What happened? The German Federal Network Agency (Bundesnetzagentur, BNetzA) has announced the results of the last onshore wind auction (August) showing that demand momentum has even further accelerated compared to the already high volume in the auctions in February/May, suggesting that installation volumes will remain strong over the next 2-3 years. BNPP Exane View: How have auctions (supply) versus bids (demand) trended in August? The auction volume for this round was set at 3.4GW (November 2025 / February 2025 / May 2025: 4.1GW / 4.1GW / 3.4GW), i.e. the volume has been kept stable compared to the prior auction round. On an LTM basis or for the last four rounds through August, BNetzA has thus auctioned 15.1GW versus 12.1GW in 2024 (2023: 9.8GW). Once again, the volume of submitted bids - standing at 5.7GW in August 2025 (May 2025: 5.0GW / August 2024: 3.0GW) - has clearly exceeded the auctioned volume by 1.7x reaching the highest over-subscription over the last 5 years (2021/22/23/24: 0.9x / 0.7x / 0.7x / 1.1x). How does this compare to allocated volumes? Total allocations for the August auction reached 3.4GW (% auction volume: 100% | 2024: 91%), which is up 27% y/y and flat versus the May round, yet 16% below the all-time high allocations of 4.1GW each in the Nov. 2024 and February 2025 rounds; note that the four rounds in 2023 levelled off at 1.4-2.0GW vs. 1.8-4.1GW in 2024. What is the impact? The LTM allocation volume per May stands at 15.1GW (Nov. / Feb. / May: 11.0 / 13.3 / 14.4GW) vs. some 3.2GW / 6.4GW in 2022/23, thus underlining that momentum in the German onshore wind market continues to remain strong at an unprecedented level. As a reminder, gross installations reached 3.3GW in 2024, slightly down from the 3.6GW reported for 2023 that was, however, sizably up compared to 1.9GW / 2.4GW in 2021/22 (L10Y low: 1.1GW in 2019 | high: 5.3GW in 2017). In the wake of the material increase in allocated volumes since November 2023,...