Following the announcement by Vattenfall that it is stopping the current development of its Norfolk Boreas offshore wind farm project, and that it is reviewing its Norfolk Zone projects, RenewableUK’s Chief Executive Dan McGrail said:
“Whilst it’s very disappointing when any renewable energy project is put on hold, Britain’s offshore wind industry still has a strong track record of building vital new energy infrastructure as fast as economic and political conditions allow. We have the second largest pipeline of offshore wind projects in the world, and we are taking every step we can to create jobs and build up new supply chains around the UK.
“As Vattenfall has pointed out, costs have been increasing significantly in the offshore wind supply chain, as they have for all major infrastructure projects and in the wider economy. Going forward, Ministers are going to have to take account of these global inflationary pressures, which have significantly changed the economic landscape.
“We need a stronger industrial strategy for the sector, which the Chancellor should support with new measures in the Autumn Statement as a matter of urgency. Growing the UK’s supply chain won’t only bring new jobs to Britain – it will also help to ensure we can get on with the job of building new projects to provide cheap power for consumers, strengthening our energy security and tackling climate change.
Even with these cost increases, offshore wind still remains the lowest cost way of generating new electricity. That’s why international competition for skills and supply chain is continuing to intensify, with the US and EU setting attractive incentives to try to lure renewable energy companies away from the UK and lead the global market. The Government needs to step up with a robust response to enable industrial growth throughout Britain” .