30 Nov 2023, 13:10
Edgar Meza

Evaluation criteria, bonus payments could boost European renewable energy manufacturers – report

Clean Energy Wire

In order to increase the market share of European manufacturers in the renewable energy sector, wind turbines and photovoltaic (PV) roof systems could receive more funding if they are produced with a low CO2 footprint, the German Energy Agency (dena) recommends in a new report conducted on behalf of the economy ministry (BMWK). Dena analyzed how demand for wind turbines and PV systems manufactured in Europe could be strengthened through qualitative tendering criteria. In tenders for onshore wind and PV roof systems, for example, bonus payments would be more appropriate due to lower competition in these market segments. Winning bidders could also receive a monetary bonus per megawatt hour if their systems meet certain greenhouse gas reduction and/or resilience criteria, which only European manufacturers are likely to meet.

In segments with higher competition and oversubscription of tenders, such as ground-mounted PV, dena recommends that bonuses be eliminated and replaced by evaluation criteria. Evaluation criteria in such segments make sense as they would enable detailed grading and have less of an impact on the level of competition than prequalification criteria, the study notes. Evaluation criteria would include a point scale, with the bid price having by far the greatest weight at 70 percent. Greenhouse gas emissions and the resilience of the supply chain could also be taken into account. Such criteria and bonus payments could be introduced quickly and increase demand for European products, dena states. The study also recommends funding programmes for the expansion of production facilities. “To advance product development in a certain direction, innovation support programmes appear to be more suitable,” dena adds. Several German states and PV companies have recently unveiled a ten-point plan to protect and strengthen the country’s solar power industry in order to ensure its planned expansion in Germany and the rest of Europe.

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