Solar dominates Poland’s latest renewables auctions
Poland’s URE has shared the results of seven renewables auctions that took place in December.
An auction for solar and wind installations greater than 1 MW received 172 solar bids and two onshore wind bids. It approved 126 solar projects totaling around 1,481 MW and the two wind projects totaling 90.8 MW.
The minimum price for solar agreed under the auction was PLN 244.80 ($59.67)/MWh compared to a maximum price of PLN 334.77/MWh, against a reference price of PLN 389/MWh.
The minimum price for wind agreed was PLN 149/MWh compared to a maximum price of PLN 175/MWh, against a reference price of PLN 324/MWh.
Meanwhile, an auction for solar and wind installations of no more than 1 MW received 96 solar bids and no wind bids.
A total of 72 solar bids from 40 producers were approved, for an undisclosed total capacity. The minimum price for solar awarded under the auction was PLN 297.78/MWh, compared to a maximum price of PLN 388/MWh, against a reference price of PLN 414/MWh.
A further five auctions were held covering hydroelectric power plants, agricultural biogas plants and installations using biomass and biogas other than agricultural. These auctions were not resolved due to a lack of offers, as Polish law stipulates an auction must receive at least three valid offers to be contracted.
URE said 36% (16 TWh) of the total electricity allocated across the seven auctions was approved, for 30% (PLN 5.1 billion) of the total value available.
URE President Rafał Gawin said it should be noted that interest in the support mechanism remains at a similar level to 2022 and 2023.
“The dominance of photovoltaic projects in the auction system contrasts with the still low availability of wind projects, and the attempt to create auction baskets for other technologies, which the legislator provided for in the regulation, once again proved ineffective,” Gawin said. “The lack of interest in technologies such as biogas plants, hydroelectric power plants or installations using biomass indicates the need for reflection on their role in the auction and energy system. In this situation, it seems reasonable to consider revising the regulations, which would enable more effective support for these technologies.”
Figures from URE show that that since Poland’s renewables auctions began in 2016, more than 274 TWh of electricity worth almost PLN 67 billion has been contracted, with the vast majority covering newly designed installations.
Poland added around 4.6 GW of solar in 2023, taking its cumulative installed capacity beyond 17 GW.
In November, Poland’s Institute for Renewable Energy (IEO) said that there are over 4,000 solar projects with a combined capacity in excess of 19 GW ready for implementation across the country.
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