Vattenfall has won the right to build the up to 750MW Hollandse Kust Zuid 1&2 offshore wind farm in the Netherlands on a subsidy-free basis.

The Swedish company beat rivals including Innogy and Statoil to develop the project due online in 2022-23.

The project developed by Chinook, a subsidiary of Vattenfall’s Dutch arm Nuon, is set to be the first offshore wind farm in the world to be constructed without subsidy.

Dutch Economic Affairs and Climate Minister Eric Wiebes said: “Thanks to drastically lower costs, offshore wind farms are now being constructed without subsidy.

“This allows us to keep the energy transition affordable. Innovation and competition are making sustainable energy cheaper and cheaper, and much faster than expected too.”

Bids were submitted on 21 December with officials judging submissions on a range of quantitative and qualitative criteria including completion time, output and risk management.

The construction of the 700MW to 750MW wind farm is expected to involve an investment of more than €1.5bn.

Industry sources said the project could feature next-generation offshore turbines such as GE’s 12MW Haliade-X officially launched earlier this month.

Under the terms of the concession, Vattenfall is allowed to build turbines with a maximum tip height of 251 metres.

Vattenfall said it will now make final preparations for Hollandse Kust Zuid 1&2 including the design of the wind farm. It will also finalise the tender process for major components.

"“Winning the bid for Hollandse Kust Zuid is a result of our continuous cost reduction efforts along our entire value chain and the solid track record and portfolio approach of our company," said Vattenfall wind head Gunnar Groebler. 

"We are very happy to enlarge our contribution in making the Dutch energy system more sustainable and support our customers, large and small, on their way to become climate smarter," he added.

Image: Prinses Amalia wind farm, Netherlands (Eneco)