German Wind Auction Undersubscribed

Laxman Pai
Tuesday, October 23, 2018

The German Federal Network Agency (BnetzA) has announced the outcome of the latest German onshore wind auction. It revealed that the country's last wind tender of the year was undersubscribed and saw average prices rise again.

A press release noted that only 363 MW of capacity won a contract, compared to the 670 MW that was on offer.

According to WindEurope, over 900 MW of projects were pre-approved for the auction and had a permit. But only a third of these actually bid. The problem was many of them face legal challenges to their permit and wanted to avoid being exposed to penalties for non-delivery, WindEurope said in a press release.

The German Government changed the design of their onshore wind auctions this year, so that projects now need their permit in order to bid. Fine, this makes sense. The trouble is it’s got harder to get a permit for new wind farms in Germany: two years ago it took 300 days, now it takes up to 700 days. And even when you get a permit you’re exposed to legal challenge because the regional siting plans – that determine the location of wind farms – are not as robust as they should be.
 
WindEurope CEO Giles Dickson said: “The German Government were right to change their auction rules so that wind farms now need a permit before they can bid. But it’s got harder to get a permit. And even when you get one, you’re exposed to legal challenge because the regional siting plans are not robust enough. Germany needs to address this. Otherwise the auctions will continue to be under-subscribed like this last one. And the prices will be higher than they should be.
 
“This adds to the uncertainty already facing wind in Germany, with the coalition failing still to define the auction volumes for the coming years. The wind industry is already laying people off in Germany. The Government have got to sort things out fast.”

Categories: Wind Power Europe Renewable Energy

Related Stories

EnQuest Set to Top 2025 Production Forecast on Southeast Asia Gains

Velesto Agrees $63M Jack-Up Drilling Rig Sale with Indonesian Firm

Petronas Enlists MISC for FPU Job at Gas Field Offshore Brunei

India's ONGC Set to Retain 20% stake in Russia's Sakhalin-1 Project

Russia Seeks to Boost Oil Exports to China as Sanctions Tighten

How Hot Is Your Cable? Understanding Subsea Cable Thermal Performance

Sponsored: UAE Breaks Ground on GW-Scale Renewable Energy Hybrid

Southeast Asia’s 2GW Cross-Border Offshore Wind Scheme Targets 2034 Buildout

US Pressure on India Could Propel Russia's Shadow Oil Exports

CIP, Petrovietnam Team Up for Offshore Wind Project in Vietnam

Current News

Fugro Nets Mubadala Energy’s Deepwater Gas Job in Asia

EnQuest Set to Top 2025 Production Forecast on Southeast Asia Gains

Velesto Agrees $63M Jack-Up Drilling Rig Sale with Indonesian Firm

TotalEnergies Sells Stake in Malaysia’s Block to Thailand’s PTTEP

Technip Energies Gets On Board Thailand’s First CCS Project

Eni Makes Significant Gas Discovery Offshore Indonesia

Petronas Enlists MISC for FPU Job at Gas Field Offshore Brunei

Japan’s JERA Signs First Long-Term LNG Deal with India’s Torrent Power

India's ONGC Set to Retain 20% stake in Russia's Sakhalin-1 Project

Harbour Energy to Sell Stakes in Indonesian Assets to Prime Group for $215M

Subscribe for AOG Digital E‑News

AOG Digital E-News is the subsea industry's largest circulation and most authoritative ENews Service, delivered to your Email three times per week

https://accounts.newwavemedia.com