Development incentives for renewable energy sources

The New Development Law 3299/2004 replaces the Development Law of 1998, and was amended in 2006. It foresees the ficing of 20-40% of the initial investment of RES installations (depending on the part of country where the investment is made), or alternatively 100% tax exemption for the cost of the new installation. Specifically, the Greek territory is divided into three zones where the capital grants are as high as 20, 30 and 40 percent of the eligible investment cost depending on the zone, the connection cost to the grid being also included in the case of large scale enterprises. The grant is increased up to 10 percent for medium-scale enterprises and up to 20 percent for small ones. In particular, for investments in power generation using solar and wind energy, the grant percentage along with the above markup amounts to 40 percent.