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Marakallen Offshore Wind Farm

31 Jan 2017: Swedish Offshore Wind - National Strategy Update With no sector specific support, offshore wind projects in Sweden have marginal economics at best and must compete with other renewables in a green certificate mechanism. In August 2015 the Energy Agency, on behalf of the government, investigated what options were available for subsidising offshore wind should they decide to do so. A tender process similar to other European countries was proposed as being the most cost effective whilst also complying with EU State aid rules. Furthermore they suggested that, because of planning lead times, large scale projects under any such tender system would not see commissioning before 2024. The report advised that under such a scheme an expansion of offshore wind power of between 2250MW to 4500MW was credible by 2030. It was proposed that an earlier 'pilot tender' of 120MW could be operational by 2018. However, with ample sites onshore along the southern coast the justification for supporting offshore wind has been questioned by many industry participants. The TSO, Svenska Kraftnat, in its 2016-2025 network development plan envisages no growth in offshore wind over the period, citing the economic challenges, and choosing not to investigate the implications of offshore wind grid penetration further. There is some hope for advocates of offshore wind. In January 2016 the Energy Agency were once again charged with an investigative report, this time to analyse the potential for technology development and cost reduction of offshore wind over the next 15-25 years. The report, which will also address floating wind will consider the potential market size nationally and globally; an economic analysis ; energy and climate policy; innovation, business development, job creation, regional growth and export opportunities. The findings, published in 2017 concluded that sector-specific support for offshore wind in addition to the current certificate system is both uneconomical and unnecessary given available alternative renewable resources.
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