Vattenfall won the Danish Near Shore Wind Tender (DNS) after delivering the lowest bids of .475 kr/kWh on 1 September for two sites, Vesterhav Syd and Vesterhav Nord.
Prior to construction start, Vattenfall needs a final approval from the Danish government. Should the deal be approved, Vattenfall stands to be the biggest owner and operator of wind in Denmark.
As a result of the tender, Vattenfall will now develop two wind farms with a total capacity of 350 Mw in the offshore area outside Hvide Sande and Thyborøn on the west coast of Jutland.
"This is a major step for our company in respect of our sustainability aspirations. We previously announced that we wish to invest EUR 5 billion in sustainable development over the next five years and increase our wind power production in all countries where we are present," Magnus Hall, Vattenfall CEO said.
Vattenfall will, following the announcement from the Minister, initiate the final preparations for the establishment of the wind farm. This includes procurement of main components and services (e.g. wind turbines, foundations and cables, installation vessels), optimization and final design of the wind farm, with the aim to start construction in 2019 and produce the first power in 2020.
“With our bid for DNS we have demonstrated that we are able to reduce the costs of offshore wind faster than had been expected, only a few years ago. This again proves that renewable energy is going to be competitive and Denmark and Vattenfall is in the lead when it comes to renewable energy. We contribute to this growth and we will continue to do so for the next few decades,” Gunnar Groebler, head of Vattenfall Wind said.
Image from Vattenfall.