UPDATE - Official results from Spain's renewables auction are in
Las Tadeas wind farm, Spain. Image by Capital Energy (https://capitalenergy-group.com)
The Spanish government-led renewable energy auction on Tuesday awarded 3,124 MW of wind and solar power for an average price of EUR 30.5 (USD 35.54) per MWh, the ministry for the ecological transition said Wednesday after releasing the official results.
According to the ministry, the auction that was meant to award 3,300 MW attracted offers exceeding 5,100 MW, but in the end, 866 MW of solar PV and 2,258 MW of wind power capacity secured the award.
The auction settled on the weighted average price of EUR 31.65/MWh for solar PV and EUR 30.18/MWh for wind power, the ministry said.
These prices stand above the ones achieved in the January 26 round, when solar PV reached EUR 24.47/MWh, with wind averaging EUR 25.31/MWh. Nevertheless, the minister for the ecological transition, Teresa Ribera, noted that the prices in the latest round were still a far cry from over EUR 200/MWh that is being paid on the Spanish wholesale electricity market.
The October 19 auction was the second time that the pay-as-bid model was employed since the government introduced it in November 2020. It was also aimed at projects that can start delivering electricity by the end of September of 2022 at the earliest and by June 30, 2024 at the latest.
Despite the absence of Spanish renewable energy majors Iberdrola SA (BME:IBE), Endesa SA (BME:ELE) and Acciona Energia (BME:ANE) in this round, there was no shortage of bids from big name companies. According to the official results, the big winner was renewables developer and power retailer Capital Energy, as reported by multiple media outlets.
Capital Energy, which also swept the auction round in January, this time collected 1,540 MW of wind and 8 MW of solar PV capacity under two different special purpose vehicles. The company confirmed the award on its social media channels.
Forestalia Renovables, bidding as Nearco Renovables, secured 562.4 MW of wind power and 215.5 MW of solar.
Utilities were represented by Naturgy Energy Group SA (BME:NTGY), which won 221.4 MW of solar power. Repsol SA (BME:REP), the Spanish oil-and-gas major with a strong renewables portfolio and no wins in the January 2021 round, this time secured 138 MW of wind power capacity.
Portugal’s EDP Renovaveis SA (ELI:EDPR), France’s Engie SA (EPA:ENGI) and Germany’s BayWa r.e. AG are some of the non-Spanish players that secured capacity in Tuesday’s round.
Sladjana has significant experience as a Spain-focused business news reporter and is now diving deeper into the global renewable energy industry. She is the person to seek if you need information about Latin American renewables and the Spanish market.