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dc.contributor.authorMartín Cañadas, María Elena
dc.contributor.authorCoronas Herrero, Sergio
dc.contributor.authorAlonso Travesset, Alexandre
dc.contributor.authorHoz Casas, Jordi de la
dc.contributor.authorMatas Alcalá, José
dc.contributor.otherUniversitat Politècnica de Catalunya. Departament d'Enginyeria Elèctrica
dc.contributor.otherUniversitat Politècnica de Catalunya. Doctorat en Enginyeria Elèctrica
dc.date.accessioned2020-10-14T13:14:54Z
dc.date.available2020-10-14T13:14:54Z
dc.date.issued2020-07-01
dc.identifier.citationMartín, H. [et al.]. Renewable energy auction prices: near subsidy-free? "Energies", 1 Juliol 2020, vol. 13, núm. 13, p. 3383:1-3383:21.
dc.identifier.issn1996-1073
dc.identifier.urihttp://hdl.handle.net/2117/330225
dc.description.abstractThe latest trend of low record bid prices in renewable energy auctions has raised concerns on the effective deployment of the winning projects. A survey of recent auction data from several countries, technologies and remuneration designs is analysed and compared with the corresponding levelised costs of energy (LCOEs) to draw first insights on their viability. A critical assessment of the ability of the LCOE for determining the adequate bid level is then performed and the preliminary unviable results of selected mature technologies are further investigated using improved profitability metrics as the project and equity net present value (NPV) and internal rate of return (IRR). As representative examples, the analysed Danish 2019 onshore wind and photovoltaics (PV) auctions require very specific scenarios to become viable, which cast doubts on their effective implementation. Under the assumptions of a realistic base case, the sensitivity analysis revealed that either 59% of decrease in the weighted average cost of capital (WACC), or 37% of discount on the investment cost or a 3.6% annual increment in the mean market price is needed for achieving the NPV break-even in the onshore wind case. Likewise, the PV case is unprofitable whatever the WACC may be, and either a 60% discount on the investment cost or a 6.8% annual increment in the mean market price is needed for the NPV to break-even. Although some projects could be relying on indirect revenues or additional sources of incomes beyond the auction support, it remains to see if they are finally materialised.
dc.language.isoeng
dc.rightsAttribution 4.0 International (CC BY 4.0)
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/3.0/es/
dc.subjectÀrees temàtiques de la UPC::Energies::Aspectes econòmics
dc.subject.lcshRenewable energy sources
dc.subject.otherAuctions
dc.subject.otherSubsidy-free
dc.subject.otherZero-subsidy
dc.subject.otherTenders
dc.subject.otherLCOE
dc.subject.otherProfitability
dc.subject.otherValuation
dc.subject.otherEnergy policy
dc.subject.otherRenewable energy
dc.titleRenewable energy auction prices: near subsidy-free?
dc.typeArticle
dc.subject.lemacEnergies renovables
dc.contributor.groupUniversitat Politècnica de Catalunya. SEPIC - Sistemes Electrònics de Potència i de Control
dc.identifier.doi10.3390/en13133383
dc.description.peerreviewedPeer Reviewed
dc.relation.publisherversionhttps://www.mdpi.com/1996-1073/13/13/3383
dc.rights.accessOpen Access
local.identifier.drac29516785
dc.description.versionPostprint (published version)
local.citation.authorMartín, H.; Coronas, S.; Alonso, A.; De La Hoz, J.; Matas, J.
local.citation.publicationNameEnergies
local.citation.volume13
local.citation.number13
local.citation.startingPage3383:1
local.citation.endingPage3383:21


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