50Hertz Inks €4.6 Billion Contracts for Vast Cable Network Expansion in Pursuit of Germany’s Climate Neutrality Goal

Credit: 50Hertz

, a prominent player in the energy transmission sector, has sealed substantial project and framework agreements valued at €4.6 billion with industry leaders NKT and Prysmian Group. These agreements are set to facilitate the production and installation of an extensive network of submarine and land cables, spanning an impressive total length of 3500 kilometers, with an option for an additional 2700 kilometers.

This monumental contract encompasses the deployment of 525kV cables, each boasting a capacity of 2GW per system. These cables will be instrumental in line construction projects mandated by 's Bundesbedarfsplan and those outlined in the draft of the Netzentwicklungsplan 2037/2045 (2023), further reinforcing Germany's commitment to achieving climate neutrality by 2045.

Stefan Kapferer, Chief Executive of 50Hertz, emphasized the pivotal role of high-capacity power lines in the energy transition, stating, “High-capacity power lines – whether overhead lines, cables on the seabed, or underground cables on land – are the backbone of the energy transition. Their production and installation require exceptional technological expertise.” Kapferer expressed confidence in the partnership with NKT and Prysmian Group, both known for their ‘Made in ' quality.

Danish firm NKT is poised to spearhead five out of seven projects, with a total value of €3.5 billion. This includes supplying cables for grid connection systems in the Ost-2-4 area (Ostwind 4) in the , as well as the German segment of the Bornholm Energy Island project. NKT will also oversee cable installation on the seabed.

NKT's responsibilities extend to the North Sea, where the company is tasked with implementing the offshore grid connection project LanWin 6 (NOR-13-2 area) and the onshore HVDC project DC 32 (NordOstLink +). Furthermore, NKT has secured a contract for the SuedOstLink+ project, an extra-HVDC transmission line.

Prysmian Power Link, an affiliate of Italy's Prysmian Group, clinched a contract encompassing the offshore grid connection system LanWin 3 (NOR-11-1 area) in the North Sea. This involves supplying and installing subsea cables and managing the eastern section of onshore DC 31 NordOstLink (NOL). Engineering, production, and installation of these cables are scheduled to commence in 2025, with full commissioning expected in the mid-2030s.

Additionally, 50Hertz has entered into a framework agreement with both Prysmian and NKT for the supply and installation of an additional 2700 kilometers of cable, further underscoring the commitment to bolstering Germany's HVDC transmission grid.

NKT's Chief Executive and President, Claes Westerlind, highlighted the historic significance of this order, emphasizing the company's pivotal role in the German Energiewende. Hakan Ozmen, Chief Executive of Prysmian Power Link, expressed honor in collaborating on these vital projects, reaffirming Prysmian's contribution to Germany's ‘Energiewende' (Energy Transition).

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