Albanian news outlets reported in late December last year that AGA-SOLAR has submitted an application for a 150MW solar park to Albania’s Ministry of Infrastructure and Energy. AGA-SOLAR is a local PV project developer, and the proposed solar park will be sited in Darzezëe e Re, a village near the city of Fier. The cost of the project has yet to be disclosed.
Based on generation capacity, this 150MW project would be the largest in Albania to date, followed by the 140MW project at the edge of Karavasta Lagoon and the 100MW project in the port city of Durrës. The latter two projects are being developed by French firm Voltalia and expected to sell electricity at the prices set in accordance with their respective tender contracts. The Ministry of Infrastructure and Energy announced last December that the 100MW project, which Voltalia secured last April, will sell 70MW of its capacity at EUR 29.89/MWh. This price is significantly below the ceiling of EUR 55 set in the tender. However, the remaining capacity will be sold at the market price.
Conversely, the project in Darzezëe e Re is a wholly private investment project and will not seek subsidies from government. After the submission of the project application, the government is providing a 15-day period for comments from the public.
Presently, Albania relies on hydropower for much of its electricity production. However, intense droughts related to climate change have compelled the country to develop other kinds of renewable generation. The National Renewable Energy Action Plan that Albania submitted to the European Council aimed for 490MW of solar PV by 2020. This target was not reached.