Spanish renewable energy company Grenergy has launched a competitive auction offering 380 GWh of solar production annually in Chile to generators, marketers and other industrial companies, calling it the 1st such auction that changes the conventional functioning of the energy market in the country.
A reverse auction allows the seller to choose from among offered bids a price at which it would want to sell the electricity.
Power to be auctioned via local electricity marketplace Match Energia, will come from Grenergy's Gran Teno Solar PV Plant with 240 MW capacity. The project is currently at an advanced stage of development and has secured a grid connection permit from the authorities as well as the environmental approval.
It is located in the central part of Chile, a region with high national electricity consumption where its 'production becomes strategic for various industrial sectors'.
"The objective is to reach a larger number of generators, marketers and other corporations and finally sign power purchase agreements (PPA) with interested bidders," explained Grenergy that currently counts its renewable energy pipeline in the country as exceeding 2.6 GW at different stages of development. It already operates over 400 MW solar power capacity here.
"This reverse auction is a tool that will further accelerate the deployment of renewable energy in Chile which will allow the company to build the plants in the development phase all over the country," added the company's Marketing Director Juan Friedl.
Grenergy said the process is being very well received and applications will be accepted till April 5, 2022. Further details of the auction can be found by contacting the company directly.