Solar set to sweep the board in Hungary’s first renewables auction with $0.067/kWh the lowest bid

The Hungarian Energy and Public Utility Regulatory Authority (HEPURA) has published the list of 169 clean energy projects that have applied to compete in the country’s first technology neutral renewable energy auction, launched in late October.

The authority revealed 168 of those projects – with a combined generation capacity of 348.5 MW – are PV plants, with only one, 500 kW project being for landfill gas.

Of the solar proposals, 141 projects had capacities ranging from 300 kW to 1 MW with the remaining 27 up to 20 MW in scale. The organizing body also revealed 18 of the solar projects will feature trackers.

Bid prices

Solar power bid prices ranged from HUF20.20/kWh – for a 20 MW solar facility ($0.067) – to multiple offers of HUF26. The auction results are set to be announced in spring, according to HEPURA.

The authority will grant 15-year feed-in premium payments – which top up wholesale electricity prices – to the successful projects.

The tender is part of the METAR-KÁT renewables incentive program introduced by the government in 2017. The scheme was approved by the European Commission in July and entered force in October with a 10-year budget of HUF45 billion ($150 million).

*article was amended on January 11 to clarify that the only pre-selected project not relying on the PV technology is for a lanfill gas power plant, an not for a wind turbine.