€30b package to secure supply, energy transition and climate protection launched

Around €30 billion: Europe’s largest-ever contracting package for security of supply, the energy transition and climate pro tection launched

Official signing of the contract between TenneT and four cooperation partners in Berlin to develop the North Sea as a hub for sustainable and independent European energy production
Long-term framework agreements will secure resources needed to build grid con nections for North Sea wind farms that will generate as much electricity as 28 large scale power plants
The high-tech core of the converter components to be manufactured exclusively at European production sites
With three more offshore projects in the German North Sea, TenneT complements the recent award of 11 to 14 converter systems of 2 gigawatts each
Top representatives of the transmission system operator TenneT, the Hitachi Energy/Petrofac co operation and the three consortium partnerships GE/Sembcorp (SMOP), GE/McDermott and Sie mens Energy/Dragados today officially signed the contracts in Berlin to seal Europe’s largest-ever tender award for energy transition infrastructure. The total volume of the contracts for the compo nents of the 14 systems amounts to around €30 billion. The result will be a transmission capacity of offshore wind energy in the German and Dutch North Sea that will generate as much electricity as 28 large-scale power plants.

TenneT has thereby completed the process of awarding contracts for the sea- and land-based converter stations for a total of 14 offshore grid connection systems, which was launched in Au gust 2022. TenneT had already awarded 11 of these systems at the end of March, eight of them in the Netherlands and three in Germany. Three more systems in Germany were added today. These 14 systems are to be realised by 2031. Their “core components”, meaning the innovative two-gigawatt technology for converting alternating current into direct current and back, will be manufactured exclusively at European production sites of the consortiums’ members in all pro jects. With a contract of this magnitude, Europe will be taking a global lead – in terms of both tech nology and production – in a key sector of tomorrow’s energy supply.

The award of the major tender in detail
At today’s official contract-signing ceremony, TenneT and the four cooperation partnerships signed the orders and their acceptances for a total of 14 offshore grid connection systems in the German and Dutch North Sea.

The Siemens Energy/Dragados consortium was today awarded the contracts for the German pro jects BalWin3, LanWin4 (both with a connection to the onshore grid in Wilhelmshaven) and LanWin2 (with a connection near Heide).
Already on 30 March 2023
GE/McDermott had been awarded contracts to build the relevant components for the Ger man offshore projects BalWin4 and LanWin1, which will be connected in Unterweser.
Hitachi Energy/Petrofac had been awarded the contracts for five Dutch projects to be connected in Borssele (IJmuiden Ver Alpha, Nederwiek 1), Eemshaven (Doordewind 1 and Doordewind 2) and Geertruidenberg or Moerdijk (Nederwiek 3). This cooperation will also realise the German connection LanWin5, which is to be connected near Rastede.
GE/SMOP had been awarded three Dutch projects to be connected in the Maasvlakte, Rotterdam (IJmuiden Ver Beta, IJmuiden Ver Gamma and Nederwiek 2).

All agreements apply to both the offshore and onshore converter stations and the associated HVDC technology, which enables bidirectional conversion of direct and alternating current. The contracted suppliers will start the preparatory work for the projects immediately. In this way, all contracting parties will ensure that the projects under the framework agreement can be supplied on schedule by 2031. The total volume of the orders for the components of the 14 systems amounts to around €30 billion.


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