RWE advises against lottery model for new tenders
A few years back, all of five consortia placed bids to build the 1GW offshore wind farm Thor at the lowest possible bidding price of DKK 0.01 per kWh, thus prepared to channel the first DKK 2.8bn (EUR 375m) in earnings to the state.
This meant that the Danish Energy Agency had to select the winner among the five consortia by drawing lots. And even though RWE emerged victorious, it was not necessarily the best course of action, says Chief Executive Officer of Offshore Wind Sven Utermöhlen to Danish daily Berlingske.
”Let me put it this way: A lottery is probably not the best way to award investment projects worth several billion euro. I consider it pivotal going forward that the Danish state reviews the process and ensures that it doesn’t end in drawing lots again.”