Land Assessment to Secure Contracts
6 Apr 2025
From Land Assessment to Contract Success: Key Steps for a Secure Renewable Energy Project
Starting a renewable energy project in Germany requires a structured process to ensure technical feasibility, legal compliance, and financial viability. Here is a step-by-step guide to navigate this journey:
1. Land Assessment
The initial phase involves assessing the suitability of the land for renewable energy installations. This includes evaluating factors such as topography, proximity to infrastructure, and environmental considerations. In Germany, only about 9% of land potentially suitable for wind farms remains available after considering regulatory, ecological, and technical constraints.
2. Feasibility Studies
Conducting detailed feasibility studies is critical. These studies assess the technical and economic viability of the project, taking into account aspects like energy yield estimates, grid connection possibilities, and financial forecasts.
3. Permitting Process
Germany has streamlined its permitting process to expedite renewable energy projects. Recent legal changes aim to shorten approval times and simplify procedures, including the introduction of a "deemed approval concept," where a permit is considered granted if authorities do not respond within a set period.
4. Contract Negotiation
Securing the right contracts is crucial. This includes agreements for land leases, grid connections, and Power Purchase Agreements (PPAs). Well-structured contracts provide clarity on terms, responsibilities, and financial arrangements, forming a solid foundation for project success.
5. Project Implementation
With all agreements in place, the project moves into the implementation phase, which includes procurement, construction, and commissioning of the renewable energy system.
6. Operation and Maintenance
After implementation, the focus shifts to the operation and maintenance of the facility to ensure optimal performance and longevity.