Germany awarded 1.96 GW of onshore wind energy in the auction for 2,087 MW conducted by the Federal Network Agency Bundesnetzagentur.

In all, 167 bids were received for a cumulative volume of 1,981 MW. Two bids were disqualified.

The winning bids in the auction demonstrated a competitive pricing landscape. Prices ranged from €0.588(~$0.64)/kWh to the price ceiling of €0.735 (~$0.81)/kWh.

The average volume-weighted bid price settled at €0.731 (~$0.80)/kWh, slightly below the price ceiling and near the previous round’s average of €0.732 (~$0.80)/kWh. These pricing dynamics suggest a stable and competitive market, encouraging for both investors and the broader renewable energy sector.

Despite the undersubscription, the total onshore wind volume awarded in 2023 amounted to 6,377 MW, nearly double the figure recorded in 2022 (3,225 MW).

Klaus Müller, President of the Bundesnetzagentur, said the significant growth trend needs to persist to meet expansion targets.

The regional breakdown of awarded sites in the onshore wind farm auction closely resembled the patterns observed in the previous auction.

Schleswig-Holstein and Lower Saxony maintained their positions as the states with the highest volumes awarded, receiving 416 MW (42 awards) and 312 MW (25 awards), respectively.

Following closely were North Rhine-Westphalia with 309 MW (31 awards) and Mecklenburg-Western Pomerania with 222 MW (16 awards).

Bundesnetzagentur’s onshore wind energy auction in September 2023 was undersubscribed with only 1,436 MW after the initial auction volume was lowered to 1,667 MW from 3,192 MW due to lack of interest.

In September, the cumulative awarded volume reached approximately 4,400 MW, marking a 35% increase compared to last year’s total of only around 3,200 MW.

The agency recently announced it would continue with the 2023 price cap of €0.735 (~$0.80)/kWh) for onshore wind projects in 2024.

In July this year,  the auction for 7,000 MW of offshore wind sites in the North and Baltic Seas yielded around €12.6 billion (~$14.03 billion). The lowest price discovered in the auction was €1.56 million (~$1.74 million)/MW.