As Predicted, UK Offshore Wind Is Dead In The Water
WRITTEN BY DR. BENNY PIESER, GUEST POST ON JUL 20, 2023. POSTED IN LATEST NEWS
WRITTEN BY DR. BENNY PIESER, GUEST POST ON JUL 20, 2023. POSTED IN LATEST NEWS
As Predicted, UK Offshore Wind Is Dead In The Water
As one of the world’s biggest wind power developers halts its top UK wind project and warns about further cancellations, Net Zero Watch reminds ministers that they have been warned for years about this inevitable fiasco.
Vattenfall, an international mega-developer of wind power, has put the UK’s giant 1.4 GW offshore wind project Boreas on ice, claiming that rising costs have made the Contracts for Difference, awarded last year for £45/MWh (2023 prices), uneconomic. [emphasis, links added]
Net Zero Watch, amongst others (see publications listed below), has long warned that the low CfD bids made in the UK had no basis in economic reality.
The capital and operating costs of wind power, particularly offshore are still very high.
This technology is unattractive and imposes very high system costs when compared to gas generation even at today’s elevated prices.
It is completely uneconomic if the gas prices continue to revert to their historic levels.
Net Zero Watch notes that Vattenfall has said it will be considering the future of all its wind projects in the Norfolk zone, with a total of 4.2 GW, placing pressure on the UK government to make extra support available to ensure construction and meet the targets for offshore wind.
Professor Gordon Hughes (University of Edinburgh), the author of many of the studies exposing the reality of wind power costs, said:
“It is obvious and now increasingly widely recognized that wind industry claims about costs and performance should not be taken seriously. Very high costs have been clear in the financial data for a long time, and are not the result of recent inflation and supply chain difficulties, though these may be making a bad situation still worse.”
Dr. John Constable, NZW’s Energy Director, added:
“It is critically important that the UK government does not succumb to the tacit blackmail of Vattenfall’s announcement. The wind experiment has failed. The consumer cannot be expected to continue propping up this unfolding disaster.“
Articles and studies on unrealistic offshore wind bids for Contracts for Difference:
2. Gordon Hughes, Who’s the Patsy? Offshore wind’s high-stakes poker game (GWPF: London, 2019)
6. Andrew Montford, Offshore wind: Cost predictions and cost outcomes (GWPF: London, 2021)
7. Kathryn Porter: Addressing the high real cost of renewable generation (Watt Logic 2022)