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Report states how to build a UK offshore wind powerhouse

29 June 2010

Report states how to build a UK offshore wind powerhouse

  • RenewableUK's 'Building an Industry' report released
  • Government must act now and commit to the ?60m offshore wind infrastructure competition to ensure key port infrastructure upgrades will go ahead as a key requirement to attracting manufacturing jobs
  • Government in conjunction with industry needs to agree a realistic target for delivery if sector is not to lose opportunity to create at least 45,000 jobs
  • Report identifies market stability is key to industrial development.

The Coalition Government needs to act quickly and decisively to reaffirm Britain's commitment to the development of offshore wind energy through confirming upgrades to port facilities, maintaining market stability and agreeing targets for energy production from wind. If this is done then an industry employing at least 45,000 people with a substantial manufacturing base can be created, according to a report published today by Douglas-Westwood commissioned by RenewableUK.

The report, UK Offshore wind: Building an Industry, outlines scenarios for UK offshore wind development from 2015 to 2030. The lead "Healthy industry scenario", would be capable of attracting a substantial and sustainable manufacturing base creating at least 45,000 UK-based jobs. Crucially, decisions on new factories will need to be made in the next 12-24 months if this is to be realized. In contrast, the "Low Added Value" scenario – which is in line with energy outputs from the Government's Renewable Energy Strategy – would only see limited UK manufacturing facilities, and while it would provide the UK with a significant green energy production, it would be a missed opportunity for the UK in terms of  jobs and industrialization.

In the first quarter of 2010 turbine manufacturers Siemens and GE committed to a UK manufacturing presence following the Government announcement to fund port facility upgrades with the offshore wind infrastructure competition. The current optimistic outlook for the industry is driven by a combination of the potential size of the domestic market as well as confidence to-date in UK Government policy towards the sector.

Commenting on the report, Maria McCaffery MBE, BWEA Chief Executive said:

"Offshore wind presents the UK with a major opportunity not only reconfigure its energy production towards clean and renewable sources, but a once-in-generation opportunity to build a home-grown manufacturing and R&D base for a new industry, and become the world leader in the field."

"Without firmer Government strategy we will get an offshore wind industry which produces clean energy for the UK, but one for the which the production facilities, and the manufacturing jobs are located elsewhere. If ambitious targets are agreed, and the Government acts now on a package of measures to drive forward the industry then wind can be the sector which drives forward the Coalition's pledge to rebalance the economy and create jobs."

-ENDS-

For further information, please contact RenewableUK's press office:

NOTES

  1. RenewableUK is the trade and professional body for the UK wind and marine renewables industries. Formed in 1978, and with 600 corporate members, RenewableUK is the leading renewable energy trade association in the UK. Our primary purpose is to promote the use of renewable power in and around the UK, both onshore and offshore. We act as a central point of information for our membership and as a lobbying group to promote renewable energy to government.
  2. The UK's offshore wind power potential has been developed through a series of competitive leasing rounds by The Crown Estate, landlord and steward of the UK's seabed. Rounds 1 and 2 provided a combined total of 8GW of potential capacity, whilst Round 3 awarded licences for up to 32GW of electricity in January 2010. According to data for 2008, contained in the Digest of UK's Energy Statistics (published by the Department of Energy and Climate Change), each 1GW of installed offshore wind turbine capacity is sufficient to satisfy the annual electricity consumption of 684,000 UK households.
  3. For details of RenewableUK Offshore Wind 2010 Conference and Exhibition please go to: http://www.renewable-uk.com/events/offshore-wind-conference
  4. Douglas-Westwood is an independent employee-owned company and the leading provider of business research & analysis, strategy and commercial due diligence on the global energy services sectors. To learn more about Douglas-Westwood's research, please visit http://www.dw-1.com or contact 01227 780 999.