Offshore Auctions: From Stalemate to Solutions
In our last post, we highlighted how Germany’s current offshore wind auction design is failing—and why this threatens not only wind deployment but also the scaling of offshore hydrogen projects like SEN-1 and the Duck’s Bill.
The question now is: What would a meaningful course correction look like?
1️⃣ Bankable frameworks for investors
Two-sided Contracts for Difference (CfDs) have proven effective in the UK and other markets. They provide long-term certainty and reduce financing risks—exactly what Germany needs to regain investor confidence.
2️⃣ Integration of hydrogen from the start
Auctions should not treat offshore hydrogen as an “add-on.” By linking wind generation, hydrogen production, and pipeline capacity (e.g., AquaDuctus) in one coherent framework, we can unlock real scale effects and avoid stranded assets.
3️⃣ A European perspective
The North Sea is becoming a shared energy system. Germany’s auction model must be compatible with cross-border infrastructure, ensuring that projects like AquaDuctus can evolve into a European offshore hydrogen backbone.
Resetting the auction design isn’t just about making projects viable—it’s about securing Europe’s role in the global race for green energy leadership.
Offshore wind and offshore hydrogen are two sides of the same coin.
👉 What do you think: Should Germany move straight to CfDs—or is there another model that could better align wind, hydrogen, and infrastructure development?
