14 Jul 2023, 13:41
Sören Amelang

Rising costs put 4 GW of wind energy projects planned in Germany at risk – media report


Rapidly rising costs could jeopardise the construction of already planned wind turbines with a total capacity of several gigawatts, news outlet klimareporter reports. Up to 4 gigawatts (GW) of projects are at risk after construction costs have risen by up to 50 percent within two years, according to the German wind energy association BWE. In May, a survey conducted by the lobby group suggested that one in five of the projects that were successful during a 2022 auction could be at risk – these added up to several hundred megawatts. But the problems have multiplied since then, according to BWE. Most of the projects successful at a 2022 auction, as well as many from 2021, are affected, the report says.

Following a successful bid in Germany’s wind power auctions, a project developer usually has 24 months to put the turbines into operation. After that, a daily penalty is due. If the plant is not connected to the grid after 30 months, the award expires. The government agreed in June to mitigate the problem by allowing re-applications for tenders, but this provision was dropped during the parliamentary process to the industry’s great disappointment, according to the article.

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