After the government approved the resolution on the second location in the Baltic Sea, where an offshore wind farm could be developed, as well as the requirements for the bidders, the National Energy Regulatory Council (VERT) will open the tender for the country’s first offshore wind farm today 30 March.
The 137.5-square-kilometre site in the Baltic Sea, which the Lithuanian Government identified two years ago , is located some 29 kilometres off the country’s coast, in water depth of around 35 metres.
The country’s first offshore wind farm will have a capacity of 700 MW and is expected to be fully commissioned by 2030.
The Lithuanian Government outlined the financial requirements for the participants, experience in carrying out projects of this type, obligations for environmental protection, and contribution to the coastal community.
These requirements will be included in the auction conditions for future offshore wind farm developers. The tender will be won by the developer who offers the highest development fee to the state.
According to the government’s decision, prospective bidders will have to have an average revenue of at least EUR 250 million in the last three years and at least 20 per cent of the project value in equity.
In addition, the developer will have to provide evidence that the company has implemented or acquired the right to develop at least one offshore wind project of at least 150 MW.
The developer will have to carry out all necessary research, an environmental impact assessment, and other necessary actions for the development of the wind farm. Also, the winner of the tender will be responsible for the connection to the electricity transmission networks on land and for the imbalance caused by the generated electricity.
Another tender for the development of the offshore wind farm is planned to be announced in the fall of this year.
Lithuanian electricity transmission system operator Litgrid also unveiled the preliminary conditions for connecting the country’s offshore wind farms to the electricity transmission network.
The two wind farms could produce up to 6 TWh of green electricity which would cover approximately half of Lithuania’s current electricity demand and reduce the country’s dependence on electricity imports.