UK: Offshore Wind Sector Deal Imminent

The UK Energy and Clean Growth Minister Claire Perry has confirmed that the UK Government and the offshore wind industry are close to reaching a Sector Deal. 

Speaking at the Opening Reception of Offshore Wind Week in the House of Commons, Minister Perry announced a GBP 60 million budget for the Contracts for Difference auctions to be held in May 2019 and said she expected an Offshore Wind Sector Deal to be concluded by Christmas.

The Offshore Wind Industry Council (OWIC) welcomed the news, adding that organisation had been working closely with the UK Government on the Sector Deal, which aims to build on the UK’s global leadership in this clean technology.

The UK has installed more offshore wind capacity than any other country and can deliver at least 30GW by 2030, which will provide more than one-third of the country’s electricity.

The domestic and export market for offshore wind products and services provided by UK-based firms is expected to be worth GBP 4.9 billion a year by 2030, by which time 27,000 people will be working in the industry, according to OWIC.

With the global market expected to exceed GBP 30 billion by this time, the industry and Government are taking steps to ensure that the UK is ready to benefit from this global growth, OWIC stated.

The Co-Chair of the OWIC, Benj Sykes, who is also UK country manager for Ørsted’s offshore wind business, said: “We welcome the Minister’s announcement that a transformative Sector Deal is imminent. Offshore wind is becoming an industrial powerhouse. As the Minister has made clear, it’s a key technology in our country’s transition to affordable clean power, and the backbone of a low-cost energy system in the years ahead.”

“With the right deal in place, we can continue to attract billions of pounds of investment in new infrastructure, secure our power supplies, and create thousands of skilled jobs, including our supply chain which already extends to every part of the country,” Sykes said.