Vattenfall has today won the tender to build Kriegers Flak, a 600 MW offshore wind farm in the Baltic Sea. The winning bid was 4.9 euro cent per kWh (37.2 Danish øre/kWh) – the lowest bid in the world. The total investment is expected to be 1.1-1.3 billion euros.

“The announcement today is a significant milestone for our strategy to reach 7 GW by 2025 and to be leading in reducing cost of energy. With the record breaking bid for Kriegers Flak we have strengthened our position as the second largest offshore player globally. And with the winning bid, we have set a new level for offshore wind and will continue to redefine the energy landscape. This is an amazing team effort and I want to thank everyone involved,” says Gunnar Groebler, Head of BA Wind.

Kriegers Flak will be Denmark’s largest offshore wind farm and can supply 600,000 Danish households with renewable energy – corresponding to more than one fifth of all households in Denmark. Vattenfall’s investment for Kriegers Flak is estimated to be 1.1-1.3 billion euros.

Peter Wesslau, Project Director for Kriegers Flak, is excited about today’s news. “We have successfully worked cross border for this project, having people in London, Kolding, Stockholm and Hamburg working on it – a great source of learning for future projects. On top of that we have also benefitted greatly from the knowledge sharing between the people working on Horns Rev 3, Borssele, Danish Near Shore and Kriegers Flak. Winning Kriegers Flak is Vattenfall’s third victory in a row in Denmark and it gives us the opportunity to be even more visible, and thereby, recruit the best people for our future tasks,” he says.

In Denmark, winning Kriegers Flak with a historically low price proves the point raised in Danish media for the last couple of months. The minority Danish Government wants to cancel Danish Near Shore, but Vattenfall and several other stakeholders and political parties have stated that with the budget assigned from the Government to Kriegers Flak, it is possible to get both Danish Near Shore and Kriegers Flak within the same budget frame – because Vattenfall has delivered very strong price bids for the two projects.

Very active in the debate is Vattenfall’s Danish Country Manager, Ole Bigum Nielsen. “With the bid we delivered for Kriegers Flak, I will be very surprised if we are not given the green light to proceed with Danish Near Shore as well. Our winning bid for Kriegers Flak today is about 59 per cent below the original cap of 90 Danish øre. And for Danish Near Shore the bid was 32 per cent below its cap. If Denmark wants to reach its climate targets cost-efficiently, it is now clear to all that we have done our part to support that,” he says and continues  “Another important aspect is also the jobs at stake – the two projects together will result in thousands of jobs – and in rural areas that are very dependent on attracting this work force.”

Source: https://corporate.vattenfall.com/

http://news.vattenfall.com/en/article/vattenfall-wins-tender-denmark-s-largest-offshore-wind-farm