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Eurowind Energy’s Ewe Solar Project in Romania, of 110 MW, is now eligible for government support in the form of a contract for difference (CfD), even though it landed just below the line in the last renewable energy auction. It got upgraded from the reserve list as the developer of two winning photovoltaic endeavors has decided to exclude some sections.
Depending on the policy framework and market conditions, renewable energy investors sometimes opt for power purchase agreements (PPAs) or the electricity exchange instead of locking in a fixed price for the long term in a government support scheme. Enery Element, which won CfDs in Romania’s last solar power auction, decided not to sign some of the contracts. It means Eurowind Energy, the first in the reserve list with its Ewe Solar Project, can now fill the quota instead of its competitor.
Enery Element has obtained the rights to the CfDs with two projects that it conveniently split into several sections each. It enabled it to withdraw only parts of the future photovoltaic plants.
Enery Element cancels three sections of 46 MW altogether
Enery Element pulled away two of the 11 lots that its subsidiary Baboia Solar Plant won for a facility in Ogrizeni in Giurgiu county.
They were the lowest strike prices in the entire auction: EUR 35.77 per MWh and EUR 36.33 per MWh. The proposed two sections, for a combined capacity of 25.9 MW, lowered the total to 324.2 MW.
According to an earlier update, the solar power plant would have 535 MW in peak capacity. The project firm also won a grant of EUR 6.1 million for a 121.9 MWh battery energy storage system.
Baboia Solar Plant, also known as Ogrizeni, would include a subsidized BESS of 121.9 MWh
Enery Element is a joint venture between Austrian renewable energy company Enery Development and its Bulgarian partner Element Power Group.
Conversely, with Siret Solar Plant, Enery Element canceled the part with the highest strike price of the four that were selected. The levels were from EUR 38.76 per MWh to EUR 38.79 per MWh.
It slashed the part of the capacity qualified for CfDs in the Dumbrava 2 project to 88.5 MW from 108.6 MW. The developer didn’t reveal the reason for its move.
Eurowind Energy lifts auction’s highest strike price to EUR 46 per MWh
The Ministry of Energy said it would replace the canceled capacity with Ewe Solar Project of 110 MW. It is a special purpose vehicle, working under Denmark-based Eurowind Energy.
The accepted price is EUR 46 per MWh, while the new lowest level on the list is EUR 36.69 per MWh, for a segment of the Baboia Solar Plant.
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