Changes to Auction Rules. BOEM will be employing new auction software for lease sales held in 2024. The auction format remains an ascending clock auction with multiple-factor bidding. There are four main changes to the ascending clock auction rules in the new software applicable to this lease sale, as follows:
Changes to Auction Rules. BOEM will be employing the BOEM Auction System for sales held in 2024. The auction format remains an ascending clock auction with multiple-factor bidding. However, there are five main changes to the ascending clock auction rules in the BOEM Auction System, as follows:
Changes to Auction Rules. BOEM will be employing new auction software for the Central Atlantic lease sale. The auction format remains an ascending clock auction with multi-factor bidding. Three primary changes have been made to the ascending clock auction rules in the new software. The first change is that if a bidder decides to bid on a different Lease Area in a subsequent round of the auction, it will be allowed to submit an intra-round bid for the Lease Area it bid on in the previous round and, simultaneously, submit a bid for another Lease Area. This allows a bidder to possibly switch to another Lease Area if the price of the first Lease Area exceeds its specified intra-round bid price. The second change is that the determination of provisional winners will no longer use a two-stage process. The auction rules are implemented in a way such that, when the auction concludes, the bidder who remains on a Lease Area after the final round becomes its provisional winner. There will be no additional processing to determine if any other Lease Areas can be awarded to other bidders. The third change is that the upcoming auctions will use a ‘second price’ rule. A given Lease Area will be won by the bidder that submitted the highest bid amount for the Lease Area, but the winning bidder will pay the highest bid amount at which there was competition (i.e., the ‘second price’). All potential bidders should review the complete Auction Procedures for Offshore Wind Lease Sales (Version 1) located at: xxxxx://xxx.xxxx.xxx/renewable-energy/lease-and-grant-information.
