WindEurope chief executive Giles Dickson (pictured) has called for the Spanish Government to adopt technology specific auction shoot-outs as the country ramps up its renewable sector.
Dickson urged the country to ditch its neutral auction system under its Contracts for Difference, which was adopted in January.
As of this year the country has auctioned 3GW of renewable energy capacity under the new tender design, resulting in the lowest ever price for new onshore wind energy in Europe, according to the European agency.
Dickson’s comments were made at the announcement that next year’s WindEurope conference will be held in Spain’s north coastal region of Bilbao for the second time.
He said there are now concerns that technology neutral auctions will put wind projects at a disadvantage when forced to compete on price with solar.
Dickson said: “There’s a bit of a myth out there that the EU wants countries to organise technology neutral auctions, no they do not.
“If a government of the EU says to the EU Commission that they want to develop both wind and solar, then the European Commission is perfectly happy for that country to have technology specific auctions and it only makes sense because wind and solar deliver very different products.
“The value of the electricity they are putting into the energy system is very different so to force them to compete against each other at a technology neutral auction does not make sense and we hope that the Spanish Government will now move to their Contracts for Difference auctions being exclusive technology specific.”
Juan Diego Diaz, President of the Spanish Wind Energy Association, echoed that saying: “Let’s compare pears with pears and apples with apples.”
He told the press conference: “This is one of the elements we are more concerned about. At a European level we have seen that neutral auctions don’t work.
“We’ve seen at auctions in Germany, these neutral auctions that took place years ago based on price, PV always turns out to be the winner but the fundamental thing is it’s not only about pricing, it’s value.
“Both PV and wind power are going to be technologies that are going got be necessary to reach the (climate neutral economy) objective for 2050 but let’s compete pears with pears and apples with apples.”