Russia holds auction to support the development of wind energy projects
Russia is looking to build up its wind energy capacity by auctioning off projects. The latest auction is the largest that the country has ever held to expand its renewable energy resources and will occur in two phases. The first phase of the auction began on May 29. The next phase is set to begin on June 9 of this year. Russia’s NP Market Council expects that the results of the auction will be revealed at the end of next month.
New energy project are expected to have a positive economic impact
Through its auction, Russia is looking to secure the development of 1.9 gigawatts of wind energy capacity. The Russian government predicts that developing this much wind energy capacity will have a beneficial economic impact, creating thousands of jobs and attracting foreign investments. Wind energy projects have proven that this is possible in other countries, and Russia is eager to help bolster economic growth through the adoption of new forms of power. The country is, however, expected to remain heavily reliant on fossil-fuels for the foreseeable future.
Developers have already submitted bids for new wind energy projects
According to the Russian Association of Wind Power, some 450 megawatts worth of applications from wind energy developers were submitted on the very first day of the auction. Fortum, a Finnish energy developer, has reported that it has submitted bids for the majority of the renewable energy capacity being offered by the Russian government. The remaining capacity is expected to be divided amongst other developers for the sake of market diversity.
Russia may continue to support wind energy due to economic prospects
Wind energy has come to attract significant attention in Russia. The country’s massive landmass provides it with ample space to develop large-scale clean power projects and some of regions of Russia experience strong wind currents. Wind energy may come to play a major role in the country’s future, likely due to its economic prospects rather than Russia showing any significant concern over climate change.