TenneT has launched a tender to deliver a 40GW offshore wind expansion in the German and Dutch North Sea.
In the Esbjerg Declaration in May at the North Sea Energy Summit, Germany, the Netherlands, Denmark, and Belgium agreed to jointly install at least 65GW by 2030.
TenneT will account for almost two-thirds of this with 20GW each in the German and Dutch North Sea areas.
Achieving these offshore targets requires a new tender approach, TenneT stated, to ensure that the supply chain is able to anticipate necessary investments.
The grid operator plans to enter into a cooperation agreement with key market partners for a period of up to eight years, with total order volume is estimated to be up to €30bn.
The agreement covers offshore platforms and onshore stations, as well as the converters for the two-way conversion between alternating and direct currents.
The latter is based on the innovative 2GW high-voltage direct current (HVDC) technology for a forecasted 15 to 20 offshore grid connection systems.
TenneT chief operating officer Tim Meyerjürgens said: “In order to meet the challenges posed by this major expansion target and achieve its goals, we are breaking new ground in cooperation with our industry partners, sending a strong signal to the market with a large-scale tender.
“The goal is to set out a new kind of framework agreement that allows for scaling through efficiently expanding these new offshore systems, both for technology companies and for other transmission system operators.
“This will stimulate the market to build up the resources and comprehensive supply chains we need in a targeted and – crucially – in faster way. In these turbulent times this provides the industry with the investment security they need.”
The impetus of the large-scale tender sends a strong signal to the market. It underlines the long-term purpose of building up all the required resources such as industry sites, staff, and materials.
Whereas up to now individual projects have always been tendered consecutively, the entirety of this large-scale tender will provide the market with the investment security and planning acceleration it needs, TenneT stated.
“The accelerated expansion of renewable energies offers many opportunities. To take advantage of them, strong cooperation is necessary at all levels.
“This ground-breaking cooperation framework enables more flexibility, technological progress, and planning security for market players.
“It also shows which innovative solutions we are working on with the market to help us tackle and implement the expansion targets set by the governments in a targeted way.
“Our new approach will stimulate and drive the entire market across the value chain, allowing us to attract new industrial companies and help create new jobs.
“This benefits all parties through more employment, growth, and the strengthening of European supply chains,” Meyerjürgens added.