Investor appetite triggers deadline push for Portugal PV auction

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
Energy state secretary João Galamba outlined Portugal's solar auction calendar at Solar Media’s Large Scale Solar Europe summit in March (Credit: Solar Media)

Developers keen to submit their interest for Portugal’s first ever solar-only auction will have an additional week to do so, an extension prompted by high demand

Contacted by PV Tech today, the Environment Ministry confirmed the deadline to take part in the 1.4GW PV tender has been pushed until Sunday 7 June, as media reports had anticipated.

The Ministry confirmed that around 300 interested parties have put themselves forward on the online bidding system, as Environment minister João Pedro Matos Fernandes had told Reuters.

“The main reason for the extension of the deadline is that the competition (between interested bidders) is very big,” Matos Fernandes was quoted as saying. “We want to be certain we get the best proposals.”

The auction is the first of a series meant to help Portugal take installed PV capacity from 572MW in 2018 to 8.1GW-9.9GW by 2030, as Energy state secretary João Galamba told PV Tech in March.

In an exclusive interview with this publication, Galamba explained a second 700MW solar-only tender will follow in early 2020, together with a 50-100MW energy storage auction in the same year.

Galamba defended Portugal’s choice for a two-layered solar auction design, with a first fixed-price modality catering to firms struggling with PPAs or financing and a second – without any fixed tariffs – meant for those with PPAs already in place or under negotiation.

However, the blueprint drew scepticism from some quarters at Solar Media’s Large Scale Solar Europe summit in March, attended by the state secretary.

Approached by PV Tech at the Lisbon event, Dr Benedikt Ortmann, managing director and head of solar projects at BayWa r.e, warned the second modality – allowing firms to bid for capacity in the grid – may result in “speculative” bids from players with still-hazy projects.

For her part, Lorena Ciciriello, head of debt financing at NextEnergy Capital, described her firm’s “wait and see” stance with Portugal. “We’re evaluating more the private PPA route and won’t participate in auctions at this stage. It will depend on the fixed prices we see,” she commented.

Read Next

May 5, 2021
Europe’s solar industry has lauded the inclusion of a commitment to "re-ignite" Europe's solar manufacturing sector within the European Commission’s refreshed industrial strategy.
PV Tech Premium
May 3, 2021
Companies are purchasing solar, wind, and other forms of renewable energy more than ever before. The power purchase agreement (PPA) market in Europe has grown to a cumulative capacity of over 12GW, with a record 4GW signed in 2020. Corporate climate commitments are opening doors for investment in renewable energy, and continued price declines are convincing companies to sign new contracts. Is the European market ready to fulfil its potential? By Dr. Mercè Labordena, senior policy advisor at SolarPower Europe, and Milena Koot, communications advisor at SolarPower Europe
April 28, 2021
Renewable energy group BayWa r.e. has opened what it claims is its largest PV warehouse in Europe yet in a bid to expand its distribution network in the continent.
April 14, 2021
While recent solar auctions in Spain and Portugal have made headlines with low prices and high levels of participation, the power purchase agreement market will be key to helping both countries reach their 2030 solar deployment targets, it was suggested during a panel discussion.
April 13, 2021
European solar investors are coming to terms with smaller returns, however banks, governments and grid operators could do more to help alleviate risk and ease investor concerns.
April 8, 2021
Iberdrola has formed a strategic alliance with insurance company Mapfre that will initially invest in 230MW of clean energy projects in Spain, including 130MW of solar PV.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
May 26, 2021
Session 1 - 7:00 AM (BST) | Session 2 - 5:00 PM (BST)
Solar Media Events
June 15, 2021
Solar Media Events
July 6, 2021
Solar Media Events
August 24, 2021