High competition at the second stage of the selection of projects for the construction of wind farms in Russia.

The second stage of selection of RES projects showed serious competition among investors for the right to build wind parks in Russia. According to the rules, at this stage of the competition, participants to win a victory can change the value of CapEx for the construction of wind parks in their applications. That we can see after the publication of the results of the stage. Changes in CapEx have reached a 30.3% decrease from the declared value in the first stage. As we noted earlier, the year 2021 was the most competitive, in which the excess of the planned volumes of capacity required for the selection of power over the total value of orders was 451 MW. And the tender participant, who proposed the construction of several facilities (or one in total) at 50 MW, reduced CapEx in its bid from 122,754 rubles per 1 kW to 85,599 per 1 kW, by 37,100 rubles, or 30.3%. This speaks either of the ability to manage its costs and serious experience in this industry, or about a wide choice of suppliers of wind generators and the possibility of regulating the price of supply.

According to the IRENA report, in global statistics, the cost of building wind parks costs for wind generators occupy 64-84% of the total cost. By simple calculations we can conclude that the cost of wind generator in the project of a wind farm should be from 54 783 to 71 903 rubles per 1 kW, that is, a 2.5 MW wind generator should be offered by a manufacturer to an investor at a price of 136,957,500 to 179,757,500 rubles or from 2,139,961 to 2,808,711 Euro, which does not exceed the average market price for the turbine. As an example, we address the report of Vestas for the 1st quarter of 2017, which shows a price of 0.88 million Euros for 1 MW, which is 2,200,000 Euros for a 2.5 MW turbine.

The competitive situation was noted in the requests for the construction of wind parks for 2020, 2021 and 2022, where the reduction in the value of CapEx participants is observed in the range 0.3 to 30.3%.

In accordance with the selection rules for RES projects, the results of the competition must be published no later than June 29, 2017, and we have reason to believe that we will learn the results before this deadline.