BalticWind.EU sat down with Giles Dickson, CEO of WindEurope, to discuss the progress and challenges facing wind energy in Europe. We covered key developments from 2024, the state of offshore wind in the Baltic Sea region, regulatory hurdles, security concerns, and the priorities for the new European Commission.

Krzysztof Bulski (BalticWind.EU):

Giles, in our conversation last year, you emphasized that Europe is not building enough wind farms. That remains true today, but things have also evolved. Could you summarize 2024 from WindEurope’s perspective? What progress has been made, and why are we still not meeting our targets?

Giles Dickson (WindEurope):

There were some positive developments in 2024. We saw a record number government auctions across Europe—37 GW of capacity was awarded, with 29 GW within the EU. This should lead to an increase in annual installation volumes in the coming years. Winning an auction means a project is already well-advanced, with most permits secured and significant financial investment already made, so developers have every incentive to proceed—especially to avoid penalties.

Wind continues to supply 20% of Europe’s electricity consumption, despite 2024 being slightly less windy than the previous year.

A major highlight was Germany, which permitted 15 GW of onshore wind after implementing the new EU permitting rules. This demonstrates the significant benefits for countries that follow through on EU legislation. Despite the July 1, 2024, deadline, many EU countries have yet to implement these rules. We are urging those governments to take action, showing them how much they can gain from these regulatory improvements—without requiring additional public spending.

The key game changer is the new legal principle of “overriding public interest.” This means that when courts review challenges to wind farm permits—often based on biodiversity concerns—they must also consider the equally legally binding requirement to expand wind and solar energy. In Germany, this change has reduced the number of legal appeals and has given permitting authorities greater confidence to approve projects. Previously, civil servants were hesitant, fearing that courts would overturn their decisions. Now, with judges consistently ruling in favor of wind projects, the permitting process is accelerating.

However, there is still much work to be done. Many EU countries lag behind in implementing permitting reforms, and grid investments need to speed up.

KB:

Germany plays a crucial role in offshore wind development, particularly given its connection to the Baltic Sea. How does the Baltic region compare to other offshore wind hubs, both in Europe and globally?

GD:

The Baltic Sea offers excellent wind speeds and relatively favorable maritime conditions for installation, operation, and maintenance. This makes it highly competitive compared to other regions.

One of the key advantages of the Baltic is its potential for cross-border collaboration. The eight countries around the Baltic Sea can develop and share offshore energy assets, creating more electricity trading and lower costs for consumers. There is already significant electricity transmission across the Baltic, but much more can be done. Strengthening grid interconnections would improve market liquidity and help stabilize electricity prices.

Compared to the North Sea, the Baltic region benefits from a shared EU legal and regulatory framework, as all eight countries are EU member states. This makes coordination easier. In contrast, the North Sea includes non-EU countries like the UK and Norway, which adds legal complexity when planning shared projects.

Another important factor is industrial demand for clean energy. The three Baltic states, which are about to desynchronize from the Russian electricity system, have historically relied on imports. Now, they must develop their own clean power sources. However, the slow pace of electrification is holding back investment in both onshore and offshore wind.

Overall, the Baltic region is well-positioned for offshore wind expansion, with strong political support and rising industrial demand. Poland, for example, built over 500 MW of new onshore wind last year—the highest in a long time, partly due to regulatory changes. We are also looking forward to the final investment decision (FID) for Baltica 2, which will be Poland’s first offshore wind farm investment decision.

KB:

What still needs to be done to ensure new offshore wind projects meet both regulatory and investment targets?

GD:

Several key elements must be in place:

  1. Smart Auction Design: Governments need to structure auctions correctly. Two-sided Contracts for Difference (CFDs) are the best model, as they provide price stability and reduce financing costs. Denmark and Germany still use uncapped negative bidding, which increases project financing costs and makes offshore wind less attractive to investors.
  2. Public Policy Support: Sweden is currently not offering any policy or financial support for offshore wind. Other countries are supportive, but Denmark and Germany need to improve their auction models to ensure long-term revenue stability.
  3. Regulatory and Grid Planning: Governments must ensure proper maritime spatial planning and invest in grid infrastructure. Regional coordination between governments is crucial.
  4. Investment Security: High interest rates and elevated input costs make investment decisions difficult. Governments must ensure predictable revenues and strong electricity demand to justify these large investments.
  5. Cyber and Physical Security: Offshore wind infrastructure is becoming a security target, requiring enhanced protection.

KB:

Security is an increasing concern, particularly in the Baltic region. How should governments and the industry address this?

GD:

The threats to offshore energy infrastructure are real. Last year, a Russian vessel dragged an anchor for 100 km, damaging key infrastructure. A Chinese vessel also disrupted the Finland-Estonia connector. These incidents highlight serious security risks.

NATO has set up a surveillance task force to monitor suspicious maritime activity. But governments must ensure they have adequate security assets to respond to threats.

The wind industry must also take responsibility. WindEurope recently recruited two defense and security advisors—experts with both military and wind industry backgrounds—to help strengthen our dialogue with governments.

Developers must be part of the solution. Offshore wind farms can host surveillance equipment, sensors, and communication systems that benefit both the military and energy security. In Belgium, offshore wind projects are legally required to integrate naval monitoring systems.

There also needs to be alignment between countries in setting minimum security standards for offshore wind farms.

KB:

With a new European Commission taking office this year, what should its top three priorities be for wind energy?

GD:

  1. Full implementation of EU permitting reforms—as seen in Germany, these reforms work and must be applied across Europe.
  2. Electrification of heavy industry—accelerate the shift to renewable-powered industrial processes through the Clean Industrial Deal.
  3. Support for clean tech manufacturing—ensure Europe remains competitive in wind turbine production and other renewables.

KB:

Finally, what can we expect from the WindEurope Annual Event this year?

GD:

This year’s event in Copenhagen will be our biggest yet, with 15,000 attendees and 500 exhibitors. Ministers, policymakers, and industry leaders will come together to shape the future of wind energy in Europe. Given that this happens during Poland’s EU presidency, the Baltic region will be a key focus. We look forward to welcoming everyone in March!

KB:

Thank you, Giles!

GD:

Thank you, Krzysztof! See you in Copenhagen!