In the Czech Republic, electricity from renewable sources is either promoted through a guaranteed feed-in tariff or by a Green Bonus paid on top of the market price and system operators are free to choose either option.

Furthermore, renewable energy is promoted through diverse subsidies and exemption of tax on income obtained from the sale of electricity from renewable energy sources.

Feed-in tariffs
System operators are contractually entitled to the payment of a fixed feed-in tariff for all electricity exported to the grid by the grid operator and which varies according to the source of energy used.

Green bonus
Operators of systems for the generation of electricity from renewable energy sources are paid this bonus on top of the normal market price for electricity. Operators generating renewable electricity for auxiliary consumption only are also entitled to the payment of the bonus.

Subsidies
Apart from the feed-in tariff, system operators may receive subsidies to support the generation of electricity from renewable energies under either the European Structural Fund or from the National Programme for the Promotion of Energy-saving Measures and the Use of Renewable Energy Sources. The detailed conditions for the subsidies are usually specified in the respective applications for tender.

Tax regulatory mechanisms
Income from the sale of electricity form renewable sources is exempt from income tax.