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Estonia launches its first auction for small-scale renewable projects

The Ministry of Economic Affairs and Infrastructure of Estonia has launched the first round of renewable auction, which will test the market capability and will be followed by larger renewable electricity procurement rounds. In the first round, Estonia will seek to award projects to secure 5 GWh/year of renewable power generation from 2021. Small-scale wind, solar PV and biogas projects between 50 kW and 1 MW will be allowed to take part in the auction and to submit bids to the national power transmission system operator (TSO) Elering by 18 march 2020. Winners will receive a premium of up to €53.7/MWh on top of the market price (capped at €93/MWh for the premium and market price combined) over a 12-year period.

Estonia's energy development plan for 2030 set the following targets for renewables: 28% in primary energy consumption, 50% in final energy consumption and 80% of heat production in 2030.