Price of wind and solar falls considerably in Argentine tender

Facebook
Twitter
LinkedIn
Reddit
Email
Whilst wind and solar prices are unexpectedly low, Argentina's energy ministers say prices are to fall even further still. Source: Flickr/Mariano Pernicone

Wind and solar bids were as low as US$49MWh and US$59MWh respectively, according to the first analysis of Argentina’s 1GW renewable energy tender.

Wind came in at the cheapest energy source, at 15% below the designated US$82MWh cap, with solar 14.6% below its cap of US$90MWh. According to a local report in the Télam, the average price of wind was US$69.5MWh with solar at US$76.2MWh.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Out of a total of 123 bids, 105 were deemed eligible; with 42 bids winning 2,870MW of wind power and 50 bids winning a total of 2,305MW of solar power. Biomass and biogas received eight bids winning 23MW, with five bids winning 11MW of hydroelectric power. According to the Argentine ministry of energy, the bid price values “are close to the international average” and are “well below” the US$120-240MWh range awarded in the December 2015 agreements.

Solar received 22 bids, from firms including JinkoSolar, Acciona and Soenergy International, as well as several local players. Likewise, 24 companies bid for wind contracts, including Acconia Energy, Enel and Envision.

Sebastian Kind, undersecretary of renewable energy, stated during the opening tenders for the country’s Renew Programme that prices for the next tenders could fall even further. “We hope future prices keep declining as we have more competition,” agreed energy minister Juan Jose Aranguren.

For now, winners of the current tender will be announced next week on 7 October. The tender is expected to be finalised 45 days after that. Deals signed will have between 12 and 24 months to become operational, according to Kind, adding that by the end of 2018, all wining projects will be commissioned.

This is the country’s first power auction following intensive reforms to create a grid independent of fossil fuels. Presently more than 60% of Argentina’s energy capacity is derived from fossil fuels. The country has a renewable target of 20% by 2025, including an interim target of 8% by the end of 2017. 

Read Next

September 17, 2025
US renewables developer Longroad Energy has reached financial close for its 400MW 1000 Mile solar project in the US state of Texas.
September 17, 2025
Spanish IPP Velto Renewables has acquired a portfolio of 53 operational solar assets in Spain with a combined capacity of 260MW.
September 10, 2025
Cordelio Power has started commercial operations at its 150MW Winfield solar project in Lincoln County, Missouri.
September 2, 2025
Iberdrola has commissioned the 316MW Ciudad Rodrigo solar project in Salamanca, Spain, the company’s second solar plant in the province.
August 28, 2025
Latin America has the potential to unlock billions in clean energy investment if it aligns national policies with global sustainability goals and investor expectations.
August 27, 2025
Solargis' Marcel Suri reports on the mixing of datasets in solar project planning to artificially enhance financial attractiveness.

Subscribe to Newsletter

Upcoming Events

Solar Media Events
September 30, 2025
Seattle, USA
Solar Media Events
October 1, 2025
London, UK
Solar Media Events
October 2, 2025
London,UK
Solar Media Events
October 7, 2025
Manila, Philippines
Solar Media Events
October 7, 2025
San Francisco Bay Area, USA