The biggest barrier to the global development of offshore wind is the amount of risk that still prevails in the industry. According to Philippe Lorec from the Ministry of Ecology, Energy & Sustainable Development in France, once risk falls significantly costs will fall and lenders will be more willing.
This risk can be reduced by proving the technology on a global scale to find the confidence to plug the financial gap currently standing in the way of mass-industrialisation.
Mr Lorec, speaking at the Offshore Wind Energy Conference in London said: “The technology must have a 100% guarantee before people can be expected to invest.”
Introducing different approaches to increase the dynamism of developing renewable projects can contribute to this reduction. France has developed a relationship with Morocco under French regulation, which offers an import and export trade relationship of solar and wind energy.
Mr Lorec said it is measures like these trading mechanisms and balancing tariffs that have the capacity to reduce costs.