Windpower Monthly’s Post

🌬️ The UK's annual offshore wind auction is on shaky ground, potentially marking a significant shift in Europe's leading wind market 🌬️ 📉 Rising material costs might deter developers from bidding in this year's UK annual renewable auction 📉 ⚡ Offshore wind, pivotal to the UK's net-zero targets, thrived with state financing from these annual auctions ⚡ 🇬🇧 Over the past decade, these auctions have poured funds into wind farms along the UK coast, bolstering offshore wind's growth 🇬🇧 💸 Competitive pressure pushed companies to lower their bids, making the current pricing challenging amidst climbing costs 💸 🚧 With material costs on the rise, this year's funding may not be sufficient to attract any bidders 🚧 #UK #OffshoreWind #AnnualAuction #NetZero #WindAuction #CostChallenges #EnergyCrisis #GreenStrategy #RenewableInvestment #InflationImpact

The increased strike price is not just a monetary figure; it's an investment in the future of renewable energy in the UK, promising to bolster the entire supply chain from innovative startups like Tugdock to larger industrial bases such as Associated British Ports Port Talbot. The policy ensures that the UK's offshore wind sector remains robust, competitive, and capable of meeting future energy demands while contributing to economic growth and the reduction of carbon emissions. Read the story here: https://lnkd.in/en8DHsgj #OffshoreWind  #Floatingwind  #Renewables (Image: DALL.E generated)

The capacity to generate renewable electricity grew 10% in the year to September due to increased deployment of wind and solar. Nearly £120 million in The Scottish Government 2024-25 #ScottishBudget will support the energy transition and offshore supply chain opportunities for a fair, growing & sustainable economy. Scotland’s offshore wind capabilities are anticipated to rapidly grow over the coming years, with #ScotWind – the world’s largest floating offshore leasing round – expected to deliver up to £25 billion of investment across Scotland’s supply chain.

Chief Executive Claire Mack responds to the UK Government's announcement that it has increased the maximum price for #offshorewind projects in its flagship #renewables scheme to further cement the UK as a world leader in clean energy: “Scottish Renewables has repeatedly warned of the cost pressures and increased challenges facing our industry so we’re pleased the UK Government has responded by delivering administrative strike prices which should go a long way to restoring investor confidence in the Contracts for Difference scheme as a viable route to market for offshore wind. “Today’s announcement is important because in addition to the social, environmental and economic benefits that renewable energy projects can offer, bringing forward more of these developments will not only deliver affordable electricity and savings to bill-payers but will improve energy security and reduce consumer exposure to high, volatile gas prices. “Make no mistake renewable energy is the cheapest way of generating electricity. A diverse technology mix will be crucial for meeting our net-zero targets so the increase in administrative strike prices for renewable energy technologies other than offshore wind is also welcome. “Following the disappointing result of Auction Round 5, Scottish Renewables urged the UK Government to provide offshore wind with a separate funding pot in Allocation Round 6 to reflect the high number of eligible projects, so we are pleased that Government has listened to our calls. This separate pot should be retained for future auction rounds to secure the delivery of the vast ScotWind pipeline. “However, whilst welcome, today’s announcement will not by itself ensure the success of this allocation round of the Contracts for Difference scheme. It is therefore essential that the UK Government provides a budget for Allocation Round 6 that aligns with Scotland’s renewable energy ambitions by maximising the number of projects successful in winning contracts to deliver clean power for consumers.” 🔗 https://bit.ly/3QGXtdB #AR6 #CfD

Why don’t we stick with the SPAR and rethink how we build and install it? Pick a technology, set supply chain up for success! SPARs are the most unconditionally stable platform there is when compared to semis and TLPs, let’s rethink the technology. Just because we have floating prototypes with a small Mw turbine does not mean from a risk profile, they are the best option for developers and the consumer, when looking to REALY drive industrialization at scale and go to 15 to 20 Mw with significant met ocean conditions. Don't think traditional SPAR execution and installation. I am working with a technology provider on his SPAR technology, he has been designing Semis, TLPs and SPARs for over 30 years for major clients, where his SPAR technology can support OSW water depths from 80m up to ultra deep water, in principle giving the developer a global solution for a design one build a thousand globally. When looking at tons/cost per Mw this technology means lower LCOE and is half the weight and price of a semi-submersible and or TLP, steel or hybrid (concrete) to take advantage of skill set to maximize local content. CfD AR5 was an eye opener. We need to rethink: - technology…. SPARs should be added back to the list and be a priority. I would love to show you this new next Gen SPAR technology, just reach out and am happy to do so. - what does not exist, and it is killing the industry is a common build strategy and standardized components. Standardization and automation is key to success, so “local supply chain”, is set up for success where skills training can be focused and controlled. Current supply chain cannot feasibly support 80 different designs of the same theme we all know this. Let’s pick the ones we can build safely with a common build strategy and component types to maximize local content. - let’s rethink and eliminate traditional execution methodologies like using diesel driven SPMTs, Cranes and semi-submersibles and tug assist for load out……there are other proven solutions out there that solve many of the FLOW issues that would make CfD AR6 more attractive, if we spend the time to embrace the change…..again please reach out to me and I can show you how this can be done. These proven solutions at the same time embrace the “none price factors for CfD award, (environmental considerations), associated with emissions and Co2 foot print per installed platform…..which is why we are doing this!! I strongly believe FLOW platforms can change the direction of renewable energy as we move to replace fossils as a FUEL source….. we must embrace change. CfD AR5 was a wakeup call but we can turn this around!!! With prices going through the roof there is existing technology out there to make the difference. But we must think differently! Am more than happy to review these solutions with you and they will set the bar for CfD, LCOE and environment success…..please reach out if you want to know more! Thoughts please!!!

~Renewable energy is needed to tackle #climate change and hopefully these revised terms for CfD support to the sector will help - and see comment from Claire Mack of Scottish Renewables       #offshorewind : £73/MWh (66% increase on AR5 ASP of £44/MWh) ·      #floatingoffshorewind : £176/MWh (52% increase on AR5 ASP of £116/MWh) ·      #onshorewind : £64/MWh (21% increase on AR5 ASP of £52.20/MWh) ·      #solar PV: £61/MWh (30% increase on AR5 ASP of £47/MWh) ·      #tidalenergy stream: £261/MWh (29% increase on AR5 ASP of £202/MWh) ·      #Geothermal: £157/MWh (32% increase on AR5 ASP of £119/MWh)

It’s been just one working day, and it's fantastic to see that Labour has already lifted the ban on onshore wind farms in England! 👏 🗞 For years, many of us have been frustrated by the government’s stance on onshore wind. The National Planning Policy Framework has made it nearly impossible for onshore wind to expand in England, stifling our best option for clean energy. Now that the ban has been lifted effective July 8th, the focus needs to be shifted back to fulfilling the UK’s long-term energy security strategy and safeguarding local interests. #renewables #sustainability #energysecurity #renewableenergy #energy #windenergy #Alternativeenergy

What is Great British Energy, and what impact will it have on renewable energy projects in the UK? It's early doors still for Labour's big flagship green policy, but here's a breakdown on what we know so far: ⬇️ ⚡ GB Energy will be a state-owned renewable energy company, and is central to Labour's commitment to completely decarbonise the UK grid by 2030. 🏗️ Unlike France's EDF, which builds, owns and operates its own energy projects, GB Energy will mainly invest in new technologies, like floating offshore wind, and partner on renewable energy projects with local authorities and the private sector. 👷 Some critics argue that focusing on emerging technologies is a distraction, when the government should be doubling down on scaling proven technologies. 🤝 Proponents say that having government support for projects like offshore wind farms will be vital to diversifying the UK's energy supply and bringing the UK's offshore wind sector into British public ownership. Currently, only 0.03% of UK offshore wind is owned by UK public entities. What are your thoughts on GB Energy? Do you think it'll be the lynchpin in Labour's clean energy plans, or is it an unhelpful distraction? 💭 #gbenergy #greatbritishenergy #ukgovernment #sustainability #renewables #renewableenergy #offshorewind #windenergy

https://lnkd.in/eTc9utdv Governments are generally terrible at predicting prices and failure to anticipate that offshore wind would 'no bid' in the latest CfD auction due to the UK Government's administratively set price cap is a major own goal. The global race to attract renewable energy investment is hotter than ever with the US Inflation Reduction Act and the EU's Green Deal Industrial Plan both seriously upping the ante and providing more agile and easily available support. The market is looking for clear investment signals and stable policy environments. The UK risks telling them to go elsewhere. #energytransition #netzero #offshorewind #akinenergy

Credit article to reNEWS - Renewable Energy News Cost inflation could add around $280bn in capital expenditure for the offshore wind sector, according to the latest EY Renewable Energy Country Attractiveness Index. Offshore wind is crucial to achieving net zero, but has experienced a difficult 12 months, challenged by a squeezed supply chain and escalating costs. Global project costs have risen by 39% since 2019 and the next decade could see cost inflation adding around $280bn in capital expenditure for the sector. Against this backdrop, around 80% of the 15 markets with offshore wind targets for 2030 are predicted to miss their stated goals. Not least, the UK has conceded its lead position as the most attractive country to host offshore wind projects, falling three places to seventh position on the index overall. In September 2023, the maximum strike price of £44 (US$54) per megawatt hour for offshore wind in the UK’s fifth allocation round (AR5) was not sufficient to entice developers to bid. #Americas #China #Europe #EV #Global OffshoreWind #USA #QEDGroup #QEDEnergy