Report shows floating wind could be the UK’s industrial opportunity of the century

9 October 2024 - RenewableUK press release

A new report by the joint Government-industry Floating Offshore Wind Taskforce shows that floating wind could be this century’s biggest British industrial success story – if the right measures are put in place to enable more projects to go ahead faster.

“Floating Wind: Anchoring the next generation offshore” says the UK’s engineering prowess and exceptional wind resources give us a head-start in the international race to build up a £1 trillion global floating wind energy industry by 2050.

It states that the UK’s floating wind industry can employ 97,000 people by 2050, with many of the jobs based in Scottish and Welsh ports, contributing £47 billion to our economy by building and supplying projects here as well as exporting our cutting-edge technology worldwide.

The report finds that by 2050, floating turbines could provide a third of the UK’s offshore wind capacity with 40GW fully operational. This would be enough to power every home in the country, even allowing for the expected rise in demand due to the electrification of home heating and charging more electric vehicles.

It also shows that the cost of building floating projects could fall by 30% by 2030 to under £100 per megawatt hour. The UK already has two floating wind farms operating and the report emphasises the importance of getting more test and demonstration projects up and running as fast as possible, scaling up rapidly so that we can drive down costs through learning by experience, replicating the spectacular cost reduction of fixed offshore wind.

The UK already has one of the largest floating project pipelines in the world, and is at a more advanced stage of development than any other country, with the seabed already leased for up to 24GW of capacity.

However, the report warns that a lack of suitable ports to manufacture and assemble floating turbines, and strong competition from European suppliers, mean that unless we prioritise the development of our supply chain,  the UK risks missing out on the full economic potential of floating wind.

The report highlights the benefits of focussing on high-value parts of the floating wind supply chain, such as steel and concrete platforms, cables, moorings and anchors, in line with the Industrial Growth Plan for offshore wind.  Innovation can play a key role in cost reduction, for example by standardising the design of floating platforms and by using robotics such as drones to inspect projects.

The Co-Chair of the Floating Offshore Wind Taskforce, RenewableUK’s Chief Executive Dan McGrail said:

“As this report shows, floating wind is set to become one of the biggest global industries of the twenty-first century, and the UK now has an unprecedented opportunity to seize the lead by scaling up this innovative technology.

“But we have to act fast, with industry and Government working closely together to transform ports around the country into centres of excellence where we can manufacture high-value components for floating turbines, especially in areas like the north east of Scotland and south Wales which need new industrial opportunities as we transition from fossil fuels to clean power.

“This will enable us to generate vast amounts of cheap electricity further out to sea where wind speeds are even higher, ensuring that costs plummet while boosting Britain’s energy security”.

Energy Secretary Ed Miliband said:

“Floating offshore wind is at the heart of the government’s mission to make Britain a clean energy superpower.

“Great British Energy's newly launched partnership with The Crown Estate will help achieve this, allowing us to seize on our unique opportunity to win the global race for floating offshore wind – with this report showing how much government and industry can achieve by working together.

“By leading the world in this cutting-edge technology, we can speed up the transition to clean energy and secure good jobs and economic growth for our industrial heartlands – all while ensuring the expertise of our North Sea workforce are the people who power this clean future.”

First Minister of Scotland John Swinney said:

“Scotland is at the forefront of floating offshore wind development and deployment in the UK and the sector represents a significant economic opportunity for our country.

“That’s why we are investing up to £500 million over five years to anchor our offshore wind supply chain, helping to support market certainty whilst creating a highly competitive economy, providing thousands of new jobs and supporting our transition to net zero.

“I am pleased to see that this report recognises Scotland’s vast potential for renewable energy, and we will continue to work with industry partners to ensure Scotland continues to be a leading global location for floating offshore wind deployment and supply chain investment.”

The Welsh Government Cabinet Secretary for Economy, Energy and Planning, Rebecca Evans, said: 

“A critical component for a sustainable economy is having a reliable, affordable and clean source of energy. Floating offshore wind has a fundamental role in our energy future and in generating the green jobs and growth we need for a sustainable economy. Wales has an important role in making Britain a clean energy superpower and the Welsh Government is committed to supporting industry and our coastal communities to bring lasting economic benefits.”

The report “Floating Wind: Anchoring the next generation offshore”  is being published on the first day of RenewableUK’s Floating Offshore Wind 2024 conference and exhibition in Aberdeen.

The report was produced by the Floating Offshore Wind (FLOW) Taskforce, a joint Government-industry initiative working to support and accelerate the development of the UK floating wind sector. The work was funded by The Crown Estate, Crown Estate Scotland, Floating Offshore Wind Centre of Excellence, RenewableUK, Scottish Renewables, Highlands and Islands Enterprise, Scottish Enterprise, and the Offshore Wind Industry Council (OWIC).

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Notes

For further information, contact

Robert Norris, Head of Communications
07969 229 913 Robert.Norris@RenewableUK.com

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