The Bundesnetzagentur has announced the results of the offshore wind power auctions for non-centrally pre-investigated sites, which closed for bids on 1 June 2023.
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A dynamic bidding procedure was conducted for each of the four sites up for auction; it was the first time such a procedure had been carried out.
The proceeds from the auctions came to €12.6bn.
"The results confirm the attractiveness of investing in offshore wind energy in Germany," said Klaus Müller, President of the Bundesnetzagentur. "Competition in offshore wind power has never been so high. The results are a key step towards achieving the offshore expansion target of 30 gigawatts by 2030."
Four sites with a combined volume of 7,000 megawatts (MW) were up for auction. Three sites for offshore wind farms, each with a capacity of 2,000 MW, are located in the North Sea and one site with a capacity of 1,000 MW is located in the Baltic Sea.
The sites in the North Sea (N-11.1, N-12.1, N-12.2) are about 120 km north-west of Helgoland whilst the site in the Baltic Sea (O-2.2) is around 25 km from the island of Rügen.
The wind farms are due to be operational in 2030.
The successful bidders were bp OFW Management 1 GmbH with a bid of €1.83mn/MW for site N-11.1, North Sea OFW N12-1 GmbH & Co. KG with a bid of €1.875mn/MW for N-12.1, bp OFW Management 3 GmbH with a bid of €1.56mn/MW for N-12.2 and Baltic Sea OFW O2-2 GmbH & Co. KG with a bid of €2.07mn/MW for O-2.2.
The total prices to be paid by these bidders are €3.66bn for N-11.1, €3.75bn for N-12.1, €3.12bn for N-12.2 and €2.07bn for O-2.2.
The successful bidders now have a right to a planning approval procedure for constructing and operating offshore wind installations on their site and to grid connection and the necessary capacity.
The dynamic bidding procedures were necessary because several bids with a value of zero cents per kilowatt hour had been submitted in the auctions: eight zero-cent bids for each of the sites in the North Sea and nine zero cent bids for the site in the Baltic Sea.
The purpose of a dynamic bidding procedure is to differentiate between bidders in a competitive environment when several zero-cent bids have been made. The successful bidders were the ones willing to pay the highest amount for each site. ■