The independent review lead by Former energy minister Charles Hendry has concluded that tidal lagoons could be a “very competitive” and “cost-effective” addition to the UK energy mix.
Following the report, Hendry suggested that the technology will be useful in “delivering decarbonisation commitments” and creating “substantial opportunities” within the UK supply chain.
Voices from across the industry are welcoming the government findings, with many suggesting there is a “strong case” to increase support for the pioneering ‘Swansea Bay’ tidal lagoon project.
The addition of a new affordable clean energy solution has the potential to “create local jobs for decades to come” and has been called “a rare piece of positive news for the UK’s renewables sector.” – industry voices have claimed.
However, some have voiced concerns around the cost of the energy, both for government and customers. The technology has been compared cheaper renewable options such as wind and solar.
Here’s how industry reacted to the tidal lagoon power feasibility report:
Business and energy secretary Greg Clark
“I am grateful to Charles and his team for the hard work that has gone into the Review. The issues are particularly complex as they relate to untried technology in the marine environment.
“The government’s energy planning is focused on ensuring affordable, secure, low-carbon energy. We will now consider recommendations and determine what decision is in the best interests of the UK energy in the long term.”
Tidal Lagoon Power chief executive Mark Shorrock
“This is an exemplar of a well-managed, timely and thorough independent review. We thank Charles and his team for their positive and professional endeavour throughout the process. With the publication of the Hendry Review we’ve hit ‘peak consensus.’”
Renewable UK chief executive Hugh McNeal
“It’s great to have this ringing endorsement of innovative technology and modern industry. The world’s first tidal lagoon in Swansea Bay can provide power for our national energy needs and create local jobs for decades to come. Government should finalise negotiations so that work can start on this important infrastructure project as soon as possible.
“This is a new growth sector with huge potential to bring industrial-scale economic opportunities to the UK. Each new tidal lagoon will drive down costs due to economies of scale, benefitting consumers, as well as strengthening the security of our energy supply.”
Good Energy founder and chief executive Juliet Davenport
“By kicking off a British tidal lagoon industry we are presenting the world with another awesome low carbon option, and its British know-how that will be called upon should other countries look to take up that option. Tidal lagoons are a brilliant way for Britain to diversify its energy mix and keep the lights on. They will also create a whole new industry and thousands of jobs as well.”
Aurora chief executive and co-founder John Feddersen
“There is a strong case to use Swansea Bay as a prototype to test tidal energy and see if it can work at a large scale. Our research found that wider deployment of tidal lagoons would complement other sources, such as wind and solar, to help meet decarbonisation targets in a cost-effective way.”
EY head of environmental and energy finance Ben Warren
“Any support for the Swansea Bay tidal lagoon project appears, on the face of it, to be a rare piece of positive news for the UK’s renewables sector.
“Should Swansea Bay get the go ahead it remains to be seen whether tidal energy can deliver affordable electricity in the longer-term. For now we wait to see what price the government is prepared to pay Swansea Bay for its power, and what risks it is prepared to take on board to ensure this ambitious project gets realised.”
Citizens Advice chief executive Gillian Guy
“Initial proposals suggest the Swansea Bay tidal lagoon will cost around £90 per megawatt hour paid through people’s energy bills over 90 years – a more expensive option than other available renewables like wind and solar power.
“And while building tidal lagoons could bring benefits to the area, such as by creating new jobs and boosting tourism, we question whether it is fair for energy bill payers to pick up these costs where many of the benefits do not relate to the electricity being produced.”
UK steel director Gareth Stace
“The report rightly highlights that the building of tidal lagoons would be a welcome boost for the UK steel industry. If a project goes ahead in Swansea, the government must ensure that maximum use can be made from locally manufactured steel to ensure not just ‘jobs being created’, but ‘jobs saved for the long-term’.”
Regen director Johnny Gowdy
“We especially welcome the recommendation to develop a similar long term strategic strategy to that of offshore wind backed by a new Tidal Power Authority. It has long been accepted that Swansea Bay Lagoon would be a pathfinder project, though the real opportunity comes from the development of a series of projects that have the potential to significantly improve security of supply, reduce carbon and develop a new industry.”
A Welsh government spokesperson
“We very much welcome the publication of the Hendry review into the feasibility and practicality of tidal lagoon energy in the UK. This clearly presents Wales with significant potential opportunities.
“Tidal lagoons provide an opportunity to contribute towards growing a vibrant Welsh industry which delivers prosperity whilst supporting our wider decarbonisation objectives.
“We welcome the observation that there is a very strong case for Swansea Bay Tidal Lagoon to be a small-scale pathfinder project, subject to number of key approvals in place.”
Ocean Energy Europe chief executive Rémi Gruet
“The UK government has analysed tidal lagoons every which way and the conclusions are unequivocal. Tidal lagoons have a major role to play in providing UK households and businesses with reliable, clean and affordable electricity. It is time to give Swansea Bay the go-ahead and support the development of a new industry with the potential of creating thousands of jobs in the UK and across Europe.”