connection study.

Additionally, the applicant is required to provide a bank guarantee for power plants with an installed capacity above 400 kW within the specified period, ensuring that the plant will be constructed within the defined timeframe. If, after the deadline for providing the bank guarantee, the total required capacity for power plants is reduced, the distribution system operator is obliged to update the connection study ex officio.

The distribution system operator is required to issue the conditions for design and connection within 15 days of receiving the application, provided that the applicant has secured a planning document and developed a conceptual solution. Furthermore, the operator must create and publish a connection procedure on its website.

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Regarding the construction of a connection to the distribution system, it is specified that the distribution system operator is the investor in the construction of the connection. At the request of the entity with the connection study and location conditions, the operator is required to conclude a connection agreement, authorizing the entity to construct the connection on behalf of the distribution system operator.

The distribution system operator is obliged to enable priority access for power plants using renewable energy sources with an installed capacity of less than 400 kW, as well as those with an installed capacity of less than 200 kW that begin operation after January 1, 2026. Priority access is also granted to plants with demonstration project status, limited to the necessary period and scope required to achieve the purpose of the project. It is specified when the Agency may, at the operator’s request, grant an exemption from priority access, with the obligation to inform the Energy Community Secretariat.

Photo-illustration: Freepik (freepik)

The draft law also regulates the certification of installers for facilities utilizing renewable energy sources. The introduction of certification for installers of renewable energy facilities will bring numerous benefits to Serbian citizens, including increased safety and security, installation quality that ensures optimal efficiency and system longevity, better protection, and consumer trust from professionally executed installations that prevent potential losses and system issues.

“Standards and guidelines for installation will be established, helping to achieve consistency across the industry, thereby contributing to market order. This, in turn, can facilitate the quicker adoption of renewable energy as part of the energy mix and promote sustainable energy technologies,” the document states.

In the section on energy permits, the draft law stipulates that an energy permit is not required for the construction of facilities built under the law on the use of renewable energy sources and for energy storage.

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