Law that extends the scope of the regime of early recovery of the general tax on sales to hydroelectric generation companies (Ley que amplia los alcances del regimen de recuperacion anticipada del impuesto general a las ventas a las empresas de generacion

Law 28876 of 2006, regulated by Decree 037 of 2007, allowed renewable energy producers to benefit from early VAT refunds provided by Decree 818 of 1996 and Decree 793 of 2007.

The benefit is available for hydropower and other renewable energy generating companies who have subscribed contracts with the State to develop natural resources according to sectorial laws, with investment over USD 5 million and pre-operation investment periods of at least 2 years.

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