EU Energy Policy

Belgium presses on with power subsidy regime

The scheme is intended to attract investment in gas-fired capacity to replace the country's ageing nuclear fleet The scheme is intended to attract investment in gas-fired capacity to replace the country's ageing nuclear fleet.
By Andreas Walstad 17 January 2019 0 33841
The Tihange nuclear power plant in Belgium. (Electrabel)

The key issue: The Belgian government approved a new draft power plant subsidy scheme on 11 January in a bid to avoid a capacity crunch when the country switches off its last nuclear reactors, which will possibly happen by 2025.

Interfax analysis: Belgium’s new capacity remuneration mechanism regime – which is subject to approval by the country’s government, parliament and the European Commission – could well succeed in attracting new investment in gas-fired power plants. But this is likely to happen only...