Engie to Conduct Two Virtual Auctions to Purchase Production from Renewable Energy Plants, Such as Wind and Solar Parks, in Long-Term Contracts

Written by Roberta Souza

Published on 17/09/2020 at 11:34

Foto: reprodução. Fonte: Engie

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Renewables – Engie Will Buy Renewable Energy from Producing Plants in Long-Term Contracts Through Electronic Auction

The company that operates in the generation and distribution of electricity, natural gas, and renewable energy, Engie, will hold two electronic auctions to acquire future production from renewable energy plants in long-term contracts. The auctions will take place in October on the 13th and 15th. The company did not disclose how much energy it intends to contract in the bids.

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Engie is keeping up with the new trend in the energy market in Brazil, competing with state-owned companies like Cemig and Copel, by purchasing energy from plants to be built by third parties. The company stated in a note that they will seal contracts for supply lasting 5 and 15 years. Engie did not disclose how much energy it intends to acquire in the auctions.

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On the 13th, it will acquire “incentivized” energy from wind or solar projects for the period 2023 to 2037, meaning the right to benefit from a 50% discount on network usage fees, ensuring the generation of renewable energy. In a statement, Engie says that “This auction is intended for companies that have generation projects in development, implementation, or operation.”

In the second auction, on the 15th, the company also aims to purchase “incentivized” energy, but not limited by source, allowing space for wind and solar plants, as well as biomass plants and small hydropower stations.

In the second event, companies registered with the Electric Energy Trading Chamber (CCEE) may participate, including generators, self-producers, and marketers, with a contract term from 2022 to 2026.

Engie to Conduct Two Virtual Auctions to Purchase Production from Renewable Energy Plants, Such as Wind and Solar Parks, in Long-Term Contracts

Renewables – Engie Will Buy Renewable Energy from Producing Plants in Long-Term Contracts Through Electronic Auction

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