RenewableUK, the Offshore Wind Industry Council, The Crown Estate and Crown Estate Scotland have published a detailed Industrial Growth Plan (IGP).
The plan is part of a wider effort to boost investment in the UK in the context of increasing global competition for clean energy technology.
It sets out a way to triple offshore wind manufacturing capacity over the next ten years, establishing the UK as a leader in the global market. The UK offshore wind industry currently employs 32,000 people and each large offshore wind farm adds £2-3 billion to the economy.
Dan McGrail, RenewableUK’s chief executive, called the IGP the “deepest dive ever into the offshore wind supply chain.”
He said: “The plan charts a clear course for us to ensure that we seize that massive economic opportunity and maximise our opportunities to manufacture those towers here, along with more blades, cables, foundations and a whole range of other products.”
RenewableUK expects employment to rise to over 100,000 by 2030, and that investment in new offshore wind projects will create an economic opportunity worth up to £92 billion for the UK by 2040.
An economic and jobs transition
RenewableUK said that the UK has “the second largest global pipeline of offshore wind projects at all stages of development at nearly 100GW,” more than six times its current capacity.
Gus Jaspert, managing director of marine at the Crown Estate, said: “To truly make the most of the shift to renewable energy, we must also view the UK’s energy transition as an economic and jobs transition. Our offshore wind industry is already world-leading, but as demand for wind technology increases further, both nationally and on a global level, the UK must be on the front foot.”
If offshore wind deployment accelerates in line with net zero targets to 5-6GW a year, measures set out in the IGP would support an additional 10,000 jobs a year and boost the UK’s economy by a further £25 billion between now and 2035.
Protecting against supply chain risks
According to the growth plan’s analysis, supply chain constraints in many of the key components needed in offshore wind farms are affecting the global market. The IGP identifies new factories and manufacturing capabilities that the UK should build up to protect against supply chain risks and boost economic growth.
Five key technology areas that are most important for the UK to invest in are identified in the plan. These include designing and manufacturing offshore wind blades and turbine towers, foundations, cables and other key components and services for domestic and foreign projects.
The IGP also draws attention to the potential impact of incorporating automation and AI technologies in new projects: driving technology innovation, accelerating deployment and further cutting environmental impacts.
As part of a focus on research and development at a potential new Advanced Technology Institute and a new National Innovation Hub, working in harmony with the UK’s Catapult network, the IGP sets out plans to expand testing facilities for emerging technologies like new materials for blades and designs for floating offshore wind platforms.
IGP: a shared vision for funders
The plan aims to provide a shared vision to enable industry, UK governments and other funders to better align their investments to boost green jobs and manufacturing in the UK. It envisages mobilising nearly £3 billion of funding nationwide, private finance being heavily involved in this.
Energy security secretary Claire Coutinho said: “The plans set out by industry today will work with our £1 billion Green Industries Growth Accelerator (GIGA) to make sure the UK can build out the supply chain – including the turbine blades and high-voltage cables that we will need to produce cheaper, cleaner, more secure energy.”
Proposals will be taken forward to set up an IGP Delivery Body – that should be established by the end of the year – which will set out the details for how to govern and deliver the IGP in a way that ensures the best use is made of funding provided by the industry, the government’s GIGA fund, The Crown Estate’s Supply Chain Accelerator, Scottish government funding and other sources.
Many of the UK’s competitors have introduced new incentives to attract investment in offshore wind projects and domestic manufacturing, hoping to replicate Britain’s success; the IGP sets a targeted approach that builds on our existing national capabilities.
