Vattenfall wins tender to build the largest offshore wind farm in the Nordics

Vattenfall has won the tender to build Danish Kriegers Flak, a 600-MW offshore wind farm in the Baltic Sea. The winning bid was EUR 49.9 per MWh, which is among the lowest costs in the world for offshore wind power.

Kriegers Flak will be monitored from Vattenfall’s Surveillance Centre in Esbjerg, Denmark. The Surveillance Centre already monitors more than 1,000 turbines in Northern Europe.

The 600-MW Kriegers Flak offshore wind farm will be monitored from Vattenfall’s Surveillance Centre in Esbjerg, Denmark, which already monitors more than 1,000 turbines in Northern Europe.

“The announcement is an essential milestone for our ambition to increase our production of renewable power,” said Magnus Hall, CEO Vattenfall. “We are already the second largest offshore player globally. The winning bid of EUR 49,9 per MWh proves that Vattenfall is highly competitive and brings down the costs for renewable energy.”

Kriegers Flak will be Denmark’s largest offshore wind farm and can supply 600,000 Danish households with renewable energy – corresponding to 23% of all households in Denmark. Vattenfall’s investment in Kriegers Flak will be EUR 1.1 – 1.3 billion, pending a final investment decision.

“This is exciting news. I’m very proud of our people in the wind organization who once again delivered a winning bid,” said Gunnar Groebler, Head of Vattenfall Wind.

Winning the bid for Kriegers Flak means that Vattenfall can start to develop the 132 kmarea in the Baltic Sea. The area consists of three parts dedicated for wind power development in Germany, Sweden, and Denmark. Vattenfall’s winning bid concerns the Danish part of the Kriegers Flak area. The Swedish part of Kriegers Flak has a building permit that expires in 2018.The German part has not yet been tendered.

Vattenfall has also won the three latest offshore wind tenders in Denmark − Horns Rev 3, Danish Near Shore, and Kriegers Flak, equivalent to the energy consumption of 55% of the Danish households. Vattenfall won the tender for the 350-MW Danish Near Shore project in September, and the project is pending the Danish Parliament’s decision to proceed.

“Our winning bid for Kriegers Flak is 58% below the original cap of EUR 0.12. For the Danish Near Shore project the bid was also substantially below its cap. Proceeding with these two projects, Vattenfall provides Denmark with a cost-efficient contribution to meet the country’s climate targets and customers’ demand for renewable energy,” said Groebler.

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