OWP Butendiek, the 288MW offshore wind project located in the German North Sea, has successfully finalized its second long-term Power Purchase Agreement (PPA). The recent agreement involves Swiss energy utility BKW Energie, which will acquire 18% of the wind farm's total production, equivalent to over 200GWh annually, over an extended period.
Market intelligence, software, and advisory firm Pexapark facilitated the deal, marking the project's second PPA in recent months. The initial PPA, established in October 2023, involved an unnamed multinational offtaker for the supply of green hydrogen production.
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Commencing in July 2024, both agreements collectively cover 80.5% of Butendiek's total production capacity. The remaining portion of capacity will continue to be traded on the merchant market, benefiting from the German EEG scheme.
Björn Nullmeyer, Managing Director at WPD and Butendiek's Director, expressed satisfaction with the secure long-term revenue stream the second PPA brings to the project. Nullmeyer highlighted the significance of these agreements in showcasing how offshore wind power can sustain success beyond tariff periods, playing a vital role in Europe's green energy transition.
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Amanda Niklaus, Head of Renewables PPA Origination at BKW Energie, stated, “We are delighted to have secured this PPA with OWP Butendiek, which gives us access to a large and dependable source of renewable energy. This PPA allows us to grow our renewable energy portfolio and provide our customers with clean electricity.”
