Summary sheet
Design, implementation and operation of a 913 MW fixed-bottom offshore wind farm located in the North Sea, within the German Exclusive Economic Zone.
This project will contribute to the achievement of both national and EU energy and decarbonisation objectives by increasing the supply of renewable electricity.
The project concerns the development and operation of a new, fixed-bottom offshore windfarm that will increase renewable energy generation capacity in Germany and contributes to the 2030 targets set out in the German National Energy and Climate Plan and the REPowerEU Action Plan.
The financing of this Project contributes to the Bank's lending priority objectives on Sustainable Energy & Natural Resources, Decarbonising Energy Supply (Renewable Energy), as well as on Climate Action (mitigation) and Environmental Sustainability (Pollution Prevention Control).
The project produces electricity from low carbon sources (offshore wind) and addresses the market failure of negative climate and environmental externalities, through the reduction of carbon emissions and air pollution.
The project is expected to rely on unsubsidised commercial Power Purchase Agreements (PPA); in a sector characterised by incomplete markets the project thereby improves market efficiency and competition.
The Promoter demonstrated adequate experience and has a significant track record in developing, building and operating energy projects.
EIB provides a strong signalling effect to the market by supporting the largest offshore wind project in Germany relying on an unsubsidized PPA. Thus EIB is a cornerstone lender crowding-in other financing.
EIB contribution to the project stems from the combination of financial advantage, long tenor, flexible terms of the loan, and helping to crowd-in other financiers, thereby facilitating its full financing and implementation.
The project is located in a dedicated zone for offshore wind development in the German Economic Exclusive Zone of the North Sea. Wind farms adhere to Annex II of Directive 2014/52/EU amending the EIA Directive 2011/92/EU, thereby leaving it to the competent authority to determine if an Environmental Impact Assessment (EIA) is required. The competent authority required an EIA to be conducted, and the promoter delivered the project's EIA studies as part of permitting process. Compliance of the authorisation process with relevant EU Directives will be verified during appraisal.
The promoter has been assessed by the EIB as being a private entity and the offshore wind farm will likely be operating without exclusive or special rights within the meaning of the EU Utilities Directive 2004/17/EC and subsequent 2014/25/EU, hence private sector procurement procedures are expected to apply. However, if during project appraisal, the EIB were to conclude that the promoter is subject to the EU public procurement legislation then the Bank would require the promoter to apply those rules.