Author: PPD Team Date: 30/01/2025
Ørsted and Polska Grupa Energetyczna (PGE) have made the final investment decision (FID) for the 1.5GW Baltica 2 offshore wind farm off the Polish coast.
The wind farm is expected to be fully commissioned by the end of 2027. Developed in a 50/50 partnership, Ørsted and PGE will be responsible for the entire project, including offshore transmission and substations.
The project will feature 107 Siemens Gamesa 14 MW-222 turbines, with installation services from Cadeler and Fred Olsen Windcarrier. Van Oord will manage the installation of foundations and offshore substations. The Port of Gdansk will be used for storage, pre-assembly, and offshore installation of wind turbine components.
A 25-year inflation-protected contract for difference (CfD) with the Polish state has been secured, starting after commissioning. The nominal starting price per MWh will be based on the 2021 agreed price of €71.82, adjusted annually for inflation. Once the CfD ends, Baltica 2 will either receive the market price for electricity or enter into new power purchase agreements.
All necessary permits for the project have been obtained, and a grid connection contract has been signed with the Polish transmission system operator, PSE. With major component and vessel contracts finalized, most of the capital expenditure (CAPEX) is locked in, significantly reducing the project’s risks.
Agata Staniewska-Bolesta, Managing Director of Offshore Poland at Ørsted, highlighted the importance of offshore wind energy for Poland’s energy transition, contributing to the country’s energy security. “Despite macroeconomic challenges, we and PGE have reached this important milestone. As Poland’s largest renewable energy project, Baltica 2 will lead the way to a greener energy future, powering approximately 2.5 million Polish households.”
Poland’s energy policy until 2040 recognizes offshore wind as a key technology for achieving a low-emission economy. The country aims to install 5.9GW of offshore wind by 2030 and 11GW by 2040.