Ljubljana - The government has adopted a decree that looks to incentivise municipalities to approve the installation of wind farms in their territory by providing compensation amounting to 3% of the estimated annual revenue from the energy produced by this source.

The decree based on the act promoting the use of renewable energy tasks the producer of electricity from wind power to pay the compensation for the municipality where the wind farm is located.

This compensation needs to be paid regardless of other public duties that the producer is obliged to pay, the Government Communication Office said in a press release on Thursday.

The basis for the compensation is the estimated annual income of the liable entity from the electricity generated by wind farms in its ownership, with the compensation amounting to 3% of this basis.

The Infrastructure Ministry noted that the purpose of the incentive was to "increase the social acceptability of wind farms and reduce the opposition of local initiatives to proposals from investors to install wind farms".

The incentive comes as Slovenia is committed to achieve at least a 27% share of renewable energy sources in gross final energy consumption by 2030, while the possibilities for its use are limited due to many factors.