Germany Awards 505 MW In Solar Tender

• Germany has disclosed the results of its second solar auction in 2019 which was oversubscribed
• As against 500 MW of total on offer, the agency received 163 bids for more than 869 MW; final awards went out for over 505 MW
• Lowest and highest winning bids came in at €0.039 ($0.0438) per kWh and €0.084 ($0.0943) per kWh
• Moving ahead, the next technology-specific solar power tender will be held on June 1, 2019, while the joint tender for onshore wind and solar systems is scheduled for April 1, 2019

Results of the second solar power auction of 2019 in Germany have been announced by the country's Federal Network Agency or Bundesnetzagentur wherein total capacity of 505.185 MW was awarded for 121 projects. The original capacity offered in the tender was 500 MW. The bids concentrated on Bavaria (41), Saxony-Anhalt (18) and Brandenburg (15).

Against the ceiling tariff of €0.089 ($0.10) per kWh, winning bids the agency received were as low as €0.039 ($0.0438) per kWh and as high as €0.084 ($0.0943) cents per kWh. Weighted average tariff was €0.0659 ($0.074) per kWh.

In the previous round of tenders preceding this one, the agency points out the winning bids varied between €0.0411 to €0.0518 ($0.046 to $0.058) per kWh, with the weighted average being €0.0480 ($0.054) per kWh (see Solar Fares Better Than Wind in German Auctions).

Out of the responses received, 17 bids with a total of 192 MW capacity were cancelled due to errors in the filling up of the forms, and 26 bids were nullified as these were proposed to be located on arable land in Bavaria, which is all full.

The tender was oversubscribed with total incoming bids adding up to more than 869 MW in 163 project proposals.

"There are currently seemingly sufficient solar projects in place to retrieve the additional tendering quantities introduced by the Energy Sources Act and to ensure a competitive process," said Jochen Homann, president of the Federal Network Agency.

The complete list of winners can be viewed on the website of the Federal Network Agency. Winners now have to submit second financial security with the agency to stake claim to the capacities won.

Next technology-specific solar power tender will be held on June 1, 2019, while joint tender for onshore wind and solar systems is scheduled for April 1, 2019.

Solar trade industry body of Germany, BSW-Solar hailed the interest received from developers for this 'first photovoltaic special auction', but asked the government to loosen land restrictions around solar power development, including small scale solar.