Greece’s Regulatory Authority for Energy (RAE) has suggested stricter participation requirements for the new three-year renewable energy (RES) auctions in order to increase successful bidding.

The regulator has proposed EUR 1.000 as a minimum registration fee for renewable energy auctions to be calculated at EUR 150 per MW rate.

According to the proposals, participants will also be obliged to provide letters of guarantee representing one percent of investment totals. That would mean this term would cost participants EUR 1,000 for a 100 kW PV investment and EUR 125,000 for a 10-MW wind energy park, Energy press portal has calculated.

If another RAE’s requirement of a goodwill letter of guarantee, worth 4 percent of the total investment, get to be applied, it would mean EUR 4.000 for a 100 kW photovoltaic facility and EUR 600.000 for a 10 MW wind energy park.

The Greek Ministry of Energy planned two renewables capacity auctions within the first six months of this year: 300 MW for photovoltaic capacity and 300 MW for wind energy installations have been expected to be offered in 2018 separate auctions, while the joint auction for both PV and wind was planned in 2019.

The ministry expects joint auctions for both technologies to boost competition and cut cost for renewable energy consumers.

When European Commission approved the Greek auction scheme for the production of electricity from renewable sources and high-efficiency cogeneration, in early January, it said that the Greek auction scheme, in line with EU State aid rules, will further European Union energy and climate goals whilst preserving competition.

RAE now has proposed, however, that in 2018, in addition to 300 MW of solar and 300 MW of wind, 400 MW of combined technologies should be auctioned in joint-auction. The regulator considers the same scheme to be applied next year. In 2020, it said, there would be no need for the joint auction.