The German Federal Network Agency, BNetzA, has issued a tender for the development of a 1 GW offshore wind farm in the North Sea. BNetzA has also announced that the bidder with the lowest subsidy required for the North Sea wind farm would be considered for the contract. The maximum value for bids is 6.4 ct per kWh. The bid submission deadline is September 1, 2022, and the project is expected to be finished in 2027.

For the second time in the Central Model, the agency has issued a request for tenders. In 2021, it released a similar tender for the project. The Central Model indicates that successful bidders will be awarded funding and grid connection capacity, and that the player will be required to submit an application to the Federal Maritime and Hydrographic Agency (BSH) for approval of the areas’ development plan.

The Federal Maritime and Hydrographic Agency analyses the area’s maritime environment, subsoil, wind, and general oceanographic conditions. Once the contract is awarded, the winning bidder will be liable for the preliminary survey costs.

REGlobal’s Views: Like its European counterparts, Germany is expected to witness more uptake in the offshore wind space as countries and large energy companies turn to cost-competitive offshore wind in the European region to meet their energy needs. However, the country still needs to build a strong project pipeline to stay in the race.