Germany's 50Hertz signs 4.6 bln eur contract for submarine and land cable expansion (updated)
29/09/2023 10:50
(Adds details, background from paragraph 3)
BERLIN, Sept 29 (Reuters) - German power grid operator
50Hertz on Friday said it had signed a 4.6 billion euro ($4.88
billion) deal with NKT and Prysmian Group to build submarine and
land cables as the company expands high-capacity power lines for
Germany's renewables switch.
The contracts are for cables covering at least 3,500
kilometres and include 525-kV cable systems with a capacity of 2
gigawatt per system for line construction, the company added.
"With these contracts, we are taking a major step towards
enabling Germany to achieve the goal of climate neutrality by
2045," 50Hertz Chief Executive Stefan Kapferer said in a
statement.
50Hertz, 80% owned by the Belgian group Elia ELI.BR and
20% by state-bank KfW KFW.UL , said the production and
installation of the systems will start in 2025 and will be fully
commissioned in the mid-2030s, adding that cables could be later
extended by additional 2,700 kilometres.
Denmark's NKT will be responsible for the cables in the
Baltic Sea for offshore gird connect systems off the island of
Ruegen and for the planned energy hub on the island of Bornholm,
with five projects worth 3.5 billion euros.
It will also build an offshore grid connection project
in the North Sea as well as an onshore in the northern states of
Schleswig-Holstein and Mecklenburg-Vorpommern.
Prysmian Power Link, a subsidy of Italy's Prysmian
Group, will supply and install offshore grid connection system
in the North Sea.
($1 = 0.9428 euros)
(Reporting by Riham Alkousaa
Editing by Miranda Murray)
((Riham.Alkousaa@thomsonreuters.com; Twitter: @RihamKousa;))