No energy company has come forward to build and operate a new offshore wind farm off the Dutch coast, outgoing climate minister Sophie Hermans has told MPs. The tender for the Nederwiek I-A site, about 100 kilometres north of Texel, closed this week without a single application.

Hermans said the result confirms that the market for offshore wind energy has “entered a phase where government support is crucial to prevent development from stalling.” The project was due to start generating electricity by 2030, supplying power equivalent to one million households.

The minister said market conditions have changed sharply since 2018, when companies began developing offshore wind farms without public subsidies.

Construction costs have since risen, while industrial demand for renewable electricity has grown more slowly than expected. This, she said, has made it harder for developers to secure long-term power purchase contracts, reducing their willingness to invest.

Similar setbacks have occurred in Germany, Denmark, Britain and Belgium, where tenders have also been delayed or cancelled due to a lack of potential investors.

The government recently set out a number of short- and medium-term measures to keep projects moving. From 2026, subsidies will be available again and the government has extended a scheme to lower electricity costs for large industrial users until 2028.

Despite the setback, Hermans said offshore wind remains “essential for achieving energy independence and ensuring sufficient green electricity for the transition.”

In March, energy provider Eneco said it had decided not to take part in a new tender round to build a wind farm 50 kilometres off the coast of IJmuiden.

Offshore wind farms currently account for 15% of the electricity used by Dutch households.