Can floating wind farm developments become cost competitive? Continued inflation and shortages in key components needed for manufacturing floating wind farms may be resolved as the cost for floating wind is predicted to fall nearer to fixed wind installations by 2035, Reuters reports. The average levelized cost of energy (LCOE) — which compares the lifetime cost of building and running a power plant to its lifetime output — for floating wind installations was about EUR 250 per MWh in 2020 against around EUR 50 per MWh for land wind turbines, according to the newswire reports, but the figure for floating wind is expected to fall to around EUR 60 MWh by 2035 as the technology industrializes and competes with land installations.

Major potential as countries compete for space: About 80% of the world’s offshore wind power potential lies in waters deeper than 60 meters, making floating turbines a necessity for countries with limited land space, the newswire reports, citing the Global Wind Energy Council. Some experts remain concerned that climate incentives in the US and increased demand in renewables may squeeze the bottlenecks for turbines and wind components further, while others see that there is enough time to find solutions to those problems given that most commercial-scale floating wind farms are only expected to become operational from 2030. Large offshore wind projects by Shell and Equinor were delayed or dropped last year due to the lack of availability of the needed components.

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-

  • Food waste in the US increased by 4.8% in 2021 compared to 2016 levels, generating 372 mn metric tons of CO2, equivalent to 6% of the US’ total emissions. (Bloomberg)
Tags: