SHARE
+44 (0) 1865 952700 | contact@auroraer.com
Press enquiries
  • This field is for validation purposes and should be left unchanged.

Insight

Home/Portuguese solar auctions 2020

Portuguese solar auctions 2020

We are pleased to present our latest Portuguese solar auctions 2020 commentary on the upcoming auction for solar and storage systems. 

Aurora’s key thoughts include:

  • Compared to the 2019 auction, a new “flexibility option” will be included to provide capacity payments (€/MW/year) to solar plus storage while providing an insurance against price spikes to the system through a one-way CfD
  • In the 2019 auction, 75% of allocated capacities opted for the “guaranteed remuneration” scheme. Considering the current uncertainty from COVID 19, this scheme is likely to remain a preferred option in this year’s auction
  • We expect similar levels of competitiveness in this auction compared to last year. This is driven by what we expect will be a highly subscribed process and, as it relates to the “fixed price” modality, the strong appetite for revenue certainty in the current market price environment
  • The modality for solar plus storage is unlikely to be able to compete with the other remuneration options due to i) high CAPEX costs for storage systems; ii) low benefits for reducing solar price cannibalisation in the short term as solar capacities remain low; and iii) high competitiveness to capture price spreads due to the existing fleet of pumped hydro
  • Under Aurora’s Central forecast, deployment of subsidised renewables is expected alongside merchant/quasi merchant projects depending on the risk-return preference of developers. As such, we do not envisage the outcomes of the auction to affect our previous capacity and price projections
This is non-subscriber content. To enquire about subscribing to our Iberia service, please get in touch.
View Report

Our subscription services

Our subscription service provides you with long-term market forecasts, strategic insight reports, interactive client forums and access to our market data and analytics platform.

Interested? Please sign up to receive our complimentary monthly summary reports via email. Simply tick which reports you would like to receive. Please indicate your consent in the box provided and view our privacy policy.

If you would like further information on a particular subscription service or report please enter further information in the box provided.

 

 

  • Please find our privacy policy here

  • Aurora's Iberian Power Market Forecast presents a comprehensive view on the state of the Spanish and Portuguese power markets, and includes our latest outlook on prices, production, capacity, and asset performance to 2050.

    Read More
  • Read our commentary, following the release of Portuguese government's final results of the solar auctions held in July 2019.

    Read More
  • The GB Distributed and Flexible Energy Market Outlook presents Aurora’s comprehensive view on the state of the market, and includes our latest outlook on capacity, wholesale, balancing, ancillary and local flexibility markets, showing how these can be monetised by flexible assets.

    Read More

Independent intelligence for the global energy transformation

Contact us