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No subsidy for this Dutch offshore wind farm

By Paul Dvorak | July 5, 2017

Sites I and II of the Hollandse Kust wind farm is scheduled to open this autumn, initially with a procedure without subsidies. Minister of Economic Affairs Henk Kamp has announced this in a letter to the House of Representatives, yesterday on 28 June 2017. In this tender, market parties may submit a bid for the realization of the wind farm without subsidies.

In the event this tender procedure fails to yield an acceptable bid, a tender procedure that includes subsidies will be started.

In the event this tender procedure fails to yield an acceptable bid, a tender procedure that includes subsidies will be started. Ranking In the tender without subsidies, bids will be evaluated based on the criteria established in the Offshore Wind Energy Act.

This refers to the following criteria:
a. The knowledge and experience of the parties involved;
b. The quality of the design for the wind farm;
c. The capacity of the wind farm;
d. The social costs;
e. The quality of the identification and analysis of the risks;
f. The quality of the measures to safeguard cost-effectiveness. In the coming period, these six criteria will be elaborated on in a new Ministerial Order for Offshore Wind Energy.

For this tender, the deciding factor will no longer be the lowest price, but rather the quality of the bidding party, the quality of the design and the quantity of electricity that will be produced.

Should the subsidy-free procedure fails to yield an acceptable bid, a tender that includes subsidies will be opened. These bids will then be ranked based on the bid price; this tender will be comparable to the previous tenders for the wind farms in the Borssele Wind Farm Zone.

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