The World's #1 Renewable Energy Network for News, Information, and Companies.

Britain Pledges $100 Million for Offshore Wind to Spur Economy

Britain Pledges $100 Million for Offshore Wind to Spur Economy

The U.K., the world’s largest offshore-wind market, pledged funds to increase jobs in the industry sevenfold in a bid to spur economic recovery.

The government will commit 66 million pounds ($100 million) to expand the offshore-wind supply chain and finance research to curb costs, according to a strategy by Deputy Prime Minister Nick Clegg and Energy Secretary Ed Davey. The expected industry growth may add 7 billion pounds a year to the economy by 2020.

Britain has more offshore wind-power capacity than the rest of the world put together and is trying to ease reliance on equipment imports by expanding its domestic supply chain. The industry could employ 30,000 people in 2020, up from 4,000, the Department for Business said in an e-mailed statement.

“If we make the most of offshore wind’s potential in the U.K., it can provide a big proportion of the energy that lights our homes and powers our economy,” Clegg said. “This strategy will help keep Britain as the world leader in one of the most important industries of the 21st century.”

Clegg and Davey announced the strategy today as they opened the 270-megawatt Lincs wind farm off eastern England. The project is led by Centrica Plc along with Denmark’s Dong Energy A/S and a unit of Germany’s Siemens AG.

As part of the strategy, ministers will set up an Offshore Wind Investment Organization to attract investment. They’ll require developers of offshore wind farms above a certain size to submit a supply-chain plan before applying for guaranteed electricity payments under contracts set up by the government.

Jobs Blueprint

“This document is a blueprint for green-collar job creation,” Maria McCaffery, chief executive officer of the RenewableUK lobby group, said in a statement.

The U.K. had almost 3,000 megawatts of wind turbines installed at sea at the end of 2012, compared with a global total of 5,410 megawatts, according to the Global Wind Energy Council. The European Wind Energy Association said in July that project financing had slowed because of regulatory uncertainty.

While the U.K. has no factories for offshore wind turbines, manufacturers including Siemens, which has the most turbines at sea, Gamesa Corp. Tecnologica SA and Samsung Heavy Industries Co. plan to build plants in Britain.

South Korea’s Doosan Power Systems Ltd. last year canceled a 170 million-pound plan to build offshore turbines in Scotland, while Vestas Wind Systems A/S shelved a proposed offshore turbine factory in southeast England, citing a lack of clarity in the government’s subsidy plans.

Copyright 2013 Bloomberg

Read more wind energy news here.

Lead image: Offshore wind farm via Shutterstock

RELATED ARTICLES

Thumbs up

Even Solar Haters Are Loving SunEdison's Power Plant Strategy

Christopher Martin, Bloomberg

SunEdison Inc.’s focus on developing renewable energy plants worldwide, rather than the panels that make them work, has won over one of the industry’s top critics.

Scissors British Pounds

UK Plans to End Onshore Wind Subsidy Program a Year Early

Alex Morales, Bloomberg The U.K. proposed to cut subsidies to new onshore wind projects a year early, raising doubts that the new government is committed to cutting carbon emissions at the lowest cost.
Clock sky

German Utility's Race for Renewables Seen as Too Little, Too Late

Tino Andresen, Bloomberg

RWE AG, the German utility whose coal-fired plants make it Europe’s largest carbon emitter, officially started the company’s largest renewables project on Thursday: a wind farm in Liverpool Bay off Britain’s coast.

money pile

Deeper Capital Markets for Renewable Energy

Tomas Gardfors and Ann Vesely, Norton Rose Fulbright Following the global financial crisis, a more diversified funding market is developing in Europe. Institutional investors are helping to fill the funding gap left by the contraction in bank lending in the wake of the crisi...

CURRENT MAGAZINE ISSUE

Volume 18, Issue 3
1505REW_C11

STAY CONNECTED

To register for our free
e-Newsletters, subscribe today:

FEATURED PARTNERS



EVENTS

Doing Business in South Africa – in partnership with GWEC, the Glob...

Wind Energy in South Africa has been expanding dramatically, growing fro...

SAP for Utilities

The SAP for Utilities conference is the most comprehensive SAP for Utili...

Bankability and Support Mechanisms for Renewable Energy Projects

Setting appropriate legal and regulatory frameworks is essential for the...

COMPANY BLOGS

The Almost There Markets: Just Give ‘Em Some Time

Earlier this year, we reported on recent legalization of third party fin...

Meteorological Technology International Magazine - SENSORS AND SENS...

Over the past 10 years, these sensing technologies have spread tre...

SunEdison Expands Residential Market Offerings with New PPA, Sales ...

SunEdison has largely focussed on the commercial and utility-scale solar...

SOCIAL ACTIVITY

Tweet the Editors! @megcichon @jennrunyon

NEWSLETTERS

Renewable Energy: Subscribe Now

Solar Energy: Subscribe Now

Wind Energy: Subscribe Now

Geothermal Energy: Subscribe Now

Bioenergy: Subscribe Now  

 

FEATURED PARTNERS