Evaluation of the SDE+ scheme

The Energy Agreement stipulates that the share of renewable energy must grow strongly. The main instrument that is currently used to achieve this objective is the Incentive Scheme for Sustainable Energy Production (SDE+). This scheme offers compensation for the financiel gap between the cost price of a renewable energy project and the market value of the generated energy. Thus, the SDE+ scheme focuses on the deployment of renewable energy technologies.

In this publication, which was commissioned by the Ministry of Economic Affairs, CE Delft and SEO Amsterdam Economics evaluate the effectiveness and efficiency of the SDE+ instrument in the period 2011-2015. The overall finding is that the set-up of the SDE+ system is better than that of the previous subsidy schemes MEP and SDE. A large part of the production that is supported by SDE+ would probably not have taken place without SDE+ subsidies. Possible areas for improvement relate to the scheme’s implementation and are aimed at improving realization and considering more specifically the characteristics of different biomass markets in the SDE+ scheme.

The Letter to Parliament of Minister Kamp of Economic Affairs regarding this evaluation can be viewed on the website of the Government of the Netherlands.