The support model for Utsira Nord has been submitted to ESA.

- Finally, we are seeing progress, says our CEO Arvid Nesse

– We hope that ESA will carry out the notification as quickly as possible and that the ministry can launch the call for tenders at the end of April/beginning of May, he encourages.

According to the government, the competition for the allocation of project areas will be announced as soon as possible after ESA has approved the model.

– The proposed support model will take the development of floating offshore wind and Utsira Nord a significant step forward, and I look forward to launching the competition as soon as ESA has approved the model. The government’s offshore wind initiative continues on a steady course, says Minister of Energy Terje Aasland.

In the notification, the ministry outlines a model where the allocation of project areas and state aid takes place in two stages, with a maturation phase in between. Three project areas will be awarded in a competition based on objective and non-discriminatory qualitative criteria.

After a maturation period of approximately two years, the entities awarded project areas will have the opportunity to participate in an auction for state aid. The auction will be designed so that one project can receive support for a project with a capacity of 500 MW. The winner of the auction will be the entity that requires the least amount of state aid to realize their project. The Norwegian Parliament has set the upper financial limit for state aid at NOK 35 billion. The support will be provided as investment aid.

This is the first time such a model is being assessed under the state aid regulations. The development of the model has taken place in dialogue with the offshore wind industry and ESA. ESA will now formally assess the notification.