The Dutch government will inform parliament of an opening round of adjustments to the stimulation of sustainable energy production and climate transition (SDE++) scheme — which targets technologies related to low-carbon power and C02 sequestration — that can be made in the first quarter of 2025, following an exploration into the future of the scheme launched last year.
In a letter to parliament released last week, the climate ministry and green groups laid out the findings, conclusions and possible follow-up steps for each technology type — renewable power, renewable heat, renewable gas, low-carbon heat and low-carbon production — included in the SDE++.
The government included gasification of biomass in the scheme's renewable heat technology group, as well as geothermal energy, solar thermal and fermentation.
Former Dutch climate and energy minister Rob Jetten told the Dutch parliament earlier this year that the government had decided to cut state support for new biomass-fired power generation under the SDE++ scheme.
The SDE++ has become complex over the years, its implementation increasingly challenging, the letter said. And limits of what more appropriate support is possible within the current instrument have been reached.
Although the SDE++ — possibly with adjustments — is still an appropriate instrument for the "time being" for some techniques, others may benefit from another form of stimulation, such as an investment subsidy, the ministry said. But until suitable alternative instruments are available, the SDE++ will remain available for these techniques.
The number of categories in the SDE++ reached approximately 180 in 2024.
The government will continue exploring adjustments to the SDE++ and replacement instruments and prepare a "complete" package of proposals in autumn 2025.
