Investors in Czech solar parks threaten to sue over planned cuts to subsidies for photovoltaic installations
Investors are threatening to sue the Czech government over planned cuts to solar power subsidies, the latest dispute highlighting how Europe’s cash-strapped governments are struggling to finance the bloc’s green transition. Three solar developers have warned Prague about possible lawsuits if the government goes ahead with plans to retroactively lower subsidies for photovoltaic installations connected to the power grid as far back as 2009.
The Czech government last year told Brussels in its assessment of how it plans to meet climate goals that it wanted to roll out renewable energy sources faster, but that a “lack of subsidy support” was the main reason for the country’s “stagnation” in the area. Pavel Maleček, head of asset management at Enery, the country’s third-largest solar operator, said that Prague’s proposed changes “pose a significant risk” to ongoing and future projects.
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