Portugal launches first auction for green biomethane and hydrogen
The government will auction up to 127 GWh/year of hydrogen with a maximum price of €127/MWh, and up to 150 GWh/year of biomethane with a maximum price of €62/MWh.
July 26, 2024 Pilar Sánchez Molina
Energy Storag
Hydrogen
Markets & Policy
Europe
Portugal
Western Europe
Setúbal, Portugal.
Image: Diego Delso, Wikimedia Commons.
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From pv magazine Spain
As pv magazine reported in January, Portugal has launched a competitive electronic auction for the centralized procurement of biomethane and hydrogen produced by electrolysis of water using electricity from renewable energy sources.
This is the first auction of its kind for the injection of renewable or low-carbon gases into the public gas grid. Transgás, S.A., acting as the wholesale supplier of last resort, will act as the contracting authority, while the Directorate General of Energy and Geology (DGEG) will oversee the procedure and appoint the jury.
In this procedure, the government will auction up to 150 GWh/year of biomethane with a maximum price of €62/MWh, and up to 127 GWh/year of hydrogen with a maximum price of €127/MWh. Transgás will be responsible for purchasing the auctioned quantities through direct contracts with the producers. The agreements will be valid for 10 years from the date of the first injection into the grid, without exceeding 36 months from the date the aid is granted. Bidders must submit their applications by 11:59 p.m. on August 12.
Applications must be submitted on the procedure platform at omip.pt.
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