The Norwegian government on Tuesday said it is making an important step towards offshore wind development in the country with the announcement of its proposed framework for awarding the Utsira Nord and the first phase of Sorlige Nordsjo II areas which together could host some 3 GW of offshore turbines.
The government is seeking comments on its proposals for pre-qualification criteria, auction model and support scheme by January 6, 2023.
The process will set the standard for offshore wind in Norway, according to Minister of Petroleum and Energy Terje Aasland, who presented the framework at a press conference in Oslo. Norway aims to allocate acreage for 30 GW of offshore wind by 2040.
Both auctions are planned to be announced by the end of the first quarter of 2023.
The first phase of the 3-GW Sorlige Nordsjo II zone will have maximum developed capacity of 1.5 GW. The government’s consultation includes a proposal for two-sided contracts for difference if state funding will be needed.
The Utsira Nord sites which are expected to become home to floating wind facilities will be allocated on the basis of qualitative criteria. This 1.5-GW area will be divided into three areas of 500 MW each. To limit state funding, there will also be competition for state support in this allocation, the government said.
“The Government wants investments in offshore wind to provide industrial development in Norway, facilitate innovation and technology development, and provide increased production of renewable power in Norway,” said Aasland.
A number of prominent offshore wind developers have set up consortia to compete for the leases.
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