Polish wind wins majority share in joint tender with PV

Onshore wind projects totalling 900MW secure contracts in a 1.7GW joint tender, but prices are far below the wholesale market price

by Heather O’Brian 15 December 2020

EDP Renovávais is among the developers awarded 15-year contracts

A total 900MW in onshore wind farms were contracted to provide 29TWh of electricity in a 1.7GW joint solar and wind auction for projects over 1MW, Poland’s energy regulator has announced.

The average price for wind projects was PLN 227/MWh (€51/MWh), up from PLN 208/MWh at the previous auction in 2019, according to Polish wind energy association PSEW. The winning projects will receive 15-year contracts for difference. However, prices were well below the wholesale market price, which currently stands at about PLN 332/MWh and has risen sharply this year.  

PSEW said projects competing in the auction would not be able to use the most efficient, latest generation turbines due to an existing minimum-distance law the Polish government has pledged to soften.  

Solar photovoltaic installations totalling 800MW were contracted to provide 12TWh of electricity. 

The regulator said a total of 96 wind and solar projects received support in the auction, out of a total 127 bids at a minimum price of PLN 190/MWh and a maximum price of PLN 250/MWh.

Wind producers now have 33 months to begin selling the contracted electricity, while solar PV developers have 24 months.

Among the successful participants, EDP Renováveis was awarded CfDs for five wind and solar projects with total capacity of 220MW, expected to be commissioned in 2022 and 2023.