The Norwegian government has confirmed that the 1500MW Utsira Nord offshore wind farm zone will be allocated to developers based on qualitative criteria.
The qualitative criteria must facilitate innovation and technology development, the government said.
Allocation at Utsira Nord will differ from the 3GW Sorlige Nordsjo 2 zone, which will follow an auction model.
Minister of Petroleum and Energy Terje Aasland (pictured) said: “Floating offshore wind has the potential to become an important source of renewable energy worldwide, and also on the Norwegian shelf.
“By allocating the area on Utsira Nord according to qualitative criteria, we will facilitate innovation and technology development that can contribute to cost reductions for floating offshore wind.”
The government added that players in the offshore wind market have pointed out that great uncertainty and risk associated with new technology and cost calculations for floating offshore wind make the auction unsuitable as an allocation model for Utsira Nord.
“The players have been clear that qualitative criteria are the preferred allocation model, and have been concerned that the criteria should be clear, objective and that they should facilitate the development of the supplier industry,” it added.
Norway also announced that transmission system operator Statnett will have the responsibility for planning the network at sea in accordance with guidelines given by the Ministry and based on input and dialogue with offshore wind operators.
Aasland said: “The development of offshore wind must take place in good interaction with the power system on land.
“The fact that Statnett is given the planning responsibility for offshore networks is an important clarification that gives the players predictability and which ensures comprehensive planning.”
The government added that floating offshore wind is an industrial opportunity that can create jobs in Norway and contribute to the green transition.
“Norwegian companies can build on the expertise they have acquired through the petroleum business, maritime business and in the supplier industry,” it said.
Norway first announced it planned a two-track approach to allocating the zones in June last year.