Published on August 17th, 2017 | by Joshua S Hill0
Germany Awards 1 Gigawatt Of Onshore Wind, Costs Fall By 25%
August 17th, 2017 by Joshua S Hill
Germany announced the results of its second onshore wind auction this week in which it was revealed a total of 1 gigawatt was awarded at an average cost 25% less than the average price recorded in the first onshore wind auction just a few months ago.
Germany’s Federal Network Agency, the Bundesnetzagentur (BnetzA) published the results of its second onshore wind auction which was completed on August 1, revealing a total of 1,013 MW (megawatts) spread across 67 bids awarded. The auction was significantly oversubscribed, with a total of 281 bids totaling 2,927 MW being submitted overall.
The average price for the successful bids was 4.28 Euro-cents per kilowatt hour (ct/kWh), and the highest bid accepted was 4.29 ct/kWh, while the lowest price accepted was 3.5 ct/kWh. The average price recorded in this second auction was 25% lower than the average price recorded in Germany’s first onshore wind auction, held earlier this year in May, which recorded an average price of 5.71 ct/kWh.
The full list of successful bids can be found here.
“The second auction for onshore wind energy was also marked by a high level of competition,” said Jochen Homann, Bundesnetzagentur President. “The average price of the bids accepted is more than one cent per kilowatt hour lower than in the first auction. The results confirm the positive experiences from our previous competitive auctions for offshore wind energy and photovoltaic systems.”
Citizen energy companies accounted for 84% of the bids submitted and accounted for 90% of the successful bids, and 95% of the total volume of awarded bids accepted.
A third onshore wind auction round is expected to take place later this year and bring this year’s awarded capacity up to the 2,500 MW expansion rate targeted by the German government — 1,820 MW has already been awarded.