Eneco and Rijkswaterstaat will realize a wind project on the Maasvlakte 2 that does not rely on the SDE++. It is the first time in the Netherlands that an onshore wind project is being built without subsidy. The Netherlands Wind Energy Association (NWEA) is pleased that this milestone has been reached. The subsidy for wind turbines has fallen sharply in recent years and this moment has been getting closer. It is possible to build the project without subsidies due to the 25 years guaranteed take-off of the electricity by PPA, the size of the wind farm and the size of the turbines and because of the very windy location.
It is one of the first onshore projects to be tendered by the government. Because it is a technically complex location, a so-called competition-oriented dialogue with three remaining market parties was chosen. In the past year, these parties discussed with Rijkswaterstaat which risks there are in the project and how they can best be mitigated, after which all three could submit a bid. Thanks to this tender, the developer knows better where he stands and the entrepreneurial risk decreases. NWEA would like to see more tenders of this type being launched onshore, and it is nice if the lessons of the tender of the Tweede Maasvlakte are included. After all, there is still a great deal of potential for generating wind energy on land of the government. The Ministry of Economic Affairs is setting up a government-wide program for the Generation of Energy on Central Government Real Estate, in which locations are prepared for the market in consultation with local authorities. NWEA sees this as a positive development!
What makes this project unique is that Rijkswaterstaat has signed a PPA for the take-off of the electricity for 25 years. The demand for sustainable energy is large, more and more companies and governments want to buy green energy and conclude long-term contracts of this kind. This is a positive development that offers both operators and customers certainty. Finally, the Tweede Maasvlakte is a very windy location and the project is relatively large (80-100 MW).
That is why this project is incomparable with other onshore wind projects in the Netherlands. NWEA does not expect more projects to follow without SDE++ soon, as many factors play a role. Onshore wind is the cheapest renewable solution in terms of both SDE and social costs at a distance.