France awards support to 600 MW renewables and 1.5 GW demand response

French Minister of the Ecological Transition Barbara Pompili has announced the award of support for 600 MW of renewable energy capacity and acceptance of more than 1.5 GW of demand management capacity for the coming winter.

Auction results saw 332 MW of guaranteed tariff support awarded to solar parks or roofs (typically for car parks) and 258 MW for wind farms, corresponding to 45 and 23 projects respectively. A further 9 MW related to 31 small-scale solar. The tariff guarantees are valid for between 15 and 20 years.

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"Despite the health crisis, the number of projects applying for calls for tenders for wind power and ground-based photovoltaics has greatly exceeded the volumes offered," the ministry said.

Prices offered by winning projects were down sharply compared to the previous round of auctions in April, "confirming the drop in costs, the dynamism and the competitiveness of the sectors," it said.

The average tariff for solar parks and roofs was Eur57.4/MWh, down 7.4% versus April. Wind project awards averaged Eur59.7/MWh, down 4%, while micro-solar averaged Eur13.8/MWh, down 14%.

"Once commissioned, these projects will produce nearly 1 TWh of carbon-free electricity per year, equivalent to the consumption of around 190,000 households," the ministry said.

Meanwhile some 1.509 GW of demand response bids were accepted across 59 sites, almost double the amount accepted last year (770 MW).

The latest round includes 371 MW that would be available for the last two months of this year, the ministry said.

The increase in volume reflected the ministry's decision to double the bid price ceiling to Eur60/MW.

Increasing demand response was one of a series of measures taken to manage peak demand this winter, given that the pandemic delayed nuclear plant maintenance early this year.

Another set of auctions is to take place in November for ground-based solar photovoltaic and wind power projects.