Single buyer of RES electric energy (the FSC of RE LLP) undertakes to buy electric energy generated by RES facilities and delivered by them to the unified power system of the Republic of Kazakhstan at auction prices determined on the basis of auction with allowances made for annual indexation.
According to the Law of the Republic of Kazakhstan on support of renewable energy sources, the auction price is the the FSC of RE LLP's purchase price of the electrical energy generated by RES facilities, defined by auction results and not exceeding the level of the corresponding marginal auction price.
Ceiling auction price – the maximum value of the auction price for electric energy. The ceiling auction prices for the electric energy produced by the RES facilities are approved by the Order of the Minister of Energy of the Republic of Kazakhstan dated January 30, 2018 No. 33.
The FSC on RES LLP annually indexes auction prices in accordance with provisions of the Rules for determining fixed tariffs and auction prices, approved by Resolution No. 271 of the Government of the Republic of Kazakhstan dated March 27, 2014. Auction prices are subject to annual indexation, starting from the second year of electricity generation: 70% on change of national to convertible exchange rate and 30% on consumer price index.
For the first auctions in 2018, the auction prices were determined at the level of fixed rates, approved by the Decree of the Government of the Republic of Kazakhstan dated June 12, 2014 No. 645.
The ceiling auction prices for subsequent auctions will be determined based on the results of the previous auctions at the maximum price of the winner.
The maximum auction prices for 2020 are shown in the table:
If you have any questions about the procedure for indexing auction prices, please contact our colleague from LLP FSC of RE – Akhmetova Zamira.