Hot autumn in the Baltic. Companies go out to sea with construction, and the government outlines new areas

Hot autumn in the Baltic. In winter, the first companies go out to sea with construction, and the government draws up new plans for the future. Declarations regarding the delimitation of further areas in the Baltic for the next phase of offshore wind energy development, in addition to the two already underway, fired the imagination of participants at the Offshore Wind 2024 conference. – Earlier this year, we reviewed the offshore development plan to make the most of the potential for offshore. A report on the state of maritime area development is being prepared, which will give us the basis for a substantive decision to designate new areas for the development of offshore wind farms in the Baltic, declared Arkadiusz Marchewka, Deputy Minister of Infrastructure, at the Offshore Wind Poland Conference.

According to the announcements made by government representatives present at the Offshore Wind Poland 2024 Conference, everything indicates that the government realistically wants to base the Polish energy transition on wind energy. Offshore wind energy is a key technology for an effective and timely transformation of our energy system, as well as for ensuring the competitiveness and resilience of the Polish economy. This year the motto of the Offshore Wind Poland conference was ‘From words to deeds – we are building!’.

– Offshore wind farms have entered the implementation phase. We are building. The investment campaign in offshore wind farms is not comparable to any other development project in contemporary Poland. We are talking about PLN 300 billion by 2040. To paraphrase the slogan of the US presidential election, let’s make Baltic Sea great again together – said Janusz Gajowiecki, President of the Board of the Polish Wind Energy Association.

Former Prime Minister and former President of the European Parliament Professor Jerzy Buzek mentioned security as one of the priorities in the context of offshore wind farm development. – Today we have concrete military threats. We hear about the cutting of undersea cables at a difficult time of strained international relations. The offshore wind energy industry must prepare for such security challenges, because it will face such threats – he stressed. He went on to mention the need for Polish industry to develop through the construction of offshore wind farms.

New areas for the next phase of offshore development

Key declarations were made during the Offshore Wind Poland 2024 Conference by Deputy Infrastructure Minister Arkadiusz Marchewka, who announced the unlocking of new areas in the Polish Baltic Sea for the construction of new wind farms. – At the beginning of this year, we analysed the offshore development plan in order to make the best use of the potential for offshore. In a moment experts will show us scenarios that will indicate the possibilities of further offshore development – the Deputy Minister declared. He went on to remind that thanks to the unblocking of funds from the National Reconstruction Plan (NRP), investments are being carried out in Poland. – In August, a building permit was issued for a new installation terminal in Gdansk. The aid from EU funds amounts to PLN 900 million. EU funds will also be used to finance the development of service ports such as Ustka, Leba and Darlowo. Within the framework of the KPO, the construction of terminal infrastructure in all these locations costs 370 million euros. We have also recently launched a tender for the development of breakwaters at these ports – he said.

The cost of building the T5 terminal is PLN 1.177 billion. When asked about the development of port investments, Deputy Minister Marchewka said that the implementation of the installation terminal in Gdańsk has accelerated. – The construction decision has been issued. We have already signed an agreement for the implementation of the project. We want the terminal to be operational in the second half of 2026 – he added.

Expert estimates indicate that the energy potential of the Baltic Sea could reach up to 33 GW, according to the Polish Wind Energy Association. The Ministry of Climate and Environment forecasts a value of 18 GW by the end of the next decade.

In turn, Miłosz Motyka, Deputy Minister of Climate and Environment, recalled that investments in offshore wind farms are a guarantee of stable energy prices and the construction of a domestic industrial supply chain. – By 2030. 6 GW of offshore capacity will definitely be built. However, this is only the beginning of changes – Motyka mentioned.

New RES regulations in the spirit of EU law

Łukasz Koliński, from the RES department at DG Energy in the European Commission, in turn recalled the European perspective on offshore wind energy development. – Every year there is an average 50% increase in onshore and offshore wind energy capacity in the EU. European policy plays a key role in influencing national regulations in the context of doubling RES energy capacity – he said.

He recalled that it is thanks to the EU that RES have the status of overriding public interest in the legislation of the Member States. – If there is any conflict with other policies, it is the one related to RES development that wins. We are also overcoming administrative problems. We can already see that in some countries, thanks to these solutions, there is an increase in RES connections by 70 per cent – says Koliński. It should be recalled that in the Polish legislation both the issue of implementation of the overriding public interest and shortening the waiting time for administrative decisions on RES permits are included in the amendment to the RES Act, which is currently being worked on by the Senate after it was adopted by the Sejm. Koliński also reminded that the potential of the Baltic Sea in the context of the development of offshore wind farms is 90 GW, which makes this body of water the second area, after the North Sea, with such a large possibility of offshore wind development. – Poland has a key role to play here, as the potential of this body of water may be the greatest in the Polish Baltic area, he said.

Construction of offshore wind farms

Representatives of companies that are implementing the first phase of offshore projects spoke at the panel itself. These projects, with a capacity of almost 6 GW, will be ready by the end of the 2020s. Michał Kołodziejczyk, President of Equinor Poland, which is implementing offshore projects (‘Bałtyk II’ and ‘Bałtyk III’) together with Polenergia, said that construction work on the onshore section has already begun. – These works include the construction of roads, the onshore derivation of submarine cables and the construction of a transformer station. The companies are expected to make a key final investment decision in Q1 2025. The actual construction will then commence. At the same time, prefabrication of the offshore components is already underway. These need to be ordered early so as not to wait in line. Next year we are starting with the construction of a service base in Łeba to be ready with it at the beginning of 2026. This base will technically support the development and construction of our farm together with Polenergia – he says. He stressed that it is necessary to make a smooth transition from the development of the first phase projects to the implementation of the second phase, otherwise we risk stagnation.

Bartosz Fedurek, President of PGE Baltica, which is implementing the Baltica 2 and 3 wind farm projects, said that their joint project with the Danish company Ørsted is at the construction stage as far as the first wind farm is concerned. – We have all the elements contracted, the administrative permits, and we are in the final stages of closing the financing, which we want to finalise before Christmas. We have also opened bids for the construction of our service base in Ustka, and there are six of these bids. – he stressed. He added that PGE wants, in line with earlier plans, to realise the share of the domestic supply chain at the level of 20 to 30 per cent, which for the beginning of the industry development in Poland will be a very good achievement.

Jarosław Broda, Member of the Management Board of Baltic Power (Orlen Group), which is implementing the project of building an offshore wind farm together with the Canadian company Northland Power, said that the investment decision for this joint project was made a year ago. – At that time, we decided on financing with banks for EUR 4, billion. The largest project-financing in the history of Poland. The share of domestic suppliers is to be 21 per cent for our project, and this potential in Poland is there and can be greater. However, most work is to be done in the field of administration, which should support the Polish industry. The biggest deficiencies are on the capital side and there are problems with obtaining government guarantees to operate on such projects. We have such institutions as PFR, BGK or ARP which should support our smaller companies – he says. Broda revealed that the construction of the farm already offshore will start in January 2025, with turbines already being installed at the end of Q1.

Work culture and safety

Agata Staniewska – Bolesta, Managing Director at Ørsted, drew attention to elements that have so far been overlooked in the debate on offshore wind energy, such as the coordination of administrative activities and working time. – We need to introduce shift work in offshore which is a health and safety issue. We also need coordination of work and rescue at sea. These are technical things, uncontroversial, but concerning fundamental issues like safety – she said.

When asked about the development of the second phase of the project and the preparation of the auction, Miłosz Motyka recalled that a draft for the differentiation of the maximum price at the auctions for further offshore projects has been submitted to the Sejm. Next will come the regulation on the differentiation of maximum prices. – The bill should still be passed by Parliament in December. There are also safety issues and technical solutions for the work that the managing director of Ørsted spoke about – Motyka said. He pointed out that public administration needs to be strengthened, which is in the interest of investors. – There will be new posts at the General Directorate for Environmental Protection, which issues the necessary permits, and the new posts will increase the speed and quality of processing of applications – he said.

Source: PWEA