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Economic Development

Crown Estate increases Celtic Sea floating offshore wind farm capacity

The overall capacity for the floating offshore wind farm has been increased from 4GW to 4.5GW

The authority has refined its plans ahead of its upcoming offshore wind leasing round 5 for wind farms in the Celtic Sea(Image: PA)

The Crown Estate has increased the overall capacity of the planned floating offshore wind farms in the Celtic Sea. The authority has refined its plans ahead of its upcoming offshore wind leasing round 5 next year.

Following market feedback from developers, the Crown Estate will offer three project development areas (PDA) of equal size to bidders, rather than four project sizes of varying sizes off the Pembrokeshire coast and the south west of England. The three PDAs will each have the potential capacity of up to 1.5GW, increasing the overall capacity from 4GW to 4.5GW - enough to power over more than 4 million homes, said the Crown Estate.

It added that the updated locations will give developers greater flexibility by providing more space in each of the three areas. However, no bidder will be able to secure an agreement to lease more than one PDA.

Read more: Welsh Water wants to increase average bills by 26% to fund huge investment

The offshore wind leasing round 5 next year will be the first phase of development in the Celtic Sea. An Information Memorandum is expected to be published before the end of this year ahead of the formal start of the leasing round.

As well as supporting the º£½ÇÊÓÆµ’s transition away from fossil fuels, the Crown Estate said the leasing round will also be used to drive broader social and economic value. This includes requiring developers to set out specific commitments to ports, as well as establishing binding commitments on wider issues such as enhancing skills, addressing environmental impacts, and delivering community benefits as part of the leasing process.

Renewableº£½ÇÊÓÆµ Cymru director Jess Hooper said the industry understood some of the rationale behind the decision to roll back from four to three sites. “In pursuing a smaller number of projects there will be fewer buffers and greater flexibility on spacing, which will help get them through planning,” she said.

“Undoubtedly though, it will cause some frustration amongst developers that were anticipating they could bid and win two sites because they will have attributed certain economies of scale, increased opportunities for supply chain engagement and negotiations with the ports. That is no longer possible as The Crown Estate is committed to maintaining a minimum of three winners.