The planned Swansea Bay Tidal Lagoon could add an extra £154 million to the Welsh economy over its three-year build, according to a new report by Welsh academics.
If the project goes ahead it will be the world’s first purpose built tidal energy lagoon (artist’s impression, pictured), providing a steady stream of renewable electricity to more than 120,000 homes for upwards of 120 years.
The estimated price tag of the 240MW project is roughly £750 million. A report by the Welsh Economy Research Unit at Cardiff Business School predicted close to £300 million of that would end up being spent in Wales.
The economists said in total the project would add £454 million to the Welsh economy as the money flowed through the supply chain – £154 million over and above the actual spend.
Professor Calvin Jones said: “This means for every £1m spent in the region, an estimated further £0.52m of economic activity is supported. Around half of this, almost £223m, is in the construction sector, with manufacturing and production the next largest portion at £170m.”
Once completed the project could also create 65-90 full time jobs in tourism, found the study, with visitors adding £1.5-£2.1 million to the local economy each year.