Denmark lays groundwork for second tech-neutral auction

Danish PV capacity grew between 2017 (906MW) and 2018 (998MW), according to IRENA (Credit: Pixabay)

Solar is poised to face wind again at Denmark’s second of two technology-neutral auctions, with the terms open for consultation until 19 June.

The Danish Energy Agency said this week a tender will be held after the summer, offering solar and wind winners surcharge subsidies through 20-year PPA contracts.

This article requires Premium SubscriptionBasic (FREE) Subscription

Unlock unlimited access for 12 whole months of distinctive global analysis

Photovoltaics International is now included.

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Unlimited digital access to the PV Tech Power journal catalogue
  • Unlimited digital access to the Photovoltaics International journal catalogue
  • Access to more than 1,000 technical papers
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

The upcoming auction, featuring a bid ceiling of DKK 0.13/kWh (US$0.019/kWh), is reserved for projects yet to initiate construction.

The auction documents do not yet shed light on how much capacity will be tendered.

When it created the two-year scheme in 2017, the government’s plan was to contract a joint 190MW through both the 2018 and 2019 auctions. Held in December 2018, the exercise alone ended up awarding 269MW at average surcharges of DKK 0.0228/kWh (US$ 0.0034/kWh), however.

According to IRENA, Denmark was as of late 2018 home to 998MW of solar PV capacity. While an improvement on the 2016 (851MW) and 2017 (906MW) stats, the PV figure remains far shy of the 5.7GW recorded for on- and offshore wind last year.

Both industries reaped three contracts at the first technologically neutral auction. However, the 104MW awarded to the three solar winners – projects of 60MW, 30MW and 11.5MW capacity – fell below the 165MW hauled in by the wind trio.

In parallel to its joint tenders, Denmark has worked in recent years to arrange cross-border and PV-specific auctions. Held last November, a US$16.1 million tender for PV installations of up to 1MW awarded 19MW in contracts to 15 winning bids, with prices sitting at a US$0.15-0.22 per kW range.

See here for the results of Denmark's first tech-neutral auction, plus the terms of the upcoming, second tender

26 November 2024
Málaga, Spain
Understanding PV module supply to the European market in 2025. PV ModuleTech Europe 2024 is a two-day conference that tackles these challenges directly, with an agenda that addresses all aspects of module supplier selection; product availability, technology offerings, traceability of supply-chain, factory auditing, module testing and reliability, and company bankability.
11 March 2025
Frankfurt, Germany
The conference will gather the key stakeholders from PV manufacturing, equipment/materials, policy-making and strategy, capital equipment investment and all interested downstream channels and third-party entities. The goal is simple: to map out PV manufacturing out to 2030 and beyond.

Read Next

July 16, 2024
North America is expected to be the major market for solar trackers in the upcoming years driven by increased installations in the US.
July 16, 2024
Spanish independent power producer BNZ has appointed renewables asset manager Exus Renewables as asset manager for a 350MW solar portfolio in Spain.
July 12, 2024
PV Tech spoke with Helena Li at the Intersolar Europe 2024 event, about how Trina is looking to ensure effective operations.
July 12, 2024
China started conducting a trade and investment barrier investigation on the measures used in the EU’s Foreign Subsidies Regulation (FAR).
July 12, 2024
Swiss Utility BKW Energie AG has sign a power purchase agreement with food and beverage company Nestlé in Germany.
July 11, 2024
Iberdrola has signed a power purchase agreement with fast food chain Burger King to supply power from part of a 553MW solar PV plant. 

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
July 31, 2024
1:00 PM (BST) / 2:00PM (CEST)
Solar Media Events
September 24, 2024
Warsaw, Poland
Solar Media Events
September 24, 2024
Singapore, Asia
Solar Media Events
October 8, 2024
San Francisco Bay Area, USA