Spain’s upcoming 3 GW renewable energy auction expected to be held on July 18

The Spanish government will likely hold the 3 GW power auction for large-scale wind and solar power projects on July 18. This is the date indicated by the government in the draft resolution for the auction, which was sent by the advisory council to the country’s National Markets and Competition Commission (CNMC).

In a statement to pv magazine, the solar association UNEF confirmed that this will very likely will be date of the auction, although it is still not officially confirmed.

The association also explained that the bidding rules for the auction will be the same as the 3 GW renewable energy auction held on May 17. Only the maximum discount which can be offered by project developers, was increased for both wind and solar, according to the document submitted to the CNMC. “Despite this,” said the UNEF to pv magazine, “if most  developers will offer the maximum discount, it is very likely that the offers will end in a draw.”

If the discounts don’t reach the maximum allowable value, PV will have an advantage over wind. But if there is a tie, wind would prevail, as standard wind projects provide more forecast operational hours, and that will be the tie-breaking criterion. This is precisely what PV developers are most worried about.

The UNEF believes that, if the limit for the maximum discount is not removed, all the offers that equalize should be accepted. In doing so, the discrimination between the two technologies will be eliminated. Due to the current rules, PV projects will not be given the opportunity to prove their competitiveness, the association stressed.

In the latest auction, in which in the event of a tie between solar and wind the latter was given priority, only 1 MW of solar was allocated, while the remaining 2.999 MW were assigned to wind projects. Projects selected in the auction must begin delivering power in 2020.