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07.05.2018

Workshop on renewable energy auctions

Algeria plans to launch tenders for renewable energy auctions between 100 and 150 MW in 2018. These calls for tender are regulated by a certain number of regulatory texts, including a decree published in 2017 that specifies the different aspects of the auction process.

To optimize the auction’s framework in a way that leads to choosing the best projects in terms of cost, technology and local value creation, an in-depth analysis of the regulatory framework concerning renewable energy auctions was carried out by the main stakeholders in charge of their implementation in collaboration with international experts specialized in this field. The analysis included a study of the applicable legal and institutional provisions, including the treatment of the various decrees, and the review of the general provisions and legal definitions in force for the construction and operation of a renewable energy production facility. It began with the evaluation of the contracting authority's readiness effort and the assessment of the readiness effort for the bidder

In a second step, experts and workshop participants examined and discussed evaluation schemes and as well as possibilities and consequences for weighting different technical and economic criteria on choosing the best offer.

Subsequently, details of applicable procedures as performance guarantees and a range of different fees have been discussed, and a comparison of responsibilities, roles and competences of the institutions participating in the process has been realized, to reach a deeper understanding of what consequences the distribution of responsibilities and tasks might have on renewable energy auction’s outcomes.