the feed MANY MINDED · THE BRIEF
ENERGY · forward · impact 2/5 · 2026-08-18 · malta

Malta Readies Second Renewable Energy Auction to Lower Household Costs

Malta's regulator prepares competitive bidding for renewable projects targeting a 0.01/kWh cost reduction for small-scale systems.

Malta's Regulator for Energy and Water Services (REWS) is preparing a second competitive bidding round for renewable energy projects in late 2026. The invitation to bid document will launch August 24, 2026, with submissions due October 5–12, 2026. This round targets projects between 40 kW and 10 MW capacity, following a first round in May–June 2026 that awarded two projects at €0.136/kWh. The government states both rounds could collectively add 15 MW of renewable capacity with bids capped at €0.14/kWh—0.01/kWh cheaper than Malta's current feed-in tariff for systems below 40 kW (€0.15/kWh). Malta's solar capacity reached 250 MW by end of 2025, up 12 MW from 2024.

The competitive bidding mechanism drives down prices for small-scale renewable systems by creating direct market pressure. By capping bids at €0.14/kWh, the auction forces suppliers to compete on cost before the feed-in tariff expires. This could reduce costs for households using renewable systems by up to €0.01 per kWh.

For households with small-scale solar, this represents a potential cost reduction of €0.01 per kWh—meaning a household using 1,000 kWh monthly could save €10 per month if the bid cap is met. The auction’s success depends on whether the 15 MW target is achieved and whether the €0.14/kWh cap is consistently reached.

What to watch: The October 5–12 submission window, the auction’s impact on small-scale solar adoption, and whether the 15 MW capacity target is met. Caveats: Solar capacity data comes from IRENA; all dates and figures reflect PV Magazine’s August 18, 2026 reporting.

Source: pv magazine