Analysis of European Offshore Wind Power Equipment Construction Progress in the First Half of the Year

The European Wind Energy Association (EWEA) recently released data on the offshore wind power capacity connected in the first half of 2013. While Europe as a whole saw a doubling of grid capacity, Germany faced challenges due to delays in grid connections, which have hindered investment in the sector. On July 12, EWEA provided updated progress reports on offshore wind farm developments across Europe during the first half of 2013. According to their findings, 277 offshore wind turbines with a total capacity of 1,045 MW were installed—more than double the 522 MW recorded in the same period the previous year. Seven new offshore wind farms were also commissioned, including Thornton Bank (Belgium), Gunfleet Sands 3, Lincs, London Array, Teesside (UK), Anholt (Denmark), and BARD Offshore 1 (Germany). In terms of turbine count, 10 projects added up to 254 turbines, marking a 20% increase compared to the same time last year. As of June 30, 2013, a total of 1,939 offshore wind turbines with a combined capacity of 6,040 MW had been connected to the grid across 58 wind farms in Europe (including 9 EU countries and Norway). Additionally, 18 more projects with a total capacity of 5,111 MW were under construction. Fundraising for offshore wind projects was quite active at the end of 2012, but by the first half of 2013, most projects saw a slowdown, except for a few. Germany, in particular, experienced slow progress, raising concerns about whether it would meet its government-set targets. Compared to the UK and Denmark, where offshore wind has become a key component of renewable energy, Germany’s pace has lagged significantly. According to the EU publication *Europolitics*, the slowdown is partly due to higher construction and maintenance costs. This is largely because the UK and Denmark allow offshore wind farms to be built closer to shore, while Germany restricts them to deep-sea locations several tens of kilometers from the coast. Despite ambitious goals set in the mid-2000s, investment in Germany has stagnated in recent years. To stimulate growth, the German government introduced a feed-in tariff (FIT) with an attractive purchase price of 19 euro cents per kWh for offshore wind two years ago. However, the significant delay in grid connection has continued to deter investment. This issue isn’t unique to Germany; offshore wind projects across Europe are generally progressing slowly. To meet the EU’s target of increasing renewable energy use, it is essential to create a stable investment environment and implement effective policies that support long-term development in the offshore wind sector.

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