BREAKING: Finland Opens 3 GW Offshore Wind Auction Round

November 23, 2023, by Adnan Memija

The Finnish Government has adopted a resolution to launch the tendering procedure for five offshore wind projects in public water areas. With the government resolution, Metsähallitus will immediately launch the process to select the implementing partners for two offshore wind power projects.

The competitive tendering procedures to be launched this year will concern the offshore wind projects located off Närpiö and off Pyhäjoki and Raahe on the west coast of Finland.

The Edith offshore wind project will be located in the sea area belonging to Närpiö and the Ebba project in the sea areas off Pyhäjoki and Raahe.

The municipalities have approved the planning proposals for the projects and the preliminary studies launched by Metsähallitus, which manages the land and water areas of the Finnish state, are progressing.

The total planned capacity of the offshore wind projects will be approximately 3 GW, while the total investment value is estimated to be between EUR 6 billion and EUR 8 billion.

Once completed, the projects are estimated to produce up to 14 TWh of clean electricity annually, which would currently cover more than 17 per cent of Finland’s electricity consumption, according to Metsähallitus.

The partner selection process will progress in phases, said the state-owned enterprise.

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After the submission of preliminary tenders, the most potential partners are selected to proceed to the next phase. These potential partners will then submit their binding tenders, based on which the partners for the project will finally be selected.

Metsähallitus’ goal is to complete the tendering processes of the Edith and Ebba projects during 2024. The implementation of the process for the other three areas will be confirmed next year.

The Finnish government approved the offshore wind power auction model for public water areas in 2021, according to which Metsähallitus offers areas for use by wind power companies. The wind farm areas remain state property and the rental income forms part of the result that Metsähallitus reports to the state.

The country’s offshore wind power programme supports its goal of being carbon neutral by 2035 as well as, among other things, becoming a leading player in the hydrogen economy in Europe, according to Metsähallitus.