Revamping, The GSE Publishes The New Rules And Creates New Opportunities For Repowering: Preliminary Considerations

The GSE has finally published the new framework on maintenance and renovation of the photovoltaic plants benefiting from Conto Energia support regime (the "New DTR") 1 . The set of rules provided by the New DTR further elaborates and confirms the principles and guidelines, previously set out under Ministerial Decree 23 June 2016, which served as "temporary regulation" while the new regulation was being prepared 2.

Please find below a summary of the rules provided by the New DTR, which we have organized in the following sections:

scope of application and general principles; revamping and repowering, what is and what is not allowed; applicable procedures to the interventions envisaged under the New DTR; preliminary considerations. 1. SCOPE OF APPLICATION AND GENERAL PRINCIPLES

The New DTR applies to ordinary and extraordinary maintenance activities aimed at preserving or restoring the functionality and efficiency of solar facilities. Accordingly, the New DTR provides regulation for all such activities aimed at guaranteeing the expected plant performances (functionality) as well as safety, reliability, environmental and efficiency standards (efficiency). Ordinary maintenance includes all the activities (i) that do not alter the plant core structure and (ii) that are aimed at (a) preserving standard levels of performance of the plant and/or (b) remedying to accidents.

By way of example, ordinary maintenance consists in:

planned maintenance, i.e. periodical activities to be carried out at least annually, such as on-site inspections and plants main components condition checks; reinforcement of photovoltaic panels supporting structures; cleaning; interventions on inverters, parallel switchboard and other electrical components; measurement devices periodical setting. unplanned maintenance activities, such as, for instance, replacement of electronic components or photovoltaic panels (subsequent to malfunctioning caused by wear and tear and other events like accidents), with other components having equivalent specifications. Extraordinary maintenance consists in the replacement of a component with a new one having different features. Therefore, it can entail an upgrade of the plant (e.g. replacement of an inverter with another one more efficient or enjoying higher technical features). Any other activity implying changes to the electric layout of the facility, and the issue of a new electrical system conformity declaration, falls, similarly, within this category.

With reference to maintenance (ordinary and extraordinary) and technological upgrading activities, please note the New DTR also applies to substantial and non-substantial interventions.

Substantial maintenance and upgrading interventions include those works altering the plants' features thanks to which the relevant plant first qualified to benefit from the feed-in tariff under the relevant Conto Energia (i.e. structure, layout and settings).

Examples:

within the relevant plant's site, moving, even partially, the photovoltaic panels; replacement, removal, new installation of the plants main components (i.e. panels and inverters) in certain cases, energy sale regime variations; changes to the grid connection point ID number. Non-substantial maintenance and upgrading interventions include those works, which do not alter the requirements and the features thanks to which the relevant plant first qualified to benefit from the feed-in tariff...