Hogan Lovell OffshoreBook 2023 230809 OnlinePDF - Flipbook - Page 19
Offshore Wind Worldwide 2023
This legislative framework is currently being
amended, which shall result in a new competitive bidding (and permit) procedure, which
is, as mentioned above, yet to be established by Royal Decree. 27
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4. OFFTAKE ISSUES
4.1 Offtake, remuneration and
tariff scheme
We refer to the existing support schemes
as set out under point II above. The federal
Electricity Act does not contain any specific
stipulations for the content of such PPAs, but
there is a certain established market practice
as to the usual and required contents. Belgium knows a support scheme based on the
issuance of green certificates and guarantees
of origin.
In the future, the subsidy levels will no longer
be determined in advance by the government but will have to form part of the future
concession holders’ bid.28
4.2 Consequences of a project delay
The consequences of delayed project completion with regard to the offtake regime in
general depend on the respective provisions
in the PPA. Usually, a delay of the project or
WTGs would, after elapse of a grace period,
entitle the offtaker to demand a reasonable
adjustment of the price. Additionally, termination remedies would normally be available
for prolonged force majeure events.
27 W. Vandorpe, D. Haverbeke en L. Pellens, "Belgische offshore windproductie – Tendering the way forward, maar hoe exact? Enkele aandachtspunten"
in Jaarboek energierecht 2020, K. Deketelaere en B. Delvaux (ed.), Intersentia, October 2021, 92.
28 W. Vandorpe, D. Haverbeke en L. Pellens, "Belgische offshore windproductie – Tendering the way forward, maar hoe exact? Enkele aandachtspunten"
in Jaarboek energierecht 2020, K. Deketelaere en B. Delvaux (ed.), Intersentia, October 2021, 94-101; Explanatory memorandum to the bill of 20 February
2019 amending the Electricity Act to establish a competitive bidding procedure for the construction and operation of production facilities in sea areas
under Belgian Jurisdiction, Doc. 54 3581/001, 10 (54K3581001.indd (dekamer.be)); "Note on the support mechanism for the construction of offshore wind
farms after 2020", published by the CREG on 20 December 2018 (Z1880NL.pdf (creg.be)).
