European wind energy chief warns UK renewable policies hitting offshore investment

Offshore wind general Govt picThe UK is being left behind by the rest of Europe as the industry waits for a sign from the government, which has yet to announce the next round of subsidies for future offshore wind farms.

Six months after the general election, the industry is still waiting for government policy and news on the next Contracts for Difference rounds, which had been scheduled for this autumn but was postponed after the election.

This delay could have a serious impact on the projected UK wind power market.  The major European wind turbine manufacturers – which are mostly based in Spain, Denmark and Germany – agree that the UK is the primary market with the greatest potential for offshore wind, but only if the price is right.

Giles Dickson, Chief Executive, European Wind Energy Association, commented: “It is crucial that the government as a matter of urgency clarifies what the arrangement will be for the second round of Contracts for Difference and beyond for offshore wind.”

“Investment in offshore wind in the UK has fallen this year. Germany has overtaken the UK in terms of new installations for offshore wind.

“Germany delivered a good degree of certainty in the form of its renewables law last summer. That set a clear framework for the period up to 2020 and investors have responded appropriately. That clarity does not exist in the UK.

“The key issue is investor certainty. Any government that is serious about attracting investment needs to make sure that it is not doing things that undermine certainty because these investors can and will go elsewhere.”

See also:

Britain drops out of World Top 10 investor-attractive renewable energy markets (16 Sept 2015)

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