Renewables

Federation of BiH drafts 2025-2030 renewable energy auctions plan

Federation of BiH auctions solar wind energy community

Photo: Rusmir Gadžo from Pixabay

Published

April 16, 2024

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Published:

April 16, 2024

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Over the period 2025-2030, the Federation of Bosnia and Herzegovina (FBiH) plans to launch auctions for large wind and solar power projects with a total capacity of 240 MW and subsidize the operation of small photovoltaic, biomass and biogas facilities of a combined 61.2 MW.

The schedule for allocating the incentives was published by the Federal Ministry of Energy, Mining and Industry in its draft decree on quotas for renewable energy sources and efficient cogeneration. Auctions were enabled with the new Law on the Use of Renewable Energy Sources and Efficient Cogeneration last August.

The public consultation on the draft decree is open by April 22, the ministry said. FBiH is one of the two political entities of Bosnia and Herzegovina. The other one is called the Republic of Srpska.

Renewable energy communities will get a share in the quotas for each technology for small facilities

The document defines quotas for each technology and quantities of electricity from small projects that are set to be supported by guaranteed purchase prices. Their developers compete in so-called FIT auctions. The draft contains the planned volume of auctions for large power plants for fixed premiums (FIP) as well.

Renewable energy communities got a share in the quotas for all technologies in the segment for small facilities.

The regulator will conduct FIP auctions at least once every two years

The volumes of FIP auctions were determined based on sectoral targets for electricity production.

The Operator for Renewable Energy Sources and Efficient Cogeneration (Operator za OIEiEK) will conduct FIP auctions at least once every two years, according to the draft. The aim is to have auctions once a year for each technology separately.

Federation of BiH auctions solar wind

Federation of BiH auctions solar energy community

Of note, the entity Law on the Use of Renewable Energy Sources and Efficient Cogeneration defines the fixed premium as the amount awarded to the winners of FIP auctions for every megawatt of electricity they will produce. It is added to the price achieved on the day-ahead market.

The guaranteed purchase price is fixed and determined for each privileged power producer that secures such a tariff through FIT auctions, according to the legal framework. They sell the electricity that they generate to Operator za OIEiEK.

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