The Spanish Ministry for the Ecological Transition and the Demographic Challenge (MITECO) has released the results of the first renewable energy tender under the new regulatory framework, which offered 3 GW of renewable capacity, including 1 GW of photovoltaic, 1 GW of onshore wind and 1 GW of renewable technology without restrictions. A total of 84 companies participated in the tender, submitting bids for 9,700 MW, i.e. more than three times the power auctioned. 3,034 MW of capacity were awarded, including 2,036 MW of solar PV at a weighted average price of €24.5/MWh and 998 MW of wind at a weighted average price of €25.3/MWh. Winners secured 12-year power purchase agreements (PPAs).
In November 2020, the Spanish Council of Ministers approved a decree establishing a new regulatory framework for renewable energy auctions, the Economic Renewable Energy Regime (Régimen Económico de Energías Renovables, REER). The text creates a “pay as bid” system in which bids will be submitted sealed, and the winners will receive different prices based on their offers. The new scheme allows hybridisation between technologies, the expansion and modification of existing plants and will be compatible with electricity storage.
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