HOW THE UK CAN MAXIMISE ITS WORLD-CLASS OFFSHORE WIND RESOURCES TO BUILD A NET ZERO FUTURE
The UK’s track record of building offshore wind farms is world class. By the end of 2022, it had installed almost 14 gigawatts (GW) of operational wind power in coastal waters – enough to power more than 10 million homes.1
WHAT'S POSSIBLE BY 2030?
Key to this achievement has been the UK’s success in securing investment in the sector. In 2022, Scotland alone attracted foreign direct investment pledges worth $54.8bn for wind power projects, which was more than any other sub-national state or region in the world.2
But new market dynamics have emerged that put the UK's target of 50GW of offshore wind by 2030 at risk.
We have reached a pivotal moment in the development of the UK’s offshore wind industry. What can the UK do to ensure it isn’t blown off course?
We have explored this in our latest research, where we surveyed 200 senior leaders in the offshore wind industry.
of senior leaders in offshore wind believe that the UK can achieve 30GW
But only
expect the UK to reach its national target of 50GW
WHAT HAS TO HAPPEN FOR THE UK TO ACHIEVE 30GW BY 2030?
71% of senior leaders in offshore wind say their business is worried about remaining financially competitive when investing in the UK offshore wind sector or related supply chains.
We explore the obstacles that have to be overcome to deliver the next 15GW.
WHAT HAS TO HAPPEN FOR THE UK TO ACHIEVE 30GW BY 2030?
71% of senior leaders in offshore wind say their business is worried about remaining financially competitive when investing in the UK offshore wind sector or related supply chains.
We explore the obstacles that have to be overcome to deliver the next 15GW.
What has to happen next to keep up the momentum?
I think it [AR5] is one round in a series of annual auctions, and presents an opportunity for a reset and some lessons to be learned by all stakeholders. We still have the second-largest deployment globally, with a very robust pipeline of shovel-ready projects going into allocation round six.”
Tim Pick
UK Offshore Wind Champion
What has to happen next to keep up the momentum?
I think it [AR5] is one round in a series of annual auctions, and presents an opportunity for a reset and some lessons to be learned by all stakeholders. We still have the second-largest deployment globally, with a very robust pipeline of shovel-ready projects going into allocation round six.”
Tim Pick
UK Offshore Wind Champion
CLOSING THE REMAINING GAP TO 50GW
The government set its 50GW target as a vital part of the UK’s plan for achieving net-zero carbon emissions and creating a new energy economy.
What will it take for this target to be achieved? We believe it can be done – especially with the support of the oil and gas sector.
But there are two important questions to answer:
What’s the best way to make UK offshore wind attractive to investors and developers again?
How can the market provide the right signals to the supply chain?
CLOSING THE REMAINING GAP TO 50GW
The government set its 50GW target as a vital part of the UK’s plan for achieving net-zero carbon emissions and creating a new energy economy.
What will it take for this target to be achieved? We believe it can be done – especially with the support of the oil and gas sector.
But there are two important questions to answer:
What’s the best way to make UK offshore wind attractive to investors and developers again?
How can the market provide the right signals to the supply chain?
To move to the next step, we need players to come in with new finance and new expertise to work deeper offshore, in addition to the deployment of new innovation to reduce costs and risk.”
Stephen Burgin
Senior Advisor and Director, Renewable Energy sector
To move to the next step, we need players to come in with new finance and new expertise to work deeper offshore, in addition to the deployment of new innovation to reduce costs and risk.”
Stephen Burgin
Senior Advisor and Director, Renewable Energy sector
This latest research tells a mixed story. How does the UK re-energise its offshore wind industry and get back to installing more capacity?
The next 15GW is the critical factor in giving the ecosystem of developers, suppliers, policymakers and investors the confidence to continue to push and innovate beyond that to 50GW.
This latest research tells a mixed story. How does the UK re-energise its offshore wind industry and get back to installing more capacity?
The next 15GW is the critical factor in giving the ecosystem of developers, suppliers, policymakers and investors the confidence to continue to push and innovate beyond that to 50GW.
CONTACT THE TEAM
Speak to our team of consultants about offshore wind
This content was produced by
This research report was produced by FT Longitude, the specialist research and content marketing division of the Financial Times Group.
This content was produced by
This research report was produced by FT Longitude, the specialist research and content marketing division of the Financial Times Group.