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WHAT'S TO
COME?
90% of the offshore wind market is in Europe today, but will this be the case in 2020?
In the coming years, the offshore wind industry could triple its capacity, from 8GW today to 23.5GW in 20204. This growth is expected mainly from the UK market and a faster deployment in France and the Netherlands. The development of the industry in the coming years is expected to create major growth opportunities for Europe, if long-term visibility and stable regulatory frameworks are in place. Considerable investment in research and development into turbines, supply chain optimization, transmission, operations and maintenance is likely to be needed to help achieve cost reduction targets. Offshore wind power is still very expensive under commonly used metrics.
If it is to remain a viable option in the longterm, its energy production costs must be reduced. Large-scale deployment will depend not only on how much it can reduce its costs, but also how fast. The reduction of the LCoE will only occur against a backdrop of continuous growth, with the market realizing its technological and supply chain goals, with the combined effects of learning, specialization, investment and scale.
Globally, it is projected that cumulated investments could reach €690b by 2040. This could present a huge market for European players that have chosen to invest in skills and innovation in 2015.
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