Building on the North Sea Wind Power Hub collaboration, Energynautics and EA Energy Analyses have completed a comprehensive study for transmission system operator TenneT, evaluating bidding zone designs for hybrid offshore wind farms in a fictive 2037 scenario. The final report, published on 16 February 2026, provides critical insights for the market integration of offshore hybrid projects.

Market Integration of Hybrid Interconnectors

Hybrid offshore wind represents a fundamental shift from traditional radial connections. These installations function simultaneously as connections for offshore generation and cross-border interconnectors, unlocking significant potential for enhanced European market integration while introducing substantial complexity into market design.

Advanced Modelling Approach

Focusing on a fictive 2037 scenario, Energynautics engineered a high-fidelity EU-wide grid topology with detailed representation of EU market trade. The study was conducted as a Flow-Based Market Coupling (FBMC) market model, incorporating n-1 secure grid constraints derived from the future grid topology to analyze Advanced Hybrid Coupling (AHC) effects. Subsequently, an n-1 optimal redispatch was necessary to assess the total system costs.

The methodology utilized an iterative loop between Balmorel for market optimization (EA Energy Analyses) and PyPSA for grid analysis, FBMC constraint engineering, and redispatch optimization (Energynautics), quantifying the “hidden” costs of grid congestion.

Comparing Market Setups

Two primary configurations were evaluated: Offshore Bidding Zones (OBZ), where offshore hubs operate as separate bidding zones, and Home Market (HM), where offshore hubs are allocated to existing onshore bidding zones.

Key Results

The study provides insights in the effects of market setup on both market revenues as well as total system costs. Moreover, the results support a better understanding of the effects of flow-based market coupling related to offshore bidding zones. Thus, the study contributes essential knowledge for future market integration of offshore hybrid projects.

• For detailed findings and methodology, please refer to the project reference on our website.