Germany’s plans to introduce feed-in charges for offshore wind farms jeopardise the economic viability of new projects and send a disastrous signal to investors, the German Offshore Wind Energy Association (BWO) has warned.
The German Federal Network Agency (BNetzA) is developing a new system for determining grid charges, with one proposal requiring electricity feed-in providers, including offshore wind operators, to make a financial contribution for the use of grid infrastructure.
“The offshore wind industry is already the only generation technology contributing to grid expansion,” said BWO managing director Stefan Thimm (pictured). “To now also demand feed-in charges is not only systematically wrong – it is a step backward in energy and industrial policy. Anyone who drives away investors is jeopardising Germany’s future viability as an energy location.”
To achieve the planned expansion of the offshore wind industry, the federal government should strengthen predictability and investment security rather than increase uncertainty, according to the BWO.
“The results of recent auctions speak volumes: participation is declining. In the future, bids may not be received at all. The result: the legally mandated expansion is in jeopardy, and the supply chain cannot deliver the expected value creation and jobs,” the BWO stated.
“Only if the framework conditions are right can offshore wind energy make its contribution to industrial transformation and to securing an affordable and future-proof electricity supply.”