Commenting on today’s announcement by Ørsted that it is putting its Hornsea 4 offshore wind farm project on hold, RenewableUK’s Deputy Chief Executive Jane Cooper said:
'Although it’s disappointing when a project is put on pause, the UK remains one of the best places in the world to build offshore wind farms, with a significant pipeline, clear ambitions for contracting large volumes through upcoming auctions and supply chain funding. The unique cost pressures faced by Hornsea 4 have led to a rethink on this particular project, and we need to do everything we can to keep a stable market for all other projects going forward.
'The UK is still a global leader in offshore wind with the second largest amount of operational capacity in the world and the second largest pipeline of future projects. It remains one of the most attractive destinations for private investment, thanks to a positive policy framework put in place by the Government to ensure that offshore wind is at the heart of our future energy system, including a clear target to reach clean power by 2030, backed up by new reforms to planning'.
'The fact that supply chain constraints have been cited as one of the reasons for this decision highlights the importance of investing to support the UK companies across the wind value chain as a central part of the UK’s industrial strategy. We urge the Government to remove uncertainty for investors in this year’s auction for new clean power projects by ensuring auction parameters reflect the cost increases we’re seeing in the supply chain and inflationary pressures. Additionally, Government should rule out the introduction of zonal pricing which would drive the cost of investment up even further'.
More information on by Ørsted’s announcement is available here.
Source: RenewableUK
