European Union’s inaugural tender under groundbreaking EU renewable energy financing mechanism closed on September 27, 2023, with a remarkable oversubscription of bids.
In a resounding display of enthusiasm for renewable energy, the European Union’s inaugural tender under the groundbreaking EU renewable energy financing mechanism closed on September 27, 2023, with a remarkable oversubscription of bids.
Launched in April, the renewable energy tender focused on projects in Finland boasting a capacity ranging from 5 MW to 100 MW, vying for a budget of EUR 40 million generously contributed by Luxembourg.
The competition was fierce, with a diverse array of projects vying for the spotlight, primarily centered around solar photovoltaics renewable energy installations. Cumulatively, the projects exhibited a staggering total capacity of 516 MW, emphatically surpassing the set target volumes.
This robust response underscores the fervent competition within the industry, all vying for a piece of the available budget. The European Commission has hailed these results as a positive stride towards a greener future.
Moving forward, the European Climate, Infrastructure, and Environment Executive Agency (CINEA) will take the reins, meticulously evaluating the eligibility of each project and awarding them based on their proposed price. This process ensures that the most economically viable and competitive bids will be given precedence, followed by subsequent selections until the budget is completely allocated.
Following the evaluation phase, the chosen project developers will be extended invitations to prepare comprehensive grant agreements by January 2024. Subsequently, they will have a window of 24 months post-grant signature to bring their solar PV projects to fruition, marking a significant stride towards a sustainable energy landscape.
The EU’s renewable energy financing mechanism was established by the Commission in 2020, embodying a pivotal step towards galvanizing renewable energy initiatives and fostering a broader adoption of sustainable practices across the European Union.
At its core, this mechanism seeks to forge stronger collaborative efforts among EU nations, promoting a united front in the widespread adoption and advancement of renewable energy solutions. This landmark tender stands as a testament to the collective commitment towards a greener, more sustainable future for all.