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Small-scale Renewable Energy Sector
Essential Legislative Changes
05.04.24
The Mazhilis approved the draft Law on “Amendments and Additions to Certain Legislative Acts of the Republic of Kazakhstan Regarding the Support of Renewable Energy Sources, Electricity, and Natural Monopolies” in the first reading.
The draft Law aims to support the development of the energy sector, stimulating the utilisation of renewable energy sources, and supporting the implementation of small-scale projects among the general population, as well as small and medium-sized businesses.
The draft Law aims to support the development of the energy sector, stimulating the utilisation of renewable energy sources, and supporting the implementation of small-scale projects among the general population, as well as small and medium-sized businesses.
Over the past decade, efforts have been focused on large renewable energy projects, but the development of renewable energy among the population and small businesses has remained insufficient due to various barriers, including legislative ones.
The draft Law is aimed at addressing issues of renewable energy development through the following changes in the legislation:
- Individual and net consumers will be exempted from obligations related to interaction with energy-producing organisations, allowing them to rid themselves of unnecessary responsibilities.
- Introducing the concept of "small-scale project" to distinguish between self-consumption projects and commercial renewable energy projects.
- Removing barriers and expanding support mechanisms in the form of targeted assistance, including subsidising part of the costs.
- Encouraging the use of renewable energy sources by exempting from customs duties on goods for the construction and operation of renewable energy facilities.
- Detailed regulation of relationships between net consumers and energy supply organisations, including issues related to connection to networks, accounting for electricity, and its purchase.