Freja seeks permit for 2.5GW floating wind as race for Swedish offshore heats up

Application by Mainstream-Hexicon joint venture comes a week after rival OX2 awards first large contract for monopiles for project in vicinity

Freja Offshore CEO Magnus Hallmann.
Freja Offshore CEO Magnus Hallmann.Foto: Aker Offshore Wind

Mainstream Renewable Power and Hexicon tie-up Freja Offshore has submitted a planning application under the Swedish Economic Zone Act to the country’s climate and business ministry for its up to 2.5GW Mareld floating wind project in the Skagerrak Strait that links the North and the Baltic Seas.

The permit application comes as the race is heating up to obtain permits by Swedish authorities and ultimately the central government to build a new wave of offshore wind farms that could have dozens of gigawatts in capacity to still the Nordic country’s rapidly rising thirst for electricity as it decarbonises its industry, transport and heating.

The Mareld project is located in the country’s economic zone northwest of Sweden’s second largest city, Gothenburg, and at the sea border with Denmark and Norway. It could supply 9 to 12TWh of power annually, which corresponds to more than half of the power consumption of Sweden’s heavily industrialised Västra Götaland region that today imports more than half of its electricity.

“This project could do wonders for our region," said Olof Lundberg, chairman of the municipal executive board in Stenungsund, a coastal town home to a large chemical industry cluster.

"Not only will it provide us with locally produced electricity that will bring down prices, but it will also help to preserve and strengthen our industrial sector. We rely on electricity-intensive industries to create jobs and drive our economic growth.”

Freja Offshore CEO Magnus Hallman said the permit application is a significant milestone for the joint venture after “two years of hard work, and extensive stakeholder engagement, including with local communities and environmental stakeholders.”

“We are confident that the advantages of floating offshore wind, when combined with the industrial heritage and offshore track-record of our shareholders, give us the best possible chance of being successful in our permitting application.”

Map of Freja Offshore's Mareld floating wind project off western SwedenFoto: Freja Offshore

Sweden targets to produce 120TWh from offshore wind by 2040 when the country plans to reach 100% in renewable power production.

The government needs to gather input from several agencies in a consultation round before taking a decision.

Freja’s permit application comes as dozens of companies race to obtain permits for gigascale offshore wind projects in Sweden, which unlike most other countries doesn’t grant construction and operation permits via a tendering system. Instead, the country’s grid operator Svenska Kraftnät will provide up to 10GW of (mostly) free offshore grid links that are foreseen to be operational between 2029 and 2035, while permits are granted in what can be described as a first-come-first-serve system.

Sweden currently has only 192MW of operational offshore wind.

Nordic developer OX2, Denmark’s Orsted and Swedish state-owned utility Vattenfall are among Freja’s closest competitors to win permits in the expected massive next wave of wind at sea in Sweden.
OX2, which has an offshore wind pipeline of 13.9GW in Sweden and Finland, despite not having been granted a final central government permit yet last week has displayed a certain confidence by awarding a conditional contract for 230 monopile foundations to EEW Special Pipe Constructions for its gigascale Galatea-Galene and Triton projects in Sweden.

“We will be working close with EEW to make sure we can start construction as soon as possible and thereby make a large-scale contribution of emissions-free electricity to parts of Sweden that needs it the most,” said Emelie Zakrisson, head of offshore wind development at OX2 Sweden.

Galatea-Galene like Freja’s Mareld is also located off the Swedish west coast, but closer to shore. OX2 is developing its Swedish projects jointly with the investment arm of Ikea owner Ingka Group.

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Published 18 April 2023, 07:56Updated 18 April 2023, 08:07
EuropeSwedenFreja OffshoreAker Offshore WindHexicon