Brazil is ramping up solar development with another solar auction scheduled for November. According to an official statement by the Ministry of MInes and Energy, Brazil’s next wind and solar reserve energy auction will take place on November 13th. The government plans to contract about 500 MW of solar annually through national auctions. Earlier this week, the Brazilian government had set the date the date for its first solar-only reserve energy auction, which will take place on August 14th.
The reserve auction is part of a combined solar and wind tender. Winning projects will receive 20 year purchase contracts and are to start operation on November 1, 2018. Project developers won contracts for 889.7 MW of solar and 769 MW of wind capacity in a similar public auction in October 2014.
Brazil’s electricity sector regulator Aneel will be responsible for the organisation of the auction. The deadline to submit projects for approval to energy planning company Empresa de Pesquisa Energética (EPE) is June 18.
The November reserve auction is the third national solar auction in Brazil. Last year, the first national solar auction took place, in which about 1 GW of solar projects was awarded.
According to Rodrigo Lopes Sauaia, executive director of the Brazilian Association of Solar Photovoltaic Energy Producers (Absolar), “the auction held on October 31st successfully sold a substantial amount of solar power because it was the first time the government both created a separate category for solar power and set a maximum price ceiling for it that was attractive to developers. The amount of energy sold was within the 500 to 1,000 MWs that Absolar had estimated would be sold before the auction”. The association represents solar developers.
Among the developers that sold solar power were Enel Green Power, an Italian renewable energy company; Solatio Energia, a Spanish-Brazilian joint venture; and Brazilian solar developers Renova Energia and Rio Energy.