Ignitis Renewables, a subsidiary of Lithuanian energy company Ignitis Grupe AB (VSE:IGN1L), and its strategic partner Ocean Winds (OW) are expected to be announced as the provisional winners of the 700-MW Lithuanian offshore wind tender, the companies said today.
Ignitis Renewables and Ocean Winds, which is a joint venture between Engie SA (EPA:ENGI) and EDP Renovaveis SA (ELI:EDPR), were successful with a bid price of EUR 20 million (USD 21.9m).
As previously announced two bidders took part in Lithuania’s inaugural offshore wind tender. The participants competed in real-time bidding by offering the highest development fee.
The Lithuanian National Energy Regulatory Council will confirm the provisional winner no later than the next day after completion of the real-time bidding process.
The provisional winner is expected to become the final winner at the beginning of the third quarter of 2023 after checks for compliance with national security interests. Ignitis Renewables and Ocean Winds will then need to set up a joint company, which will be awarded the development and operation permit, entitling them to use the maritime area for 41 years.
The area is located in the Baltic Sea, some 30-36 km off the coast. When operational by 2030, the 700-MW offshore wind park is expected to produce up to 3 TWh of power a year, which would cover up to 25% of Lithuania’s current demand.
“One of Lithuania’s and, in turn, Ignitis Group’s most significant projects for achieving energy independence is offshore wind projects in the Baltic Sea,” said Darius Maikstenas, chief executive of Ignitis Group, which aims to deliver 4-5 GW of installed renewables capacity by 2030.
(EUR 1 = USD 1.096)
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