Entities that plan to sell electricity they generate (IPPs); or that plan to install solar PV with the
right to transfer excess electricity generated back to the grid (Prosumers). In case you plan to
invest on solar PV-s as an IPP or Prosumer, you have to complete 4 sets of documents in order
to receive authorization from ERO: General requirements, Technical and Organization
requirements, Final authorization requests and Financial requests.
There are two ways to finance your investment: you own funds and financing through banks
and other financial institutions (loans).
Financing your investment through a commercial is often advisable as it does not tie up cash
resources of your business. Furthermore, instead of paying your monthly electricity bill, you
can repay the loan using money saved from your electricity bills – in other words, without
negatively affecting the operating cash flow of your business. VAT is deductible and the
interest on your bank loan will be included in the operational expenses therefore both will have
positive impact on net profit. The depreciation of solar PV-s or machinery will also be included
in the operational expenses.
Additionally, the Kosovo Credit Guarantee Fund (KCGF) provides credit guarantees on eligible
commercial loans. KCGF will open a specialized window to support renewable energy and
energy efficiency investments that can further support your business in accessing the financing
you need to invest in solar PV.