The European Commission this week has approved proposed renewable energy support schemes in Luxembourg and Malta.

Approval was granted after the Commission determined that the schemes did not violate EU state aid rules and will not “unduly distort competition”.

Luxembourg’s scheme features premium payments to operators of wind, solar, biogas, biomass and hydropower systems over 500 kW, with a planned budget of €150m ($169m) to be allocated before 2020.

Malta’s scheme will support solar photovoltaic (PV) and onshore wind systems over 500 kW, also in the form of a premium payment. Around €140m has been budgeted for the scheme, which will also extend to 2020.

In a statement, the Commission said it had “found that the measures will encourage the deployment of renewable electricity installations and help Luxembourg and Malta achieve their 2020 renewable energy targets”.

Luxembourg has set a renewable power target under the EU Renewable Energy Directive to generate 11 per cent of its power from renewables by 2020. The country’s previous renewables support scheme expired in 2015.

Malta has targeted 10 per cent of its power from renewables by 2020 and had achieved 4 per cent in 2014 (latest available figure).