Israel: Public Utility Authority Plans 1GW Solar Tender

The Public Utility Authority (PUA) of Israel has announced it plans to issue more than 1GW of a new solar tender following a two-year hiatus from any new solar development. This anticipated plan represents an effort to boost this nation’s renewable electricity production and distribution.


As reported by PVTech, the planned tender is being authorized with Israel’s renewable energy target in mind to ensure the nation meets its goal of 10% renewables being integrated into the overall power supply by 2020, the PUA has said.

According to a local report, solar developers will compete for tariff rates based on their own individual proposals rather than being assigned predetermined rates in the conventional way. According to the Jerusalem Post, the tender is intended to promote greater transparency in the feed-in tariff (FiT) process while minimizing electricity costs.

“[The new quotas] pave the way toward a future replete with clean energy,” said National Infrastructure, Energy and Water Minister Yuval Steinitz.

The Jewish Virtual Library provides this perspective regarding Israel’s solar industry.

“Photovoltaics, although having little if any industrial backing in Israel at present, does enjoy a modest degree of government support because this technology may form the basis of some of the power stations of the future.”

Following the announcement, the PUA is to hold at least six tender rounds in which solar developers can compete for PV projects, at predetermined times. Categories up for bidding are low, high and extra-high voltage; with facilities being required to be completed in 18-36 months depending on the category. Overall, the competitive procedure is scheduled to last a year, commencing in January 2017.

Bidders will need to provide a guarantee of US$20/kW at the proposal stage and US$70/kW in the final winning stage, together with a feasibility study in the case of extra-high voltage projects.

In a statement, PUA chairman Assaf Eilatgreat said this was positive news for the energy sector in Israel.  It is hoped the volume of renewable energy produced from the current 2% level will support the government’s objectives for increasing renewable electricity output.

The news of the solar quota is an exciting development for Israel, paving the way for a cleaner and more economical energy future.

Image via Google Creative Commons


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