Albania becomes first Energy Community Contracting Party to hold renewable energy support auction

Renewable energy
14 November 2018

Albania has successfully completed the first-ever renewable energy support auction in the Energy Community.  Director Janez Kopač commented:

We warmly welcome the first renewables support auction in Albania and hope that it will be followed in all Contracting Parties. Renewable energy auctions provide a competitive selection processes for granting support, resulting in lower renewable energy prices. This is a clear gain for energy consumers.”

The winning consortium is to build the country’s first solar power plant in the Akerni region near the city of Vlora. The auctioned volume was 50 MW with support, to be purchased by the Government at 0.0599/kWh over 15 years, which is lower than the base and peak prices at the Hungarian Power Exchange (HUPX), the reference for the electricity import price in the region, registered in August and September 2018. Another 50 MW, without support, is to be sold at the market price. 

The renewable energy auction in Albania was preceded earlier this year by Montenegro granting the tender for the construction on state-leased land and operation of a solar PV project with an installed generation capacity of 250MW without support.  

In March 2018, the Energy Community Secretariat together with the European Bank for Reconstruction and Development and in collaboration with the International Renewable Energy Agency issued Policy Guidelines to help countries design and implement competitive selection processes for supporting renewable energy.