During the 2nd Offshore Congress held in Emden in Germany, around 100 representatives from politics, trade unions, industry, and associations discussed the state and future of offshore wind energy. The discussion clearly emphasised that the northern German states have enormous potential to strengthen their position as the “political heart of Europe.” To achieve this, it is essential to maintain technological capabilities in Lower Saxony and Germany. This can only be done if the right frameworks are established now to secure investments.
For Lower Saxony’s Minister of Economy Olaf Lies, employment and leading markets are especially crucial: “The energy transition is a massive challenge, but also a significant opportunity. Germany is currently facing a recession. The development of wind energy is more connected to industry than one might think at first glance. However, the tendering conditions introduced by the government are completely unacceptable. Efforts must be made to ensure that production and job creation in Germany and Europe are prerequisites for the allocation of offshore areas. This also applies – from a Chinese perspective – to turbines and components. And this can be seen in the case of steel. The industry is ready for a transformation towards climate-neutral production. Now we need an integrated industrial and economic policy. In this context, the construction of climate-neutral leading markets must be a crucial element. Because they motivate companies to invest in sustainable production. Green steel plays a key role in value creation, and production must take place locally. We plan to build 70 GW of offshore wind power. Our goal cannot be to invest billions of euros in constructing devices made from climate-unfriendly steel. This must be a future condition of tenders. In order for value creation, employment, and transformation, like with green steel, to progress in Germany and Europe, the lowest price offer cannot prevail.”
Heiko Messerschmidt, district secretary of IG Metall Küste, also demanded greater consideration of employment and value creation in Germany and Europe: “To achieve the energy transition, we need to strengthen the wind industry along the entire value chain. We need more companies, more skilled workers, and better infrastructure. Future tenders cannot be solely about money. We expect quality criteria, such as employment and value creation, to be taken into account to a greater extent. Additionally, energy-intensive industries need better opportunities to procure cheap, green energy offshore. This will secure good, tariff-protected jobs not only in the wind industry.”
Karina Würtz, director of the Stiftung Offshore-Windenergie, pointed out the development goals: “The tender project for offshore areas in Germany, in its current form, poses a significant – and unnecessary – risk for achieving and realizing development goals. Its strong emphasis on maximizing state revenue in auctions encourages firms to adopt maximally risky bidding behavior. This, in turn, exacerbates pressure to refinance planned billion-euro projects, which are already under significant pressure due to high costs or supply chain bottlenecks.
As a result, the risk grows that offshore wind farm projects planned six years into the future from the time of the auction will ultimately not be realized. It must be clear to lawmakers: if projects are not economically viable, companies will simply not realize them – regardless of political climate and development goals.
For this reason, a change in direction is urgently needed – also in line with the proposals from the European Commission. Then, the design of tenders can significantly increase planning certainty and the likelihood of project realization, unleash investments along the entire value chain, ensure more stable energy prices for the economy, and continue the success of the European offshore sector.”
This was also emphasized by Dr. Reinhard Lüken, managing director of the Association of Shipbuilding and Marine Technology (VSM), for whom the issue of value creation is crucial: “We must keep the promise that the transformation leads to economic growth. For this, project realization must be based on value creation in Germany. If we do not achieve this, we will lose public support for the transformation. The current election results clearly show this.”
The congress was organized by the Ministry of Economy of Lower Saxony, IG Metall Bezirk Küste, the Association of Shipbuilding and Marine Technology (VSM), and the Stiftung Offshore-Windenergie. The hosts of the conference were Wind Multiplikator and the city of Emden.
The goals for the development of offshore wind energy play a central role in the energy transition and the fight against climate change. According to the requirements of the Offshore Wind Energy Act (WindSeeG), the German government aims to achieve a minimum of 30 gigawatts (GW) by 2030. By 2045, a more ambitious increase to 70 GW is planned. Currently, there are offshore wind energy installations in German waters of the North Sea and the Baltic Sea with a total capacity of 8.8 GW and over 1,600 turbines.
As part of the revision of WindSeeG, the tendering project for offshore wind energy was modified. From now on, there are two categories: pre-examined and non-pre-examined areas.
In 2023, a total of 8.8 GW of offshore capacity was awarded for 13.4 billion euros to companies such as BP and Total Energies. The tenders for non-pre-examined areas amounted to 12.6 billion euros. The competition was intense and heavily price-oriented, bringing the government record revenues. This money is primarily to be used to reduce offshore network charges.
Further tenders were held in 2024, in which Total Energies, EnBW, Offshore Wind Four and Offshore Wind Two GmbH, as well as Waterekke Energy, received allocations. The total revenues from the tenders for non-pre-examined areas in June 2024 were around 3 billion euros, while RWE, according to its own information, terminated the planned partnership with Total in this tender shortly before the end, as doubts about the economic viability of the rate submitted by the company increased.
The wind energy industry faces new, ambitious development goals against the backdrop of several significant challenges. On the one hand, production capacities must be significantly increased to meet the growing demand for energy; on the other hand, increasing demands placed on projects, including environmental considerations, pose a substantial barrier to investment.
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