DONG Energy Winner of Dutch Borssele I & II Tender

DONG Energy will build Dutch offshore wind farms Borssele I and II.

The company won the concessions with an average bid strike price, excluding transmission costs of EUR 72.70 per MWh during the first 15 years of the contract. After that, the wind farms will receive the market price.

Executive Vice President and Head of Wind Power in DONG Energy, Samuel Leupold, said: "With Borssele 1 and 2, we’re crossing the levelized cost of electricity mark of EUR 100 per MWh for the first time and are reaching a critical industry milestone more than three years ahead of time. This demonstrates the great potential of offshore wind."

DONG Energy will, in accordance with the Dutch tender regulation, build Borssele I and II, each with a capacity of 350MW, within four years from today with a flexibility of one year.

The tender for the 700MW Borssele I & II offshore wind farm sites attracted 38 bids, according to reports by the Dutch media in May. Most of the bids came from partnerships and joint ventures, including a bid by Shell, Eneco and Van Oord; as well as a joint application by RWE and Macquarie Capital.

"Winning this tender in a highly competitive field of bidders is another proof of our market-leading position and our business model which builds on continued innovation, industrialisation and scale," Leupold said.

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