Swedish utility Vattenfall has won the Danish government's near-shore wind tender (DNS) for the development of two wind farms with a combined capacity of 350MW.

The selection comes as Vattenfall submitted lowest bid of DKK0.475 ($0.0716)/kWh for power generated from the two proposed wind farms, Vesterhav Nord and Vesterhav Syd, off the west coast of Denmark.

For the tender, the Swedish firm has competed with Wpd/Hofor and a consortium led by European Energy.

Subject to final approval from the Danish government, construction of the wind farms is scheduled to commence in 2019 while the production  is planned to start in 2020.

Vattenfall CEO Magnus Hall said: "This is a major step for our company in respect of our sustainability aspirations.

"Denmark is a core market for us. We have been involved in wind power in the Denmark for almost 20 years now and this is an important achievement for our portfolio, as it enables us to provide sustainable energy for 375,000 households.”

Vattenfall will now undertake final preparations for the development of wind projects including procurement of main components and services, optimization and final design.

Denmark country manager Ole Bigum Nielsen said: “We’re very much looking forward to DNS  providing another opportunity to spearhead Denmark’s leading position within offshore technology fulfilling the ambition to make the North Sea the Energy Valley of the world."

Vattenfall earlier announced its plans to invest €5bn in sustainable development to increase wind power production over the next five years.

Image: Vattenfall will construct two near shore wind farms in Denmark. Photo: courtesy of xedos4/FreeDigitalPhotos.net.