Austria lifts prices and capacity for upcoming onshore wind auctions

Austria’s climate and energy ministry, the BMK, said yesterday (14 March) that the country would now auction 582MW in 2024 and up to 500MW in 2025. 

That includes the next tender, scheduled for 14 May, which will now offer up to 287.5MW. Subsequent auctions planned for 2 August, 18 October and 12 December will each offer an additional 100MW. 

Meanwhile, the maximum bid value was increased from €0.093 to €0.09.60/kWh. 

The rising prices echo responses from other European countries, including the UK, amid the impact that high inflation and interest rates, plus supply chain difficulties, have had on recent, frequently undersubscribed wind energy auctions. 

The BMK also reformed the compensation it will offer for differences in yield due to wind conditions, with high yield areas facing higher surcharges. 

For wind farms on mountains over 1,400 metres above sea level, which make up a large part of Austria’s alpine geography, the surcharge was increased from up to 7.66% to up to 8.13%. 

Industry reaction

Austria’s wind energy association, IG Windkraft, welcomed the announcement. 

“We are very pleased that the market premium ordinance has come into force. This is an important step for planning security for the years 2024 and 2025,” Stefan Moidl, managing director of IG Windkraft, said. 

He added: “Due to rising system prices, high interest rates and inflation, this higher value is a necessary prerequisite for future wind power expansion… The approval procedures must be streamlined and more staff hired by the approval authorities.”