A report published today shows that the UK can expand its offshore wind capacity to almost five times its current level by 2030, and that the country has the most economically attractive offshore wind resources in Europe. The study, Unleashing Europe’s Offshore Wind Potential, by BVG Associates, demonstrates that a total capacity of at least 25 gigawatts (GW) can be installed in UK waters by the end of the next decade – enough to power more than 20 million homes, which is 75 per cent of all households in the UK. This would retain the UK’s global lead in offshore wind, as the report states that Germany would remain in second place with 14GW by 2030. The report says this can be achieved using larger offshore wind turbines, each with a capacity of 13GW (the largest currently are 8GW). It also envisages an expansion in the market for floating offshore windfarms, in addition to projects with traditional foundations. The study shows that the UK has by far the most economically attractive offshore wind resources for development by 2030 anywhere in Europe; nearly three times better than Denmark which is in second place.
Offshore Wind Journal 6th June 2017 read more »
A new industry report shows that the UK can expand its world-beating offshore wind capacity to almost five times its current level by 2030, and that the nation has the most economically attractive offshore wind resources in Europe. The study by independent consultants BVG Associates demonstrates that a total capacity of at least 25 gigawatts (GW) can be installed in UK waters by the end of the next decade – enough to power more than 20 million homes, which is 75% of all households in the UK. This would retain the UK’s global lead in offshore wind, while Germany would remain in second place with 14GW by 2030.
Scottish Energy News 7th June 2017 read more »
The governments of leading offshore wind markets including Germany, Belgium and Denmark came together with industry leaders today to sign a joint statement to further the deployment of offshore wind energy in Europe. The signing ceremony took place at the opening of Offshore Wind Energy 2017, the industry event co-organised by WindEurope and RenewableUK in London. The signatory governments represented by Marie-Christine Marghem, minister of Energy, Environment and Sustainable Development, Belgium; Rainer Baake state secretary for Energy, Federal Ministry of Economy and Energy, Germany; and Kristoffer Böttzauw, deputy permanent secretary, ministry of Energy, Utilities and Climate, Denmark, reaffirmed their commitment of deploying a significant volume of offshore wind power in Europe between 2020 and 2030. Signatory governments welcomed the cost reductions in offshore wind achieved to date and the intention of the industry that offshore wind keeps reducing its costs so Europe remains the global leader in the sector. The industry has been on a steep cost reduction curve and has met its self-imposed target of €100/MWh by 2020 ahead of time. Winning bids of auctions in the Netherlands, Germany and Denmark delivered up to 48 per cent cost reduction compared to projects just two years ago. Delivering further cost reductions will require the deployment of significant volumes of new offshore wind. But most governments in Europe have still to define clear plans for how much new offshore they intend to deploy, notably beyond 2023. The industry therefore calls on European governments to collectively ensure there is 60 gigawatts (GW) or at least 4GW per year of new deployment in the decade after 2020. Going beyond 4GW per year would enable the industry to become fully competitive with new conventional generation ahead of 2030. Sixty gigawatts, which the industry intends to deploy between 2020 and 2030, represents only a fraction of the potential of offshore wind energy in Europe. According to a new resource assessment by BVG Associates, offshore wind could in theory generate between 2,600 TWh and 6,000 TWh per year at a competitive cost – €65/MWh or below, including grid connection and using the technologies that will have been developed by 2030. This economically attractive resource potential would represent between 80 per cent and 180 per cent of the EU’s total electricity demand.
Offshore Wind Journal 6th June 2017 read more »
The governments of Germany, Denmark and Belgium backed a pledge to install 60 gigawatts of new offshore wind power next decade, more than five times the world’s existing capacity. Energy ministers from the three countries joined chief executives from 25 companies including Dong Energy, the world’s biggest offshore wind developer, to issue a statement pledging to work together to increase investment and reduce costs. The statement, signed on Tuesday in London, builds on an agreement by 10 northern European countries last year to work together to cut the cost of installing wind turbines at sea.
Independent 6th June 2017 read more »
Dong Energy’s Burbo Bank Extension is the first project to be commissioned after winning support in the UK’s initial contracts for difference tender in 2014. David Milborrow looks at the balance sheet for this new round of offshore wind farms. After a period of some uncertainty, the offshore wind industry is now moving ahead. Officially inaugurated last month, Dong Energy’s Burbo Bank Extension wind farm is sited 7km off England’s north-west coast and comprises 32 Vestas V164 8MW turbines. The total rating of the project is quoted as 258MW, suggesting the turbines may be rated at a little over 8MW. The projected yield is around 920GWh a year. Wind turbines are the most costly component of an offshore wind farm, accounting for around 40% of the total capital cost (see chart). Foundations come next, accounting for a little over 20%, and installation costs come in at just under 20%. The precise amounts vary between projects. The figures shown in the chart below come from the Crown Estate’s “Offshore Wind Cost Reduction Pathways Study”. The total capital cost of one of their notional wind farms, with characteristics similar to Burbo Bank, was £2,575/kW (€3,064/kW). A combination of lower maintenance costs and lower costs of capital is leading to substantial reductions in the costs of energy, as the recent Dutch and Danish auction results illustrate. Increased confidence in the UK means that interest rates are coming down and it is expected that the 2020 cost-of-energy target of £100/MWh will be realised ahead of time.
Wind Power Monthly 5th June 2017 read more »