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Scottish Government Announces £2.2 Million to Cut Costs for Offshore Wind

21st July 2014

A project to cut the cost of offshore wind by at least 10% is being awarded £2.2 million by the Scottish Government, First Minister Alex Salmond has announced.

The Carbon Trust's Offshore Wind Accelerator (OWA) programme, a joint industry and government scheme, brings together nine offshore wind developers with over 72% (31GW) of the UK's licensed capacity.

The project aims to deliver the 10% reduction in time for offshore wind developments in Scottish waters with partners working together to identify technological challenges and prioritising those with the most significant savings potential, before developing innovative solutions.

The OWA will receive £200,000 in 2014/15 and £2,000,000 in 2015/16. The money will be used to:

encourage international collaboration between the world's leading offshore wind developers to address cost reduction challenges in Scottish waters
share knowledge on foundations and installations, operations and maintenance, the best wind farm layouts, electrical systems and cable installation
support the commercialisation of floating offshore wind turbines for Scottish waters
Following a meeting with representatives of the Carbon Trust and OWA programme in Aberdeen, the First Minister said:

"Scotland is admired around the world for our work in renewable energy and in 2013 we set a new record for renewables generation, emphasising our commitment. That progress has accelerated into 2014 with new record levels of renewables generation in the first months of this year - up 56% over the year to the first quarter of 2014.

“The Scottish Government's target is to generate the equivalent of 100% of Scotland's gross annual electricity consumption from renewable sources by 2020, as part of a wider, balanced, energy mix, and we are already nearly half way there.

“Renewable energy is extremely valuable to Scotland's economy, to reducing our carbon emissions and in providing low carbon energy supplies as well as jobs and long term investment. It also helps keep the lights on across these islands at a time when Ofgem is warning of a tightening gap between electricity supply and demand south of the border. Scotland is home to around a quarter of Europe's offshore wind resource and we are keen to support its development as part of our energy mix. Our support for the Offshore Wind Accelerator further highlights Scotland's position as a global leader in renewables development."

Tom Delay, Chief Executive of the Carbon Trust said:“We are delighted to be working with the Scottish Government to drive further cost reductions in the offshore wind industry. The sector has huge potential to generate low carbon power and create economic value. Key to that success will be driving costs down through innovation and doing this quickly. The OWA and this new injection of funding will be key to help meet this cost reduction challenge.”

The Carbon Trust is an independent company with a mission to accelerate the move to a sustainable, low carbon economy. It advises businesses, governments and the public sector on opportunities in a sustainable, low carbon world; measures and certifies the environmental footprint of organisations, products and services, and helps develop and deploy low carbon technologies and solutions, from energy efficiency to renewable power. www.carbontrust.com

The Offshore Wind Accelerator (OWA) is Carbon Trust's flagship collaborative RD&D programme. Set up in 2008, the OWA is a joint Government and industry project, funded by the Scottish Government, DECC and nine offshore wind developers with 72% (31GW) of the UK's licensed capacity. OWA aims to reduce the cost of offshore wind by 10% by 2015. Cost reduction is achieved through innovation.

The nine offshore wind developers are: DONG Energy, E.On, Mainstream Renewable Power, RWE Innogy, ScottishPower Renewables, SSE Renewables, Statkraft, Statoil and Vattenfall.