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Client Alert Client Alert

Solar boom in Hungary

New developments in the Hungarian regulatory framework on electricity generation from renewable energy sources (“RES“) are changing the investment environment for the development of photovoltaic power plants (“PVPP“) in Hungary.

The most important pillars of the relevant regulatory framework are the financial incentive schemes aiming to promote electricity generation from RES. These financial incentive schemes have been fundamentally reviewed and amended, taking effect on 1 January 2017 causing landslide changes on the PVPP market in Hungary.

The purpose of this Client Alert is to briefly describe the most important features of the “old” and “new” financial incentive schemes and the market impacts of the regulatory changes in question.

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