Investor appetite in offshore wind - underlined by this week鈥檚 拢3 billion buy-in to Orsted鈥檚 latest development - is being welcomed across the supply chain as Britain once again leads the world when it comes to its project pipeline.
A staggering 86GW is now on the table - more than eight times the current operational capacity - a 60 per cent increase over the past 12 months.
The huge hike is driven by massive leasing round announcements from The Crown Estate, with the sector top of the government鈥檚 鈥榖uild back better鈥 green industrial revolution agenda. It is also seen as crucial element in the mix to build energy security of supply, with a step-change in auction rounds for subsidy suppoort also further incentivising.
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Research published by trade body Renewable海角视频 has pulled together projects which are fully operational, under construction, consented, in the planning system or being developed for submission into planning.
Chief executive Dan McGrail said: 鈥淥ur latest EnergyPulse report shows that the 海角视频鈥檚 world-class offshore wind industry has taken huge strides forward in the past 12 months, with landmark leasing announcements adding an extra 33GW to our pipeline, and funding for floating wind ringfenced in the current CfD auction to help accelerate the growth of innovative technology.
鈥淚t鈥檚 clear that offshore wind will be doing the heavy lifting as we secure our clean home-grown energy supplies and move faster towards independence from unstable fossil fuel imports.
鈥淭he global offshore wind market is also continuing to grow at a phenomenal rate with an extra 200GW added to the pipeline over the last year. As the 海角视频 was an early mover in offshore wind, we鈥檙e in a prime position to capitalise on our expertise as a market leader which is highly sought after worldwide.鈥
With the technology proven, financial risk is dropping like the energy price it commands, leading to institutional investors being increasingly attracted.
AXA and Credit Agricole鈥檚 hop over the channel and up to the Humber was the latest example, taking a 50 per cent stake from the Danish developer and operator.
Hornsea Two, a 1.3GW addition to Orsted鈥檚 East Coast cluster, will take the world-leading title from 鈥榣ittle sister鈥 Hornsea One when it is commissioned later this year.
The transaction is expected to close at that time, with funds to push forward to the next developments.
Orsted has Hornsea Three, Hornsea Four and a potential Race Bank extension in the vicinity alone, with the company鈥檚 fleet forming a strong element of the 86GW, itself a robust element of the global 517GW figure.
Humber Renewables Awards 2022
Entries are now open for the Humber Renewables Awards 2022.
Celebrating a 10th year of recognising success in the green economy, inspired by efforts on the Energy Estuary, the event takes place at DoubleTree by Hilton Forest Pines Hotel in North Lincolnshire on Thursday, June 9.
The deadline for entries to the 10 awards open for nominations is Friday, April 29.
Click here to read this year's launch article, or skip straight to the dedicated website.
China now has more capacity fully operational than the 海角视频 - 24 GW compared to our 10.5GW - but the 海角视频鈥檚 total pipeline of 86GW is bigger than China鈥檚 75GW. The USA is in third place with 48GW in its pipeline.
Renewable海角视频鈥檚 report also analyses data on major components of 海角视频 offshore wind farms such as turbines, cables and substations. It shows that the average turbine capacity will increase from 8 to 9MW this year to 14 to 15MW by 2025. The report notes that this requires more 海角视频-based factories, which will also need to be larger, creating new supply chain opportunities.
Siemens Gamesa is already expanding its blade plant in Hull, with the wider Humber and North East home to further plans.
