Germany’s Federal Network Agency has announced interim results for the ongoing tenders for offshore wind energy.
Several zero-cent bids have been received for all four tendered areas, so that a so-called dynamic bidding process is required.
“The results of the tender are good news for the energy transition in Germany.
“It is gratifying that the companies do not need any subsidies for the expansion of offshore wind energy.
“The zero-cent bids make it clear that offshore wind energy is economically attractive,” said Klaus Müller, President of the Federal Network Agency.
“In the dynamic bidding process, the bidders’ willingness to pay is now queried.
“We are now planning to hold an electronic auction for the first time. For the most part, the proceeds directly benefit consumers through a reduction in electricity costs.”
The bidding deadline for participation in the tenders for areas that have not been centrally pre-examined ended on 1 June.
In this tender, the Federal Network Agency had put a total of four sites in the North Sea and Baltic Sea with a total capacity of 7000MW for offshore wind turbines up for tender.
The aim of the dynamic bidding process is to differentiate bids competitively.
The beneficiary is determined in bidding rounds with increasing bid levels.
The bidder with the highest willingness to pay for an area is awarded the contract.
The four dynamic bidding processes are carried out with the help of software.
The Federal Network Agency plans to carry out the four procedures synchronously and to start them in the near future.