A single bidder is not enough to launch the 700 Mw project in the Baltic, while Ignitis remains the only active player in the country’s offshore wind market
Vilnius – The second tender for the allocation of an offshore wind area in Lithuania has failed due to a lack of market interest. The government initially launched the tender in 2023 but suspended it for two years precisely because of low participation. Reactivated in June 2025, the procedure received only one bid, submitted by the national energy supplier Ignitis, and has officially ended without an award, as Lithuanian regulations require at least two valid bids to proceed with the concession.
The site in question was supposed to host the country’s second offshore wind farm, with a potential capacity of 700 Mw, located in the Baltic Sea. Lithuanian authorities have stated that the tender could be relaunched in the future, should market conditions allow it.
The first offshore tender, also for a 700 MW plant, was instead awarded to a joint venture between Ocean Winds and Ignitis. However, last week Ignitis announced the acquisition of Ocean Winds’ 49%, becoming the sole owner of the project, including the technical know-how and intellectual property. The company confirmed the goal of obtaining a construction permit by 2027 but specified that it intends to find a new partner before making a final investment decision and starting work. Currently, Ignitis is the only active operator in the Lithuanian offshore wind sector. The failure of the tender reflects a broader trend of slowing offshore wind in the West, which began with post-pandemic cost increases. Several companies have scaled back their ambitions in the sector: among them, the Danish leader Orsted recently announced the cutting of 2,000 jobs and a reduction of its presence in foreign markets.
For international investors, Lithuania currently presents unfavorable conditions, with limited incentives for offshore wind and a worsening geopolitical climate. The proximity to Russia, considered a hostile actor, and the risks related to the security of subsea infrastructure constitute additional risk factors.
