26. 4. 2019

CEZ Group joins other German wind energy projects under development

In the last few days, CEZ Group acquired wind power plant projects in Germany with a total installed capacity of more than 110 MW. This resulted from a 50% joint venture with the active international early stage investor Holt Holding Group. Most of these projects will compete in the German auction system in 2022.

“Current investment is directed into a portfolio of projects in locations with some of the best wind potential across Germany—and therefore ideal for success in auctions. The complete portfolio of our German projects is now valued at more than 300 MW of potential installed capacity. Along with assets in France, we are now developing wind energy projects in Western Europe at different stages of progress with a combined output of around 550 MW,” said Tomáš Pleskač, director of the New Energy and Distribution division. ČEZ Group companies currently operate 53 wind power plants in Germany with a total installed output of 135 MW.

“Our experience in wind energy markets in Western European countries clearly confirms that investment in development offers better profitability than joining finished projects. By combining purchasing power, available funding and wind farm operating experience, we can achieve exciting returns on investment in this highly competitive market. Cooperation with local partners can help solve the local specifics of development,” said Veronika Nosková, head of the ČEZ project acquisition group.

Projects from the recently acquired portfolio, which are planned for north western Germany and have an installed capacity exceeding 110 MW, will compete in the German auction system in 2022.

Germany has long been the number one business partner of the Czech Republic, with more than 30% of our exports heading to our western neighbour every year, and imports of roughly 25%. Conditions on the energy market are similar. Cross-border flows to the Czech Republic exceeded 7.5 TWh of electricity in 2018, while 4.9 TWh of electricity flowed in the opposite direction. The long-term stability of the investor environment makes Germany a guarantee of good returns on projects, given its established system of auction mechanisms for competitively determining support and overall market development. Operation on the German RES market is also an advantage in terms of transferring experience in how the auction system functions, a model that could similarly be introduced in the Czech Republic.

Did you know that…

...CEZ Group operates wind farms across Europe with a total installed capacity exceeding 740 MW?

...because of recent acquisitions, approximately 80% of the CEZ Group’s  wind energy portfolio in Europe is currently in the development stage?

...in addition to the German market, CEZ is looking at opportunities in renewables in other European countries with the aim of building a stable portfolio of assets at different stages of life cycle and providing associated services?

...CEZ Group has also acquired new technologies in Germany? So far, it has made four investments through its INVEN CAPITAL investment fund in companies active in the new and decentralized power generation (Sonnen, Sunfire, tado° and Cloud&Heat Technologies).