Ten won lots will secure the creation of green generation with a capacity of 300 megawatts
Naftogaz VES company won a competitive tender held by Guaranteed Buyer SE to allocate support quotas for wind power generation. The enterprise secured 10 lots with a total capacity of 300 MW. This is reported by the portal PromPolitInform, citing information from Naftogaz.
Market participants competed for the right to build new capacities during an open auction organized by the state enterprise. Nine bidders submitted ninety-three applications, while the total volume demanded reached 1.218 GW.
The overall interest from investors exceeded the offered quota by almost two times. The average price in the submitted proposals turned out to be twenty-six percent lower than the starting contest price.
Economic benefits for the state
Due to high competition, the state customer managed to obtain favorable conditions and real cost savings. Such mechanisms make it possible to attract investments into new generation under market conditions and at a price advantageous for consumers and the state.
The appearance of new wind power plants will increase the share of renewable generation in Ukraine and strengthen the country’s energy security. This is also an important step towards the modernization and decarbonization of Ukraine’s energy sector, as well as its further integration into the European energy market.
Strategic goals of Ukrainian energy sector
The future facilities will play a key role in the process of modernizing the domestic fuel and energy complex. The project brings the Ukrainian market closer to full integration with the pan-European energy space.
«New wind power plants of Naftogaz Group will increase the share of renewable generation in Ukraine and strengthen the country’s energy security. At the same time, this is an important step towards the modernization and decarbonization of Ukrainian energy, as well as its further integration into the European energy market», — noted Acting Chairman of the Management Board of NJSC Naftogaz of Ukraine Serhii Fedorenko.
The expansion of the portfolio of renewable projects fully complies with the approved decarbonization strategy of Naftogaz Group. Gradual transition away from fossil fuels is an essential part of the company’s overall strategy.
Illustrative photo: Crisco 1492 / CC BY-SA 4.0
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