UK offshore wind investment to hit £15bn a year by 2030

A new report by Offshore Energies UK (OEUK) outlines significant opportunities and challenges for the expansion of offshore wind energy in the UK.

The Wind Insight report highlights the need for innovative approaches to address issues such as cost inflation and planning consent delays to attract investment and progress next-generation projects, including floating wind technology.

The report reveals that the UK currently has 15GW of installed offshore wind capacity, positioning it as the second largest market globally.

Offshore wind contributes approximately 30% of the UK’s electricity generation.

However, the report warns that the UK’s ambition to install 50GW of offshore wind capacity by 2030, including 5GW from floating offshore wind, is jeopardised by several obstacles.

One of the main findings is the projection that spending on offshore wind will increase significantly.

Current annual investment stands at £7.7 billion, but it is expected to rise to £15 billion per year by 2030 and potentially reach £29 billion per year by 2035.

Additionally, if conditions are favourable, the UK could invest an additional £132 billion by 2035 to install 65GW of offshore wind capacity.

If the UK achieves its growth plans, it will remain one of the leading offshore wind generators globally, second only to China, with 18% of the estimated 85GW of global offshore capacity by the end of 2024.

OEUK’s Wind and Renewables Manager, Thibaut Cheret said: “Floating offshore wind could be a game-changer for the UK. We must help our supply chain win investment and improve planning processes to bring these large-scale, capital-intensive projects to the UK.

“Our industry’s expertise in operating large deepwater projects and world-class subsea engineering means there’s excellent potential for securing a significant share of the new Floating Offshore Wind market.

“The UK can become a market leader in wind power generation and play a major part in delivering a homegrown energy transition.”