Factsheet: Cogeneration


Key Information


Decree-law 23/2010 introduced the legal framework for cogeneration activities and a remunerative framework for operators. As such it implements the directive 2004/8/EC of February 11 of the European parliament and council on the promotion of cogeneration which amended directive 92/42/EEC of May 21. It aims to increase energy efficiency and security of supply by creating a framework for the promotion and development of high efficiency cogeneration of heat and electricity based on useful heat demand and primary energy savings in the internal energy market. This law regulates the activity of cogeneration, establishing its legal status and remuneration. The tariff is based on two modalities, according to the choice of cogeneration, accessible to efficient cogeneration and high efficiency cogeneration. Incentives are provided based on three criteria: reduction of primary energy consumption and CO2 emissions compared with the separate production of electric and thermal energy; cogeneration production that is efficient and uses renewable resources; and promoting the participation of cogeneration in the electricity market. At least 50% of primary energy consumed must come from renewable resources.
Support for investments in energy efficiency and use of renewable energy.

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