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Falling energy demand in the Netherlands is causing big solar companies to lose subsidies

Recently, RVO, the Dutch business agency that administers the SDE + large renewable energy incentive scheme, said it would not subsidize renewable energy under the SDE + scheme on March 29 because of continued negative energy prices.This is mainly because the Dutch government imposed restrictions to prevent the outbreak from spreading, resulting in a drop in electricity demand.

RVO said prices in the Dutch wholesale energy market had been negative for more than six hours on Sunday, and that a window of more than six hours would cause SDE + subsidies not to be paid.

Subsidies under the SDE+ scheme are supposed to close the gap between the cost of clean energy generation (the data provided by developers for their facilities) and the current wholesale price of electricity.The payment contract lasts 8, 12 or 15 years depending on the maximum full load time provided by the project.