Denmark issues tender for solar projects up to 1 MW

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The Danish Energy Agency has issued a long-expected tender for PV projects up to 1 MW in size.

The tender, originally scheduled for 2017, will assign around 35 MW of PV capacity and will have a total budget of DKK107 million ($16.7 million).

Interested developers have until November 1 to submit project proposals. PV schemes must not be connected to the grid in a consumer installation, and must be connected within two years after contract signing, the agency said in a statement. Another requirement is that projects must be at a late development stage before participating. The agency added there is a bid cap of DKK0.15/kWh.

Selected projects will be awarded a 20-year premium tariff. Price premiums, however, will not be granted for production during hours when the spot price for electricity is negative, the agency announced in March.

The tender is the first of two planned this fall, the agency said. The second is a mixed wind-solar auction the European Commission recently approved.

Denmark’s cumulative installed PV capacity reached 854.8 MW as of March 3, 2017, according to the latest statistics available from energy operator Energinet.dk.