VIREG (the Flemish Agency for the Rational Use of Energy) subsidy
While the realistic maximum penetration of renewable energy in Belgium is low (e.g. 5% of total energy by 2010-2020), it was decided that this was not likely to be achieved unless further ficial, regulatory and information measures were adopted. One way of increasing investor interest in renewable energy is to offer more generous renewable electricity payments for a limited period, and the Belgian Control Committee for Electricity and Gas (CCEG) increased the financial incentives available for renewable electricity in 1995. This took the form of a payment of 1 FB/kWh produced (on average in 1996, 1 US$ = 30.98 FB) (or, on request from the producer, in the form of a capital subsidy to help cover the cost of grid-connection). This "VIREG" subsidy was available for the first ten years of electricity production for renewable energy projects on line before the end of 1998. This measure was estimated to cost about FB 30m per year.