Luxembourg launches two solar tenders

Luxembourg’s Ministry of the Economy has opened two new solar tenders.

The first offers companies investment aid for the construction and operation of solar power plants. It is the fourth opportunity of its kind in Luxembourg, with selected applicants provided with a subsidy once their solar plant is commissioned.

The tender has an overall budget of €20 million ($23.2 million) and is divided into three lots. The first covers solar installations up to 3 MW on building roofs and in areas of economic activity. The second lot is for building-mounted solar with unconventional construction, such as the use of lightweight modules on building roofs, up to 2 MW in size. The final lot covers solar in shaded areas up to 3 MW in size.

For the first time, each lot includes sub-batches dedicated to solar installations with accompanying battery storage capacity. A statement from the ministry says these sub-batches will offer higher subsidies in an attempt to encourage companies to install batteries and further optimize the use of electricity produced.

The funding call is open for applications until October 17.

The second tender is for projects seeking operating aid, with selected companies offered a market premium contract over a 15-year period during which the plants will be remunerated on the basis of the electricity produced and fed into the grid.

This is Luxembourg’s seventh tender for operating aid purposes. A total of 45 MW is available, divided into four lots. The lots cover solar at industrial sites, on building roofs, in shade or in water basins and innovative solar installations, such as solar on building facades. The tender is open for applications until November 28.

Both opportunities form part of a series of measures adopted by the Luxembourg government earlier this year to increase the deployment of renewable energy sources. 

Luxembourg’s cumulative solar capacity reached 523 MW at the end of 2024, up from 394 MW a year earlier, according to the International Renewable Energy Agency (IRENA).