The Greek parliament has approved a new law introducing renewable energy policies for auction design and small projects with stable feed-in tariffs.
Since 2016, when Greece introduced its competitive auction framework for renewable energy and held its first PV tender, the country has awarded more than 2 GW of solar capacity. Awarded projects typically participate in the energy market and secure variable feed-in premiums on top of market prices. The value of these premiums depend on a number of market variables, such as marginal price, in addition to tariffs set via competitive tenders.
This policy remains in place today, but at the end of April, the Greek parliament voted in a new law (Law 5106/2024) that allows the government to hold auctions for asset owners who are willing to accept higher power curtailment rates for their projects than usual, as well as installations that include energy storage systems.
The new policy goes into effect from May 1, but the European Commission will have to approve the new auction scheme before the Greek government can hold the first tenders.