The FER1 auctions are underway. The tender to participate in the new incentives put up for auction by ministerial decree 4 has started today July 2019 (so-called Fer1), which provides for new incentives for renewable sources, for a total of 8.000 MW. Published on 9 August in the Official Gazette and entered into force the following day, it had a very long gestation process: it was expected by the end of 2017 and the successive governments have painstakingly brought it to the final goal. The GSE (Electricity Services Manager) published the operating regulation in record time, before the 15 days required by law, and finally we arrived at the auctions which begin on 30 September. The first round will end on 30 October but given that the wait for operators in the sector has been very long, it is foreseeable that there will be a rush to present offers.
But who can be admitted to the new race? There are four different groups of plants that can compete.
In group A there are the facilities wind turbines on-shore of new construction, complete reconstruction, reactivation or upgrading, in addition to photovoltaic systems newly built.
In Group A-2 there are incentives for the plants PV of new construction, whose modules are installed on the roofs of buildings and rural buildings, replacing asbestos or asbestos.
In group B facilities are included hydroelectric new construction, complete reconstruction (excluding aqueduct systems), reactivation or upgrading. In addition to these, also the plants gas leftovers of newly built, reactivated or upgraded purification processes.
In group C the Decree provides incentives for the remake full or partial of wind farms on-shore, hydroelectric and residual gases of purification processes.
Depending on the power of the plant, the Decree provides for two different ways of assigning the 8.000 MW available: registration to Logs for installations of power less than 1 MW (and above 20 kW for photovoltaics) and participation in Auction Procedures downwards on the incentive rate, for plants of power greater than or equal to 1MW.
Looking at the different types, the quota for those registered with the registers provides for a maximum of 770 MW overall for Group A, 800 MW for A-2 as well as 80 and 120 MegaWatt respectively for Group B and C.
The quotas for the auctions are more substantial: 5.500 MW for group A, 110 for group B and 620 for group C.
The one that opened on 30 September is the first of the scheduled auctions. We will continue according to the following schedule:
We start with the auctions and with the assignment, therefore, of new incentives according to the prices listed in the table prepared by the GSE on its website.
But 8.000 MW seem to be a drop in the ocean compared to the additional need of 40.000 MW estimated to achieve the objectives of the National Plan (Pniec) linked to 2030 when renewable sources will have to ensure 30% of gross final energy consumption
