• Tuesday, November 20, 2018

    Renewable Energy

    RenovAr - MiniRen/Round 3

    Through Resolution 100/2018 dated as of November 14, 2018, the Governmental Secretary of Energy started the National and International Open Tender for the public procurement in the Mercado Eléctrico Mayorista (Wholesale Electricity Market, or “MEM” for its acronym in Spanish) of electricity from renewable energy sources -the “RenovAr Program - MiniRen/Round 3”- with the aim of entering into Forward Market Agreements called Agreements for the Supply of Renewable Electricity Energy with Compañía Administradora del Mercado Mayorista Eléctrico Sociedad Anónima (“CAMMESA”) on behalf of the MEM Distributing Agents.

    With this new tender four hundred (400) MW are bid, to be distributed by technology (mainly wind and solar, and to a lower extent, biomass, biogas and small hydroelectric exploitations), region and province, accepting ventures with a maximum capacity of 10 MW and a minimum of 0.5 MW. Likewise, maximum prices for each technology are set; these prices range from 60 to 160$/MW.

    Energy shall be supplied through new generating plants, and it shall not be permitted to accept offers implying expansions of plants already devoted to agreements entered into under: the RenovAr Program Rounds 1, 1.5 and 2, Resolution No. 202/2016 of the former Ministry of Energy and Mining ("MEyM") and Resolutions No. 220/07, 712/09 and 108/11 of the former Secretary of Energy that depended from the former Ministry of Federal Planning, Public Investment and Services. It shall neither be permitted to accept those projects that by the date of submission of the offers had been assigned a dispatch merit order according to the provisions of the Annex of Resolution No. 281/2017 from the former MEyM.

    Payment priority for the Agreements for the Supply of Renewable Electricity Energy to be entered into shall be first in precedence, equivalent to that of the MEM Supply Agreements, and pari passu for the supply agreements under the RenovAr Program Rounds 1, 1.5 and 2, but in this case there shall be no dispatch priority regarding other renewable energy plants that operate in the MEM.

    Regarding fiscal benefits, maximum quotas per technology are set. In order to obtain said benefits, offerors shall include in their offer the request for fiscal benefits of the Renewable Energy Incentive Regime and its detailed quantification, being the guarantee of maintenance of the offer the sole guarantee required for such purpose.

    The Trust Fund for Renewable Energy (“FODER”) shall back CAMMESA’s payment obligations –thus guaranteeing the relevant energy payments– for a period of ninety (90) days. In turn, funding of the FODER Trust’s payment guarantee account shall be secured through a bond agreement to be entered into by Banco de Inversión y Comercio Exterior S.A. (“BICE”) and Banco de la Nación Argentina.

    The consultation period will be open from November 20, 2018 until February 18, 2019, while the submission of bids is fixed for March 27, 2019, followed by the awarding of bids on May 17, 2019 and the execution of the relevant agreements between May 20 and November 8, 2019.

    If you want to access the Resolution and the Bidding Terms and Conditions (available only in Spanish) click on the following links:

    Resolución SE 100/2018

    Pliego de Bases y Condiciones

    For more information, do not hesitate to contact María Inés Corrá, Tomás Araya or Ximena Daract Laspiur.

    Click here to print this publication.