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DIRECT SUBSIDIES Wind Power: Cost of energy from wind farms is estimated to range between 0,25 and 0,35 NOK/kWh when applying today’s technology and prices, 20 years depreciation time and 7% discount rate. Comparing this with the estimated spot market price of 0,18 NOK/kWh, it is evident that support is required to make the wind farms economic. Currently, governmental support to wind power in Norway consists of a 25 % investment grant, roughly corresponding to 0,06 NOK/kWh, and a production support of about 0,06 NOK/kWh, equivalent to half the electricity fees. This indicates that wind farms with cost of energy less than 0,30 NOK/kWh are economic viable in Norway. Heat Production from RES: As from 1997 investment support has been granted to heat production facilities. The objective has been to increase the utilisation of renewable energy, heat pumps and waste heat for heating purposes. In 2001, the total budget was 90 million NOK. TAXES RES: New renewables are exempted investment tax (7 %). Electricity: Electricity consumption, except in manufacturing industries and mining and quarrying, is subject to an electricity tax, which in 2001 is NOK 0.113 per kWh. All consumers in northern Troms and Finnmark are exempt from the tax. CO2: As the first country in the World, Norway introduced CO2 tax on the use of petroleum products. REGULATIONS Water-borne heating systems: About 25 % (30 TWh) of the electricity is used for heating purposes, and the Government wishes to release as much as possible of this electricity to other purposes. New Government buildings larger than 1000m2 are obliged to install water-borne heating systems. District heating: The Energy Act regulates district heating. District heating plants in areas where all households are obliged to connect to the district heating system, can not charge more than the price of an equivalent amount of electricity. OTHER The Norwegian Water Resources and Energy Directorate is responsible for administration of governmental efforts in the field of Renewables and rational use of energy. Information programmes and introduction of new energy technologies are important measures. National capacity to develop domestic industry in the renewable area (competence, industry base, existing infrastructure, capital etc.) in your own country or in any other country you/your company is familiar with. Norway has a long history of industry development in the energy sector. The Norwegian hydropower industry is more than a century old. Later, the petroleum supply industry has developed the expertise needed for petroleum extraction, refining and transport. In addition, the authorities have built up expertise in statutory regulation and management of hydroelectric and petroleum resources. Examples of new development: • Several companies form million industry for PV purposes.PDF Image | Organisations in Different Renewables
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