Report: Innovations Can Shave 33 Percent Off LCOE by 2030

A report by KIC InnoEnergy and BVG Associates has identified fifty offshore wind innovations which have the potential to make a substantial reduction in the levelised cost of energy (LCOE) through changes to design, hardware, software or process.

The report, ‘Future renewable energy costs: offshore wind’, found that the technologies could reduce the LCOE by a third by 2030.

Two-thirds of the anticipated impact on the LCOE is shown to be achievable through nine areas of innovation, the largest of which is the increase in turbine size from 4MW to 10MW, according to the report. By having fewer turbines, significant savings can be achieved in the cost of foundations and construction, and in operational expenditure.

“We know that there is a tremendous potential across the value chain for offshore wind innovations to reduce the cost of energy in the future,” said Emilien Simonot, Renewables Technology Officer at KIC InnoEnergy.

“The findings of this report are extremely positive and we are looking forward to working with the offshore wind innovations of the future to drive them to commercial success and reduce the LCOE.”

The report made use of Delphos, KIC InnoEnergy’s offshore wind cost model.

“Innovation is thriving throughout the wind energy industry,” said Kate Freeman of BVG Associates.

“But it’s important when assessing LCOE to take a system wide view. The modelling work we completed with KIC InnoEnergy used our knowledge and experience to identify the areas of innovation that could have greatest impact on LCOE.”

KIC InnoEnergy and BVGA Associates launched the report at WindEnergy Hamburg this week. The report was presented in a session called ‘Optimising O&M to reduce LCOE’.