Offshore wind energy to advance net-zero goals: EUR 2.6 billion greenlighted in Estonia
Today, the European Commission (Commission) has approved a EUR 2.6 billion Estonian State aid scheme aimed at supporting the development of renewable offshore wind energy in line with the objectives of the transition to a net-zero economy. This measure, approved under the State Aid Temporary Crisis and Transition Framework (TCTF), facilitates the construction and operation of offshore wind farms designated under the Estonian Maritime Spatial Plan.
The support is structured as variable payments under two-way contracts for difference (CfDs). Beneficiaries are selected through a transparent, non-discriminatory bidding process, with the aid amount determined by the difference between a strike price and the reference market price, capped at EUR 65/MWh.
The Commission considers that the scheme meets the requirements of the TCTF, particularly regarding competitive allocation and its timing before the 31 December 2025 deadline. The measure was found to be necessary, appropriate, and proportionate, contributing to the objectives of the REPowerEU Plan and the Green Deal Industrial Plan.
The non-confidential version of today’s decision will be made available under the case number SA.114440 in the State aid register.
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