Germany: Offshore Terminal Bremerhaven to Be Built
- Business & Finance
Bremen’s Senate decided to ensure funding for building of the Offshore Terminal Bremerhaven (OTB) in an effort to achieve energy turnaround and create jobs. The Senate made the required landmark decision for project’s financing at a meeting on December 4, according to the press release published on its official website.
Mayor Jens Böhrnsen said: “The offshore terminal is the central infrastructure decision of this legislative period. Therefore, we have joined all forces in order to master this financial effort. This decision lays the foundation so that Bremerhaven can further strengthen its position as a center of European offshore wind industry. “
Böhrnsen emphasized that this decision is a clear signal to the industry that the state of Bremen stands by its proactive position to promote the sector.
“The Federal Government has created much confusion over the past months. The Senate is still clear about its position: ‘Offshore wind is a key component of the energy transition’. And even if the occasional project might be delayed, this type of energy will become extremely important in the coming decades.That is what we support and we intend to benefit with many new jobs.”
The cost of building the quay should amount to about EUR 160 million, including risk and ancillary building costs. Also, charges for compensation measures are expected to amount to EUR 20 million.
The financing of the construction will be distributed over a period of five years within the Bremen’s budget, in order to avoid burdening the future generations, said Karoline Linnert, Finance Senator.
The offshore wind industry has established itself in recent years as the fastest growing industry in Bremen. The focus of this development is in the region of the southern fishing port in Bremerhaven. To date, the offshore industry has created around 3,000 jobs in Bremerhaven.
Recently, in an intensive planning process, the Senator for Economy, Labour and Ports has decided that Prognos AG should once again examine the need for the OTB. The experts have found that the potential of this project for job creation ranges from 8,100 to 14,500 work places by 2040. They also concluded that if the OTB is not built, the number of jobs would be significantly reduced.
Initially, the Senate had approved a concession model in March 2011, according to which a construction concession (and operating) license should be granted to an investor within a bidding process.
Nevertheless, the two submitted bids did not correspond to the tender conditions, as they would have required a financial contribution from Bremen. Therefore, the procedure had to be cancelled.
World Maritime News Staff, December 7, 2012; Image: BremenPorts