Vattenfall has won the Danish nearshore wind tender and will now develop two wind farms with a total capacity of 350MW at Hvide Sande and Thyborøn on the west coast of Jutland.
The Swedish utility developer submitted a 47.5 ore per kilowatt bid for two sites named Vesterhav Syd and Vesterhav Nord.
The bid is roughly £54/MWh at today’s exchange rate but closer to £45/MWh over a longer-term average. Losing bidders included WPD/Hofor and a consortium led by European Energy.
The company said it still needs a final approval for the projects from the Danish government, which is currently progressing plans to scrap supports for the nearshore sector.
If final approval to proceed is given, Vattenfall aims to start construction in 2019 and produce first power in 2020.
Vattenfall Wind head Gunnar Groebler said: “With our bid we have demonstrated that we are able to reduce the costs of offshore wind faster than had been expected, only a few years ago.”