In a significant step towards its coal exit strategy, Slovenia’s electricity market operator, Borzen, has finalized a series of public auctions under the transitional financing framework. These auctions were executed in collaboration with the energy exchange BSP, utilizing its long-term trading platform, and are aligned with legislative efforts aimed at an accelerated and equitable phase-out of coal.
The primary auction involved the allocation of 260 GWh of baseload electricity to be produced by TPP Sostanj from January to March 2027. This volume was divided into six lots and drew competitive bids from four entities, encompassing two domestic companies and two international contenders. Ultimately, all six lots were awarded to GEN‑I, which secured the electricity at prices ranging from 110 to 111 euros per megawatt-hour (MWh).
Additionally, Borzen conducted a distinct auction focused on emission allowances necessary for the operations of TPP Sostanj. These allowances were procured from various market participants, with GEN‑I and international trading house Trafigura each supplying two lots. Furthermore, single lots were obtained from HSE and CFP Commodities Limited, with prices for carbon emissions ranging between 82 and 83.5 euros per ton.
The successful completion of these auctions is crucial for ensuring both electricity supply and carbon compliance for TPP Sostanj in the first quarter of 2027. This aligns with Slovenia’s broader coal transition framework, supporting the plant’s operational continuity while facilitating the country’s shift towards more sustainable energy practices.
