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

Russia Seeks to Boost Oil Exports to China as Sanctions Tighten

Blackford Dolphin Semi-Sub to Keep Drilling Offshore India

Aramco Expands US Partnerships with $30B in New Deals

Seatrium Maintains $12.8B Order Book on Renewables and FPSO Progress

Sponsored: Policy, AI, and Capital Take Center Stage at ADIPEC 2025

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

Eni-Petronas Gas Joint Venture Up for Launch in 2026

SBM Offshore Starts Construction of FSO for Trion Oil Field off Mexico

Pandion Energy Divests Interests in Three Norwegian Assets to Inpex

China Rolls Out 17MW Floating Wind Turbine Prototype

Current News

BP Hires Seatrium to Deliver Tiber FPU in Gulf of America

Venture Global, Tokyo Gas Ink 20-Year LNG Supply Deal

Greater Sunrise Moves to Next Phase with Timor-Leste, Woodside Deal

Russia Seeks to Boost Oil Exports to China as Sanctions Tighten

Blackford Dolphin Semi-Sub to Keep Drilling Offshore India

Aramco Expands US Partnerships with $30B in New Deals

Pakistan Greenlights TPOC-Led Offshore Exploration in Block-C

TechnipFMC to Supply Subsea Systems for Eni’s Maha Deepwater Project

SED Energy’s GHTH Rig Kicks Off Ops for PTTEP

MODEC Forms Dedicated Mooring Solutions Unit

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