CMS Expert Guide to Agrivoltaics and Floating Photovoltaics in the Czech Republic

The amendment to Act No. 334/1992 Coll. on the Protection of the Agricultural Land Fund, effective as of 1 July 2024, establishes a legal framework that allows landowners to use their land for both agriculture and electricity production. The Czech Republic is one of the first countries in the region to have specific legislation allowing the development of photovoltaic power plants on fertile land, where agricultural production could not previously be combined with energy production. The law defines agrivoltaics as an energy system for the conversion of solar energy into electricity that meets the requirements set out in the new Implementing Regulation No. 425/2024 Coll. on the Production of Electricity from Agrivoltaics, effective as of 1 January 2025 (the “Implementing Regulation”). The main condition is that the energy system must be located on agricultural farmed land with certain types of agricultural crop (such as vineyards, hop orchards, nurseries, container areas or truffle areas). The Implementing Regulation further specifies two types of installations: (i) horizontal, where the photovoltaic modules are placed at least 210cm above the ground to allow agricultural activities to take place underneath, and (ii) vertical, where the modules are arranged in rows at a distance that alternates with the agricultural land. Horizontal installations must ensure that at least 95% of the total area remains in agricultural use, while vertical installations must ensure that at least 80% of the total area remains in agricultural use (the total area of the project being determined in accordance with the construction laws). 

In view of the very recent legislation, it should be noted that there are only pilot projects in this sector. These are mainly prepared for wine-growing regions, i.e. the region of South Moravia. For example, the Czech company MND a.s. (a joint-stock company engaged in oil production, gas extraction and storage, and renewable energy production) is testing one of the first agricoltaics projects in the Czech Republic in vineyards. 

As mentioned above, the Implementing Regulation has been in force since January 2025, which sets out the conditions for the operation and construction of agrivoltaic projects. Compared to floating photovoltaics, the regulation is more precise and there are clearer boundaries to navigate within when implementing an agrivoltaic project. In addition to compliance with general energy and construction regulations, depending on the specifics of the contemplated project, an Environmental Impact Assessment (the “EIA”) may also be required. 

The Czech public authorities have not yet published any studies on the potential benefits of agrivoltaic projects in the Czech Republic. Although precise figures for the potential installed capacity of agrivoltaics in the Czech Republic are not available, the country has significant potential to develop this approach to renewable energy. By taking advantage of its agricultural land, favourable solar conditions and supportive policies, the Czech Republic could achieve significant installed capacity, contributing to its renewable energy targets and sustainable development. 

When it comes to subsidies for renewable energy projects, the Modernisation Fund operated by the Czech State Environmental Fund (the “ModFund”) is very relevant. The ModFund focuses on financial support for the modernisation of energy systems and the improvement of energy efficiency to facilitate the transition to climate neutrality, with a total budget of more than CZK 500 billion (approx. EUR 20 billion). The ModFund is primarily financed by revenues from the auctioning of carbon allowances under the European Union Emissions Trading System (EU ETS).

In the past, there were only calls for subsidies under the ModFund for “regular” photovoltaic installations excluding installations on agricultural land. However, a new call is expected to be announced in 2025, which will specifically address agrivoltaic installations and provide subsidies for this type of renewable energy projects.

FPV are not explicitly regulated by Czech law. They fall under the general legal framework of Act No. 458/2000 Coll., the Energy Act, as amended (the “Energy Act”). First, it is important to assess whether FPV are: (i) a part of the waterworks structure (usually fixed to the waterworks and serving its own needs), or (ii) a separate vessel – a floating device. In the case of a fixed part of the waterworks, the FPV installation would be considered a construction modification pursuant to Act No. 283/2021 Coll., the Building Act, as amended (the “Building Act”), for which no permit or decision for use is required. If FPV are considered a separate vessel – a floating device, it is subject to approval by the Water Authority pursuant to Act No. 254/2001 Coll., the Water Act, as amended (the “Water Act”), and in some cases may be subject to registration in the Shipping Register (the register in which the State Shipping Authority keeps records of vessels, which is not a public register). In such case, FPV would not be considered a construction and the building authorities would not assess the project. However, the project would interfere with the landscape and as such must be assessed primarily under Act No. 114/1992 Coll., on Nature and Landscape Protection, as amended (the “Nature and Landscape Protection Act”) and the Water Act. 

ČEZ Group, the largest electricity producer in the Czech Republic, has already installed the first FPV with an output of up to 87 kWp at the Štěchovice reservoir. ČEZ Group is considering increasing the installation at the site to 1 MW in the future.

The Green Mine project, to be implemented by Sev.en Innovations (part of Sev.en Energy group and one of the largest energy companies in the Czech Republic), is another notable project involving both FPV and agrivoltaic projects in the Czech Republic. This project (co-funded by grants from the Just Transition Fund, see below) will be built on the former mining site near Most in the Northern Bohemia region, with the aim of transforming it into a sustainable energy hub. The project includes plans for the construction of several photovoltaic power plants, coupled with hydrogen storage or a water pumping plant. The company claims that the project will include the largest FPV in the country, although its installed capacity has not yet been made public. However, the potential installed capacity of the complex photovoltaic system for the entire project is estimated at 600 MW. 

As mentioned above, FPV is not explicitly regulated by Czech law and is subject to general regulation under construction laws, public safety regulations and the Energy Act. Depending on the type and location of the FPV, Nature and Landscape Protection Act (or related regulation) must be also considered. In addition, depending on the specifics of the contemplated project, an EIA may also be required in some cases, including impacts on water ecosystems and surrounding areas.

It is also worth mentioning that the Ministry of Agriculture, the Ministry of Regional Development, the Ministry of Environment and the State Waterways Authority (Státní plavební správa) have issued a “guide” aiming to help navigate the Czech legal framework regarding FPV on water reservoirs. 

To the best of our knowledge, no official study or a policy paper has been published by the Czech public authorities that sets out goals and potential of FPV projects in the Czech Republic. 

There is no specific call for subsidies in the ModFund for FPV projects; however, it is possible to apply for financial support under calls in the ModFund for the development of photovoltaic installations in general.

In addition, there is the Just Transition Fund (Just Transition Operational Programme). With a budget of more than CZK 40 billion (approx. EUR 1.6 billion), the programme aims to address the negative effects of the transition from coalmining in three affected regions: the Karlovy Vary region, the Ústí nad Labem region and the Moravian-Silesian regions. The programme aims to enable the regions to cope with the social, economic and environmental impacts of transitioning towards achieving the EU’s energy and climate goals for 2030 and climate neutrality by 2050. This also opens opportunities in the field of renewable energy, e.g. the flooding of selected mines and the associated investment in FPV on such newly created water areas.