The government of Kosovo has revealed the names of six contenders vying for a contract to construct a new 100MW solar plant in the country, marking a significant stride in Kosovo's renewable energy ambitions.
The pool of bidders includes companies from across Europe and beyond, with Turkish consortia Çalik-Limak and Guris Insaat Muhendishik, Swiss consortium Orllati, German firm Notus Energy Kosovo, French company Akuo Energy SAS, and Egyptian firm Elswedy Electric in the mix.
Akuo Energy SAS, a newcomer to the Kosovan market, brings extensive experience from its ventures in both European solar sector and emerging markets, including notable projects in Portugal and France.
The bidding process, initiated by the government in May last year, aims to establish the solar plant in Kramovik, situated in the Rahovec municipality in southern Kosovo. The selected bidder will enter into a 15-year power purchase agreement (PPA) with KOSTT, Kosovo's national market operator, with potential for conversion to a contract for difference as part of Kosovo's decarbonization strategy.
Kosovo's renewable energy landscape has been nascent, with only 10MW of installed PV capacity reported by the International Renewable Energy Agency by the end of 2022. The government's resolve to transition away from coal-fired plants, cited as “depreciated and inefficient,” underscores the urgency to adopt cleaner energy sources. The country plans to decommission at least one coal-fired plant by 2031 and aims to meet 35% of its energy demand with renewables by the end of the decade, alongside a 32% reduction in greenhouse gas emissions.
Minister of the Economy, Artane Rizvanolli, affirmed the government's commitment to fostering renewable energy projects, stating, “With the same enthusiasm, we will develop other competitive projects as part of this package, starting with the 150MW wind auction that we will launch this year.”
Kosovo's government envisions a series of auctions over the next two years to facilitate the addition of 950MW of new power capacity to the grid, requiring an estimated total investment of €1.2 billion (US$1.3 billion). These initiatives signal Kosovo's proactive stance towards embracing renewables and shaping a sustainable energy future.
