Germany

Germany

Prices stagnate in undersubscribed German tender

Germany's latest onshore wind tender was once again undersubscribed, as the total capacity of successful projects continues to fall while prices remain level.

Federal and regional ministers and industry groups discuss the slowdown in German onshore wind installations and permitting last week (pic credit: Tony Webster)
Federal and regional ministers and industry groups discuss the slowdown in German onshore wind installations and permitting last week (pic credit: Tony Webster)

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The country’s federal energy regulator, the Budnesnetzagentur (BNA), awarded contracts for 21 wind farms with a combined capacity of 176MW — just 35.2% of the 500MW advertised, and below the 208MW awarded in the country’s most recent tender in August..

One bid for an 11MW project was excluded due to a lack of participation rights, the regulator added.

Successful bid prices ranged between €61.90/MWh and €62/MWh, with a weighted average of €62/MWh — the maximum price that could have been awarded in the auction. This was the same range and average as in September’s auction.

Schleswig-Holstein (six) had the most successful bids, followed by North Rhine-Westphalia (four), Baden-Württemberg, Lower Saxony, Mecklenburg-Western Pomerania and Thuringia (two each), and Brandenburg, Hessen and Saxony (one each).

The BNA did not comment on the reasons for the auction being undersubscribed, but has previously blamed difficulties in permitting at state-level for developers’ apparent lack of interest.

Last week, Germany’s economy minister Peter Altmaier convened a 'crisis meeting' of regional ministers and industry groups to discuss the slowdown in German onshore wind installations and permitting.

In 2018, 1.5GW of projects were permitted — less than half of the 3.6GW in auctions due to be held in 2019 — and only 860MW was permitted in the first seven months of 2019.

Germany’s next onshore wind tender is for 675MW with a bidding deadline of 1 October.

'Greta Thunberg' welcomes delegates to Husum Wnd: "Parents' generation is finally doing something against the climate catastrophe"

Husum Wind, Germany’s flagship trade fair, kicked off today (10 September) against a gloomy backdrop of impending insolvencies and declining revenues.

An industry survey found more than 74% of workers council representatives at 31 wind power companies expect the wind market in Germany to worsen over the coming months.

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