Press Release:

New study shows: A blanket 20 percent overdevelopment limit for offshore areas
network connections caused
unnecessary additional costs

Berlin, March 12, 2026 – A new study by Frontier Economics commissioned by the
German Offshore Wind Energy Association (BWO) and the Federal Association of
The German Association of Energy and Water Industries (BDEW) provides reliable figures for the first time on
The economically optimal development of offshore grid connections.
The optimal level of development lies in the investigated areas of Germany.
North Sea at around five to ten percent. A blanket target of 20 percent,
as it is envisaged in the 2025 area development plan, leads to unnecessary
additional economic costs.

The study “Analysis of an economically optimal development of offshore
The project “Wind Grid Connections” examines four previously undeveloped offshore areas in the
German North Sea. Frontier Economics analyzes various combinations of
Wind farm output and grid connection capacity to achieve the optimum in cost and
To determine the benefits for the energy system.

The result: The economically optimal development area lies, depending on the region and
Scenario, between five and ten percent. The associated curtailment of the
The generated electricity yield is three to four percent. From a business perspective
The optimum, however, lies lower, at around two and a half to five percent.
The economically optimal value thus exceeds the economic optimum of
Developers.

Blanket regulations lead to higher electricity prices.

"This study shows for the first time with reliable evidence in which area a building overpass is possible."
is economically sensible at all. In the areas studied, this is the case.
Value at five to ten percent – ​​significantly below the previously considered flat rates
“Specifications,” says Stefan Thimm, Managing Director of the German Wind Energy Association
Offshore. "A blanket obligation to a development value of 20 percent."
However, this would unnecessarily increase the economic costs.”

"Project developers are already overbuilding in the area of ​​business economics."
Sensible and feasible. Crucially, development must be site-specific and
is implemented within an economically sensible framework. Beyond that,
Demands would lead to higher investment risks; these would have to be addressed.
These will be compensated for. This will inevitably result in higher electricity prices.
reflect," Thimm continued.

Optimization of offshore wind energy

"Those who unilaterally try to save money on network expansion risk creating an unnecessary burden."
of electricity customers. We need to consider optimization potential holistically – from the
Spatial planning, network connections, and market mechanisms. The goal must be
His goal is to use existing infrastructure and available space more efficiently.
Higher full-load hours improve the utilization of plants and
Network connections strengthen the economic viability of projects and reduce the
“Additional risk mitigation is needed,” says Thimm. “From the industry’s perspective
Three measures have priority: a lower power density of less than ten
Megawatts per square kilometer on new areas, a land-use plan that
Shading effects between wind farms are reduced, as well as a stronger
international cooperation – for example through the development of suitable areas in
Denmark. This is the only way to advance offshore wind energy development cost-effectively.”

Infobox: What does "overbuilding" mean?

Overplanting means that the installed capacity exceeds the available land area.
The demand of an offshore wind farm is higher than the capacity of its grid connection. Therefore
The aim is to ensure that the network infrastructure is used more evenly, even in low wind conditions.
will be. In times of strong winds and high electricity production, the
The grid connection cannot absorb the generated electricity. The excess electricity
It is being regulated and thus becomes unused.

Background to the study

The study “Analysis of an economically optimal development of offshore
Frontier Economics' "Wind Grid Connections" examines the North Sea areas N
10, N-12, N-17+20, N-19. The study's assumptions are based on the Fraunhofer IWES.
Study “International Optimization of Full Load Hours in the German Bight – Cross
Border Radials,” which was jointly commissioned by the BWO and BDEW. Goal
The studies provide a scientific basis for optimizing offshore operations.
To create wind energy in Germany.