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Hungary could adopt feed-in tariff mechanism to support renewable energy

Hungary could start subsidizing electricity and heat generated from renewable and alternative energy sources with base prices and bonus prices under a feed-in tariff mechanism, a draft plan published on the government's website shows.

The mechanism would replace the mandatory purchase system in place at present. Under that system, electricity generated with renewable and alternative fuel is purchased at prices higher than market prices.

The draft plan, by experts at the National Development Ministry, could come before the government at the end of November, said state secretary for energy affairs János Bencsik.