The European Bank for Reconstruction and Development (EBRD) and the Energy Community Secretariat (EnCS) on Monday announced joint policy guidelines aimed at helping countries design and conduct renewable energy auctions.
The guidelines, devised with the help of the International Renewable Energy Agency (IRENA), set out key design principles for competitive bidding processes for renewables electricity, covering simple tenders and more complex selection methods. The proposed guidelines are intended primarily for countries which are parties to the Energy Community Treaty and EBRD countries of operation.
The announced policy guidelines are split into four main areas examining the overall framework for the competitive process and choices for the type of procurement, the selection process and the mechanism for the delivery of support. Each of the four points includes suggestions on the organisation of the auctions, setting regulations and restrictions, as well as procedures for selection.
The proposed guidelines are available on the websites of EBRD and EnCS.
According to Janez Kopac, director of EnCS, the guidelines will “truly ensure the cost-effectiveness of renewable energy deployment” and pave the way for a sustainable energy future in the Energy Community.
“Countries are turning to auctions as an instrument of choice to reach a competitive price for renewable energy electricity while achieving socio-economic and environmental benefits,” commented Adnan Z Amin, IRENA’s director-general, adding that the guidelines provide a “critical design tool” for countries willing to step up deployment of renewable energy capacity.
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