Serbia Launches Second Renewable Energy Auction With EBRD Backing To Boost Green Power

Serbia has launched its second renewable energy auction, aiming to support wind and solar projects through a 15-year contract-for-difference (CfD) scheme. The auction will allocate up to 300 MW for wind energy, with a maximum bid price set at €79/MWh, and up to 124.8 MW for solar PV projects, with a maximum bid price of €72/MWh. This initiative is the result of technical cooperation between Serbia’s Ministry of Mining and Energy and the European Bank for Reconstruction and Development (EBRD), with financial support provided by the Swiss government through a grant from the Swiss State Secretariat for Economic Affairs (SECO).

The EBRD has been a strong supporter of renewable energy development in its regions, working closely with Serbian authorities to create competitive bidding systems for renewable energy projects. This collaboration has also included regulatory reforms needed to make these auctions possible. A key outcome is the CfD (Contract for Difference) scheme, which encourages investment by offering developers stable revenues. Funding for this technical assistance, covering both regulatory improvements and auction processes, has been provided by SECO and EBRD shareholders.

Matteo Colangeli, the EBRD’s Regional Director for the Western Balkans, said in a statement, “We believe that auctions are the most effective tool to deliver competitively priced green energy and we are proud of the partnership we built over the years with the Serbian authorities to introduce the necessary regulations and conduct these processes. Following the success of last year’s auction, this second step towards fulfilling the 1,300MW three-year plan announced by Serbia is an important signal to investors and all market participants about the country’s commitment to scaling up wind and solar energy – a commitment that we intend to continue supporting in the years ahead through more investments, technical assistance and policy advice.”

Dubravka Đedović Handanović, Minister of Mining and Energy, mentioned, “The greater capacity from clean sources that we will provide through these auctions will bring increased electricity production in our country, contributing to greater economic growth and an increase in foreign direct investment. Increasing green energy’s share of the energy mix is also important for achieving the goals of the green agenda, and its availability is increasingly a requirement of investors for investing in Serbia.”

He further added, “We expect that investors will again show significant interest in this auction and that the entire quota will be used, both for wind energy and for solar energy, and we hope for even more competitive and lower prices, because we expect great competition. This will bring us closer to achieving the goal foreseen in the three-year incentive plan for RES, which envisages 1,300 MW of new capacity from RES.”

The EBRD is a major investor in Serbia, with over €9 billion invested across 365 projects so far. Its work in the country focuses on strengthening private-sector competitiveness, supporting the shift to green energy, and developing sustainable infrastructure.