The Competition for Utsira Nord is opened

On May 19, the Ministry of Energy (MOE) has opened the long-awaited competition for the three project areas of 500 MW within Utsira Nord. The deadline for applications is September 15 at 12.00 PM.

The three winning applicants will, following a license application and a bank guarantee, be eligible to participate in the competition for state aid, where only one applicant will be awarded state aid of up to NOK 35 billion. The award of the areas is expected in the first half of 2026.

The competition for the opened areas

The award of project areas will be based on the following objective non-discriminatory criteria:

  • Cost level, realism and maturity of the project (NW: Kostnadsnivå, realisme og modenhet), weighting 35 %
  • Innovation and technological development (NW: Innovasjon og teknologiutvikling), weighting 10 %
  • Execution capability (NW: Gjennomføringsevne), weighting 35 %
  • Sustainability (NW: Bærekraft), weighting 10 %
  • Positive ripple effects (NW: Positive ringvirkninger), weighting 10 %

Applicants who meet the requirements will be ranked according to the criteria, and the three applicants who receive the highest overall score in the qualitative competition will each be awarded a project area. The applicant with the highest score will be awarded their preferred project area, the applicant with the second highest score will be awarded their preferred project area among the remaining two project areas, and the applicant with the third highest score will be awarded the last project area.

The cost level, realism and maturity of the project sets a requirement for the applicant’s cost estimate for a 500 MW floating offshore wind project. The assessment will emphasize the maturity and realism in the estimates more than the cost estimates themself.

The innovation and technological development criterium will be assessed based om (i) the project’s potential for technological development, innovation and other cost-reducing processes that will result in a cost effective and competitive operational offshore wind project in 2040. Secondly, it will be assessed on (ii) the possibilities on scaling and diversification of the main technologies of the applicant’s project concept.

The execution capability criterium will be assessed based on (i) the applicants financial strength, based on the applicant’s turnover exceeding NOK 20 billion on an average the last three years, and the applicant’s equity capital. Secondly the execution capability will be assessed on the applicants (ii) relevant experience, within floating offshore wind or bottom-fixed offshore wind. The MOE will take particular consideration to experience with floating offshore wind projects, and will be weighting projects that are longer in the development phase higher than experience with projects that are in an early development phase. thirdly, the execution capability will be based on the applicant’s (iii) Project concept with accompanying risk assessment of the execution of the project.

The sustainability criterium will be assessed based on (i) the applicant’s efforts to minimize the project’s climate footprint, secondly, the project’s (ii) plan for coexistence with affected interests., and thirdly, the project’s (iii) waste management, with focus on recycling and reuse throughout the project’s life span. Lastly the criterium will be based on the project’s (iv) consideration for nature and environment throughout the project’s lifespan.

The positive ripple effects criterium will be assessed based on the project’s (i) contribution to the development of the supply industry and offshore wind infrastructure on a economically sustainable way, and the project’s (ii) contribution to giving small and midsize business (SMB) valuable experience with offshore wind. Thirdly, the criterium will be assessed on (iii) the project’s contribution to improvement, development and expansion of skills, knowledge and capabilities regarding offshore wind within its own organisation and in the supply chain.

Competition for state aid

Following the award of the areas, the winning applicants will continue to develop and mature their projects. In order to participate in the competition for state aid, the winning applicants will have put up a bank guarantee and apply for license according to the offshore energy act section 3-1. The competition for state aid will take place as an auction, and the auction will only take place if two or more applicants meet the aforementioned criteria.

Only one project will be awarded state aid, and the winner of the auction will be the project that offers the lowest need for state aid. The state aid is capped at 35 BNOK. The winner of the state aid auction shall establish a project as close to 500 MW as possible. The projects that are not awarded state aid, may apply to prolong the exclusive right to their respective project areas pursuant to the offshore energy act section 2-3.

Timeline

  • Period for submission of questions: 26 may – 15 June 2025
  • Deadline for submission of applications: 15 September 2025 at 12:00 PM. Questions shall be submitted by email to havvind@ed.dep.no. All information regarding the competition will be published on this page.
  • Award of project areas: First half of 2026

Read more