The Argentinian government will not hold the planned fourth round of the Renovar program for large-scale renewable energy projects this year or in 2019. Marcelo Álvarez, from local renewable energy industry body Cámara Argentina de Energías Renovables (CADER) confirmed the news to pv magazine.
According to the Crónica newspaper, the government said grid constraints and difficult financing conditions may raise prices in the next bidding round. The utility-scale renewable market however, will receive a further push over the next two years from the private PPA segment, the government claims. The newspaper article reports that, through this plan, the Argentinian Ministry of Energy and Mines hopes to “clean the market” while waiting for several big solar and wind projects – selected in previous RenovAr bidding rounds – to be connected.
The private PPA segment, which is seeing deals closed between power producers and energy-intensive industrial clients, may not be enough however, to ensure the same levels of growth – at least in terms of developed projects.
In a recent interview with pv magazine the head of Argentinian power provider SAESA – Juan Bosch – revealed private PPAs with a combined capacity of 200 MW may have been signed already this year. “In the country there are 2,300 companies that could decide to buy energy through this kind of contract. Much will depend, however, on how the rules are improved for this [to] work”, he said.
Popular content
The new rules were introduced in August 2017. “However the procedures and requirements, as well as the excessive public control in the contracting, are still factors that prevent more PPAs from being closed in this initial phase in Argentina,” added Mr. Bosch.
Under the first three rounds of the RenovAr program the Argentinian government approved 1.7 GW of solar projects. In the last of the three auctions, the lowest price for solar was $40.4/MWh with the highest and average prices $52.3/MWh and $43.5/MWh, respectively.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: editors@pv-magazine.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.