Instability in the political approach to the offshore wind power development, especially the one in the UK, is shaking the European intention to make this renewable source the largest part of its planned climate change goals.
The economic crisis has made an impact on political views about the viability of investing in offshore wind development, knowing that its price is higher than the one for onshore wind as well as for gas plants. This issue is eagerly discussed in the UK.
Ben Stansfield, a Clifford Chance’s senior associate specialized in energy legislation , is cited by Reuters as saying: “It’s just yet another example of mixed messages and uncertainty, all of which give industry a reason to say ‘you know what, it’s too hard, I’m gonna head to a different jurisdiction where my investments are welcome’.”
Other European countries have different issues when it comes to offshore wind. Germany, for example, suffers from huge connection delays. However, funding is also uncertain because of the failure of the EU’s Emissions Trading Scheme (ETS), which was set up to discourage investment in polluting energy sources.
Newly elected French President, Francois Hollande, has committed to support offshore wind development in his country.But this is an emerging sector in France, so its progress remains to be seen.
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Offshore WIND staff, October 12, 2012; Image: RWE