Greek authorities are moving closer to launching the country’s first offshore wind auction framework, introducing a set of new rules designed to attract investment while ensuring financial stability and maintaining a competitive market structure.
A proposal prepared by EDEYEP, the state agency responsible for hydrocarbon and energy resource management, outlines the key principles that will shape future tenders. The framework focuses on bidder eligibility criteria, long-term revenue support mechanisms, investor protection measures, and safeguards to prevent market concentration.
A core element of the proposal is the introduction of Contracts for Difference (CfD), which are expected to provide developers with predictable long-term revenue streams. Under the proposed model, contract prices would be indexed to inflation, ensuring that revenues adjust in line with rising construction, financing, and operational costs over time.
To qualify for participation in offshore wind auctions, developers would need to demonstrate a high level of project readiness. Requirements include holding a research permit for the designated offshore zone, as well as providing at least one year of site measurement data and other technical documentation necessary for project evaluation.
The proposal also tackles the issue of grid constraints and curtailment risk, which can significantly impact renewable energy profitability. To address this, EDEYEP recommends a partial compensation mechanism that would help protect investors from financial losses caused by system balancing actions or output restrictions.
While developers will be allowed to compete for multiple offshore wind zones, the framework introduces limits to prevent dominant market positions. In cases where several areas are auctioned simultaneously, a single investor would not be permitted to secure more than two-thirds of the available capacity.
According to EDEYEP, these measures aim to create a stable, transparent, and competitive investment environment, while providing sufficient certainty for developers to commit capital. The offshore wind sector is expected to become a key pillar of Greece’s renewable energy transition in the coming years.
