Germany, Hungary fuel European solar growth with auction awards

Facebook
Twitter
LinkedIn
Reddit
Email
Image credit: Seth Fogelman / Unsplash

Solar has scored two auction victories in the space of a few days in Europe, bagging support both in the continent’s most established industry base as well as one of its more nascent markets.

Germany’s latest PV-only auction awarded 301.2MW of contracts to 51 project bidders, according to the results revealed recently by national regulator the Federal Network Agency (FNA).

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 tariffs scored by solar winners went from 4.64 to 5.48 euro cents per kWh (5.11 to 6.04 US dollar cents per kWh), with the average sitting at 5.18 euro cents per kWh (5.71 US dollar cents per kWh).

In line with policy changes announced last week, FNA did not share any information beyond the aforementioned figures for overall capacity awarded and highest and lowest project tariffs.

FNA’s decision not to identify individual auction winners at this stage stems from a will to prevent construction deadlines from kicking in, in a bid to help developers facing COVID-19 delays.

The reprieve follows recent warnings from the German solar industry – at 50GW, Europe’s largest at present – of impacts from the intensifying virus outbreak, including supply and staff shortages.

Solar dazzles at Hungary’s green energy auction debut

To the southeast in Hungary, solar projects also emerged as the clear winners of a technology-neutral renewable auction, the first in the country’s history.

Last Friday, the former Soviet republic announced the tender under its so-called METÁR scheme has chosen a 193GWh-a-year fleet of 72 winners, down from the 168 that had applied.

According to state agency HEA, the auction will grant all winners – solar projects for the most part – combined annual subsidies of 229 million Hungarian forints (US$704,000) for 15 years. 

PV applicants dominated both the smaller (0.3MW to 1MW) and larger (1MW to 20MW) auction baskets, bagging 131MW-plus in tender contracts across both categories.

Hungary’s maiden tender programme comes alongside feed-in tariffs for 50-500kW plants and a separate green premium 0.5-1MW plants can opt to without the need for an auction.

The auctioning efforts come as the country becomes an increasing target of PV players, including Hevel Group (76.6MW), ReneSola (33.6MW), Unisun (6.76MW), ABO (6.2MW) and others.

The prospects and challenges of solar's new era in Germany, Hungary and the rest of Europe will take centre stage at Large Scale Solar Europe 2020 (Lisbon, on 30 June-1 July 2020).

This publication has also set up a tracker to map out how the COVID-19 pandemic is disrupting solar supply chains worldwide. You can read the latest updates here.

If you have a COVID-19 statement to share or a story on how the pandemic is disrupting a solar business anywhere in the world, do get in touch at [email protected] or [email protected].

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

Subscribe to Newsletter

Upcoming Events

Solar Media Events
May 1, 2024
Dallas, Texas
Solar Media Events
May 21, 2024
Sydney, Australia