Price falls to €0.0723/kWh at 5th round of German pilot PV tender

The price for winning bids went down again also in the latest round of German pilot PV tenders at which 25 bids with a combined volume of 130MW won.

The average price of a winning bid came in at €0.0723 per kilowatt hour of electricity to be produced, lower than the €0.0741/kWh at the previous round.

“the price level in the fifth tendering round despite a low number of bids again has sunk slightly,” says Jochen Hohmann, the president of Germany’s federal networks agency BNetzA.

“That shows that the competition for ground-based PV arrays is still working.”

Prices at German pilot PV tenders have continuously decreased since their start in early 2016, but slow construction activity from winning bids is starting to raise doubts in the sector of how realistic some of the bids were.

The fifth tendering round again was heavily oversubscribed, with 62 bids with a volume of 311MW competing for 125MW originally on offer.

Germany held two 150MW PV auctions for ground-based arrays last year, and one 200MW round, totalling 500MW.

This year, it will auction only 400MW in total, followed by 300MW in 2017, before a rise to a regular 600MW per year from 2018 on under the rules of the just approved reform of the country’s Renewable Energies Act (EEG).