Aggregating solar PV installation demand in small municipalities to boost clean energy transition

The aggregation process began with the announcement of the Call for Proposals under the Energy and Climate Change programme, a financial initiative of the European Economic Area. This call offered co-financing for solar rooftop PV installations, with a minimum support threshold of €200,000. This requirement presented a challenge for many local governments and public institutions unable to meet the threshold individually.

To engage smaller local governments in the project application, The Regional Energy Agency North (REA) dedicated six months to project development assistance. This included hundreds of phone calls and emails to motivate decision-makers and public servants, providing essential technical support throughout the complex preparation process. The agency facilitated procurement, developed technical documentation, negotiated with local branches of the national DSO, and coordinated various local challenges.

Ultimately, 21 Croatian public institutions partnered in the initiative, ranging from small municipalities to the county hospital and regional water distribution company.

During the implementation phase, the main hurdle was navigating the joint public procurement procedure. Rising prices, supply chain issues, a shortage of installation companies, and payment terms were all factors considered during market research. Understanding these market conditions was crucial for preparing documentation. Despite installation companies being inundated with orders, the agency successfully generated interest from suppliers, resulting in competitive pricing and bids. PV capacities ranged from 3.6 kWp to 400 kWp.

In addition to financial savings, standardization streamlined various activities, simplified project monitoring, and reduced risks. The knowledge and experience gained led to the creation of replicable procurement documentation that REA North applied in subsequent projects.

The Solar Roofs for Green Virovitica and One Sun Connecting North & South projects received a budget of €1.7 million, resulting in 36 solar PV installations on the roofs of public buildings, including hospitals, kindergartens, schools, faculties, utilities, and cultural heritage sites across 17 Croatian municipalities and cities.

Source: Regional Energy Agency North

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