Electricity generation supported under Borzen’s renewable energy and combined heat and power subsidy scheme rose sharply in the first quarter of 2026. Output increased by 156 percent year-on-year versus the same period in 2025, according to data from Borzen.
Between January and March, participating facilities produced a total of 424 GWh of subsidized electricity. Despite the higher output, total subsidy payments stayed relatively stable at 18.5 million euros, pointing to changes in the composition of supported generation rather than an increase in overall spending.
A major factor was the addition of PPE-TOL, a new gas-fired combined-cycle cogeneration facility in Ljubljana. The plant supplies both electricity and district heating, and its integration boosted electricity generation from fossil-fuel CHP units.
Fossil-fuel CHP installations generated 350.8 GWh during the quarter, more than four times their year-ago level. Their output accounted for approximately 83 percent of total subsidized electricity production.
While Slovenia’s support mechanism is intended to promote renewable energy and efficient cogeneration, fossil-fuel CHP became the largest contributor to subsidized generation in the period. These plants received 5.5 million euros in support payments, or about 29 percent of total subsidies distributed.
Solar remained the biggest recipient of incentives by volume and payments within the scheme. Solar installations generated 30.1 GWh and received 7.1 million euros, representing roughly 39 percent of total support payments.
The data also show that average subsidy intensity differed across technologies, with solar receiving more support per megawatt-hour than fossil-fuel cogeneration. Other renewables also took part in the programme: biomass facilities received 2.5 million euros and biogas plants obtained 2.3 million euros.
Hydropower and wind contributed only a comparatively small share to both subsidized electricity generation and financial allocations during the quarter. At the same time, the average subsidy level per MWh fell markedly.
In the first quarter of 2026, support averaged 43.7 euros per MWh. This was a decline of around 60 percent year-on-year, reflecting changes in the generation mix and evolving cost structures within Slovenia’s support framework.
