German Offshore Wind Law Draft

Just published by the Federal Economy Ministry and approved by the Cabinet. Germany wants to achieve 20 GW until 2030 and 40 GW until 2040.

As usual now prices are set by auctions, with a new twist. Since people are starting to bid 0 cents (meaning no feed-in tariff payments at all) the new law wants to have a second round of bidding on the costs of the power lines. Bidders who are ready to pay more for the privilege of connecting their project to the grid will be more likely to succeed.

The law also wants to coordinate the process of building power lines with the process of building offshore wind to avoid having wind projects finished without power lines.

Actually, that would not be a problem now. You can always mine bitcoins until the power line is finished, which is a much better way of using the energy than just producing nothing while waiting. And the really interesting thing would be to start making green hydrogen with these projects. You don’t need a power line in that case to ship the energy and you can ship it wherever you want world wide.

Published by kflenz

Professor at Aoyama Gakuin University, Tokyo. Author of Lenz Blog (since 2003, lenzblog.com).

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