The State Enterprise Guaranteed Buyer (Guaranteed Buyer) has announced the first auction in Ukraine for the distribution of the green generation support quota.
According to the state enterprise, 11 MW of solar power generation capacity is up for auction, with a starting price of 9 euro cents/kWh.
Applications are accepted until October 30.
The auction itself will be held on October 31 at 12:55 in the state electronic trading system Prozorro.Sale.
The auction will be held with a decreasing price.
According to the auction requirements, the solar power plant must be located on the left bank of the Dnipro River, except for the areas of military operations.
To participate in the auction, a bank guarantee in favor of Guaranteed Buyer in the amount of EUR 5/kW of the power plant’s capacity or its queue must be provided. To sign the contract, the winner of the auction must provide Guaranteed Buyer with a bank guarantee in the amount of EUR 15/kW of capacity, under which the winner is entitled to support based on the results of the auction. The remuneration of the operator of the authorized electronic platform is EUR 0.8/kW.
“The government has created all the conditions for holding the most transparent auctions for the distribution of state support for renewable energy producers. This is another step towards European integration and the implementation of best practices in supporting green energy in Ukraine,” Energy Minister Herman Halushchenko commented on the auction announcement, as quoted in the ministry’s website on Friday.
As reported, the Cabinet of Ministers, by its resolution of August 13, set an additional quota for support for business entities that produce electricity from alternative energy sources in the amount of 110 MW for 2024, of which wind farms – 88 MW, and solar power plants and other types of renewable energy sources (biomass, biogas, small hydropower plants) – 11 MW each.
The SPPs must be located on the left bank of the Dnipro River, and the auction for them will be held in October; there are no territorial restrictions for wind farms and other types, and the auctions are scheduled for November.
The contract with the State Enterprise Guaranteed Buyer for the provision of services under the market premium mechanism with the winner of the auction will be valid for 12 years.
For solar and wind power plants, the maximum selling price for electricity is 9 euro cents/kWh. For other types of alternative energy sources – 12 euro cents/kWh.
