Auctions for renewable energy support - Suitability, design, and first lessons learned

In this regard, we theoretically analyze auction formats that are potentially suitable for renewable energy auctions. We focus on the most discussed auction formats in practice: pay-as-bid and uniform price auctions. We highlight advantages and point to potential pitfalls for bidders and auctioneers under relevant market and framework conditions in the RES context. Finally, our theory-based results are substantiated by first-hand experiences from different countries.