Germany’s grid operator BNetzA has set out the date for the first two rounds for offshore wind power tenders with a combined volume of 3,100 MW for projects to enter operations between 2021 and 2025.

The regulator is now calling for bids in the first ever tender with a volume of 1,550 MW by April 1 with the maximum bid set at Eur120/MWh setting out various conditions concerning location, grid connection, back-up guarantees for the projects starting after 2020.
Innogy offshore wind power
A second round with 1,550 MW tendered is scheduled to end on April 1, 2018 for projects starting until 2025, it said with guaranteed subsidies on offer for those projects potentially lasting to 2050 after the licensing period for project was increased from 20 years to 25 years, helping to reduce levelized costs and so auction bids.

According to the German offshore wind association, planned projects with over 7 GW of capacity are set to compete in the auctions with the latest list by the permitting maritime authority BSH including projects by DONG, E.ON, RWE Innogy, Vattenfall, EnBW, Iberdrola, Trianel, Northland, BEC Energie, Wind MW, PNE, Strabag, KNK Wind, Sea Wind and Windreich.

Platts reports that in 2016 total offshore wind capacity added up to 4.1 GW with already approved or financed projects set to bring German offshore wind capacity above the government’s reduced 2020 target of 6.5 GW by 2019.

The association predicts a maximum of 7.7 GW of offshore wind on the German system by 2020. This would leave only 7.3 GW to be tendered under the new auction rules to achieve the current legal target of 15 GW by 2030.

The group added that Germany is also set to benefit from the same cost reductions in offshore projects currently being experiences in tendering results in Denmark and the Netherlands.

Offshore wind turbines in German waters generated some 13 TWh of electricity in 2016, up 57% on year with TSOs estimating around 20 TWh of offshore wind this year based on average wind conditions.