Albania has opened the doors for investors to submit their photovoltaic projects for consideration in an upcoming tender offering 15-year contracts for difference (CfDs). Deputy Prime Minister and Minister of Infrastructure and Energy, Belinda Balluku, outlined the conditions for Albania’s fifth renewable energy auction since 2018, specifically focusing on solar power. The government is committed to guaranteeing CfDs for a 15-year period.
The available quota for this tender is 300 MW, and the government has set a maximum acceptable price of EUR 59.97 per MWh. Project developers submitting the lowest bids will be selected until the total capacity of 300 MW is fulfilled.
Balluku emphasized that the tender aligns with Albania’s goal to become a net exporter of electricity by 2030. The country, currently heavily reliant on hydropower, recognizes the need to integrate solar and wind power to balance domestic energy production.
In a departure from previous solar power auctions, investors are now required to secure land rights independently. The previous auctions were won by the French renewables developer Voltalia, which is on the brink of officially launching its 140 MW Karavasta facility, the largest photovoltaic facility in the Western Balkans.
Potential participants can submit bids for one or more projects, each with a capacity ranging from 10 MW to 100 MW. The upper limit has been set to ensure at least three winners, as explained by Balluku.
The next phase of the tender process involves an investor conference scheduled for March 14. Interested parties must submit their qualification documents by April 5, with technical and financial offers due by May 17. Balluku emphasized that there will be no extensions to these deadlines.
The ministry plans to publicly open the offers on July 10, simultaneously announcing the selected winners. It is noteworthy that the project selected in the first solar power auction in Albania did not materialize, and the preceding auction focused on wind power.