UK Urged To Increase Offshore Wind Capacity

Energy UK’s latest analysis has emphasised the critical need for a substantial rise in offshore wind capacity during the next two Contracts for Difference (CfD) auctions. Failure to secure additional projects could jeopardise the UK government’s aim of reaching a 50GW target by 2030, according to the report.

Absence Of Bids From New Offshore Wind Projects

The CfD scheme has been instrumental in the country’s expansion of clean energy, particularly in offshore wind, by lowering costs for consumers and providing investment certainty.

However, the absence of bids from new offshore wind projects in the last auction round has created a shortfall, necessitating approximately 20GW of new capacity across the next two rounds to meet the 2030 target.

Forthcoming Auctions

Energy UK’s analysis warns that if the forthcoming auctions fail to deliver at an accelerated pace, the UK could fall short by 7GW of its target, with significant implications for energy security and emissions reduction.

Energy UK’s Deputy Director, Adam Berman, said: “Offshore wind plays a vital role in the Government’s clean energy ambitions as a homegrown source of power that will bring down bills, lower emissions, and bolster our energy security.”

“Getting the auction parameters wrong yet again risks spurning these benefits as well as missing our own targets. As we saw last year with the failure to procure even a single offshore wind project, getting these wrong can result in an underpowered auction. This is the very definition of a false economy and has left us playing catch-up over the next two rounds.”

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