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High participation and falling prices at first German wind onshore auction

Published: 19/05/2017

Ecofys, a Navigant Company, advised the German government on the auction design for renewable energy sources. Today, the German Federal Ministry of Economic Affairs and Energy announced the results of the first auction for onshore wind in Germany. The figures are among the first results to come out of the reform of the EEG (German Renewable Energy Sources Act) which was supported by a research consortium led by Ecofys.

Prices for onshore wind plummeted to 5.78 - 5.25 cent/kWh, reaching an all-time low for onshore wind in Germany. The 256 competing bidders faced high competition: Only 27% of the projects and 37% of the volume was successful. In total, 800 MW were available.

93 % of the successful projects made use of the preferential treatment rules for citizen corporative, which was especially designed to facilitate the participation of a broad range of actors: Winners can participate at an earlier stage of the project development, are awarded with the clearing price, have longer time to realise the project, can adjust the project’s location slightly, and face a lower penalty. As the requirements for participation for citizen initiatives were rather low, it will be necessary to closely monitor the realisation of the projects.

Ecofys, a Navigant Company, leads the consortium that supports the German Ministry for Economic Affairs and Energy in the design of the auction since 2014. The consortium also consists of ZSW, Takon, Consentec, Fraunhofer ISI, BBG and Partner, and GÖRG. 

The Energy Policies team at Ecofys, a Navigant company, has comprehensive consulting expertise in auctions through advisory for the German government, the European Commission, Denmark, Luxembourg, the Nordic Council, IRENA, the development organizations GIZ and USAID and companies.