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Germany’s onshore wind tender falls short with 1.96 GW awarded – EQ

Germany’s onshore wind tender falls short with 1.96 GW awarded – EQ

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The last round of Germany’s onshore wind tender awarded 1,967 MW of capacity, slightly below the reduced target of 2,087 MW, the Federal Network Agency said on Friday.

As many as 167 proposals with a combined capacity of 1,981 MW were submitted and two bids were excluded from the competition due to formal errors.

The volume-weighted average price came in at EUR 0.0731 (USD 0.080) per kWh and bids ranged from EUR 0.0588 to EUR 0.0735 per kWh which is the price cap.

Among the federal states, Schleswig-Holstein is a leader with 42 awards totalling 416 MW. Second ranks Lower Saxony with 312 MW, followed by North Rhine-Westphalia with 309 MW and Mecklenburg -Western Pomerania with 222 MW.

In 2023, Germany initially set a target to allocate 12,840 MW of onshore wind capacity through four rounds; however, the final awards amounted to 6,377 MW. Interest in the auction grew throughout the year, particularly after a substantial increase in the price cap for 2023.

Nevertheless, the increased cap failed to generate sufficient interest, leading to a reduction in the offered capacity during the final three rounds of the competition. In comparison to 2022, the allocated capacity in 2023 nearly doubled, surpassing the previous year’s level of only 3,225 MW.

Last week, the Federal Network Agency announced that the price cap for onshore wind auctions will not be changed in 2024 and will remain at this year’s level of EUR 0.0735 per kWh.

According to Baerbel Heidebroek, President of the German wind energy association BWE, this provides a solid basis for wind energy expansion.

The next round of the tender will take place on February 1, 2024.

Source: renewablesnow
Anand Gupta Editor - EQ Int'l Media Network