We'll be entering a few apps I would imagine. As Damian says, will be good for publicity. Plus these events are great for getting pissed and making contacts :)
Actually think pay to enter is perfectly fine. It's pretty cheap per app €75 (ex. VAT). Most awards at this level are pay to enter, and makes sense to me why.
1) make some cash, or at least cover costs
2) keeps out junk
3) limits the amount of work involved in shortlisting as a result of (2)
4) if you cant afford the entry fee there's a fairly high chance that the app falls under (2)
There really should be a couple of free student awards though.