The Crown Estate has launched its fourth offshore wind leasing round – the first in more than a decade – which will allocate seabed rights to at least 7GW of new projects.
The tender process will commence in October and will run until autumn 2020. New leases could be awarded as early as 2021, allowing developers to get their projects up and running by the late 2020s.
Huub den Rooijen, director of energy, minerals and infrastructure at the Crown Estate, said: “The UK is home to the world’s largest offshore wind market, attracting global investment, meeting UK electricity needs, and playing a crucial role in the transition to a net-zero economy.
“Leasing round 4 is the next chapter in this remarkable transition, developed and refined through extensive engagement with the market and stakeholders, to deliver an attractive, fair, objective process, which helps to balance a range of interests in the marine environment.
“Round 4 projects will take the UK sector from strength to strength, delivering clean, affordable, home-grown electricity and joining a robust pipeline of projects in UK waters, which together will deliver a fourfold increase in operational offshore wind capacity by 2030”.
Developers will be able to apply for leases in four bidding areas – Dogger Bank, Eastern Regions, South East and Northern Wales and Irish Sea – covering sea depths of up 60 metres.
The Crown Estate will aim to allocate rights for at least 7GW of new capacity spread across at least three of the bidding areas. A maximum of 3.5GW will be assigned to any one area.
The leases will be extended from 50 years to 60 years – enough to cover full life cycles with the latest technology.
Applicants will be incentivised to deliver innovative projects, perhaps combining offshore wind with other generation technologies or interconnectors. Those that sign agreements will be required to collate and share project surveys and data and participate in benchmarking schemes.
RenewableUK chief executive Hugh McNeal said: “It’s great to see the UK stepping up its ambition with a new round of offshore wind development now underway.
“This will engender further momentum in our world-leading offshore wind sector, securing billions of pounds in investment in new infrastructure.”