Ukraine to hold largest 'green' auction for 700 MW of wind generation

JSC “Guaranteed Buyer” will hold three “green” auctions in September with a total support quota of 850 MW of new renewable energy capacity. The bulk of the volume – 700 MW – is earmarked for wind power plants.

The largest auction is scheduled for September 30. It will allocate 700 MW of support quota for new wind generation facilities. The maximum bid of participants will be 8 euro cents per 1 kWh.

Two more auctions will be held on September 25. The first provides 100 MW for solar power plants equipped with energy storage systems. For this lot, the maximum price is set at 12 euro cents per 1 kWh.

Separate requirements have been defined for the energy storage systems of such projects. Their power must be at least 80% of the total installed capacity of the generating units, and the capacity – at least 2 kWh for every 1 kW of installed solar power plant capacity.

The second auction on September 25 provides for allocation of another 50 MW for solar generation without the mandatory installation of energy storage. The ceiling price bid here will also amount to 8 euro cents per 1 kWh.

Thus, out of the total September quota of 850 MW, about 82% will go to wind generation, and the remaining 150 MW – to solar power plants.

Auctions will be conducted through the electronic trading system “Prozorro.Sale”. Winners will receive the right to state support for electricity production from renewable sources under the auction model.

Projects can be implemented in Dnipropetrovsk, Zhytomyr, Zaporizhzhia, Kyiv, Kirovohrad, Mykolaiv, Odesa, Poltava, Sumy, Kharkiv, Kherson, Cherkasy and Chernihiv regions, as well as in Kyiv city.

At the same time, support will not apply to areas of active hostilities and temporarily occupied territories, for which the date of completion of hostilities or occupation has not been determined.

Holding new auctions should be the next stage in the development of the RES support mechanism instead of the traditional fixed “green” tariff model. This year the government also changed the rules for conducting such tenders to increase their attractiveness for investors.

Based on materials: EXPRO Consulting, Prozorro.Sale