Record-breaking offshore wind construction in 2016

Offshore windfarms accounted for 21 per cent of all UK infrastrucuture contracts last year

Offshore windfarm construction hit a record level last year, according to new figures.

The total construction value of offshore wind projects in 2016 was £4.1bn, up from £2.45bn in the previous year, the latest data Barbour ABI shows.

The construction industry analysts’ statistics reveal that offshore windfarms alone accounted for 42 per cent of the value of UK construction contracts in the utilities and power sector and 21 per cent of all infrastructure.

Three projects, the Beatrice, Galloper and East Anglia one offshore windfarms, accounted for a combined £3bn pounds of value and up to 1,600 MW of energy per hour.

Barbour reported that there are a further £23.2bn worth of offshore wind farm projects in the development pipeline.

Michael Dall, lead economist at Barbour, said that the health of the windfarm development pipeline suggested that the sector will see continued growth.

“With reports showing that the cost of producing electricity in this way have fallen significantly, the increase in construction value makes sense,” he observed.

RenewableUK’s executive director Emma Pinchbeck said: “By winning nearly half of the construction contracts in the energy sector, offshore wind is showing that renewables aren't just about clean energy generation - they're about substantial modern infrastructure investment.”

She added that the pipeline of UK offshore wind projects, along with associated contracts for UK companies make it “clear” that offshore wind offers “massive” value to the UK economy.

Pinchbeck concluded: “Offshore wind is transforming places like Hull, Grimsby, Great Yarmouth and the Isle of Wight – and there are a host of supply chain companies benefitting across the country, in West Lothian, Cheshire, Leicestershire, Bedfordshire and Hampshire.”

Author: David Blackman, policy correspondent, Utility Week,
Channel: Operations & Assets , Finance & investment

comments powered by Disqus

© Faversham House Ltd 2017. Articles may be copied or forwarded for individual use only. No other reproduction or distribution is permitted without prior written consent or the relevant licence from the Copyright Licensing Agency

Cookie & Privacy Policy            Editorial complaints