Pessimistic offshore wind bosses call for industry overhaul to meet 2030 net-zero target

The offshore wind industry is urging an infrastructure overhaul enabling net-zero ambitions to be realised, with only 4 per cent of senior leaders expecting the UK to reach its 2030 national production goal, according to a new report.

The study from consultancy Newton Europe, which comes as climate summit COP28 continues and amid closer scrutiny of carbon-neutral goals, has found that while 80 per cent of bosses believe the UK will reach 30 gigawatts (GW) by 2030, and nearly two-thirds believe it will smash this threshold by this date, there is “a long way to go to ensure targets are met” – and only 4 per cent believe the UK will reach its production aim of 50GW by then.

Newton Europe adds that the report, titled Reenergising Offshore Wind, examines the reasons “behind this industry pessimism, and argues that the UK can maximise its existing world-class offshore wind resources to build a net-zero future”.

It states that the UK already produces 15GW of offshore wind, and a further ten to 15GW is already funded. However, the report highlights that it is the remainder that is critical if the UK is to meet its net-zero targets, also pointing out that offshore wind currently generates around 13 per cent of the UK’s power, and that needs to rise to nearer 45 per cent in the next six years.

The report outlines how 70 per cent of leaders believe the oil and gas industry should allocate more resources to advance UK offshore wind (file image). Picture: Andy Buchanan/AFP via Getty Images.

Beyond the targets, 71 per cent of decision-makers say their business is worried about remaining financially competitive when it invests in the UK offshore wind sector or in related supply chains, and 67 per cent don’t believe UK offshore wind manufacturers can compete with Europe and China. “The UK had an early-mover advantage in the sector, but does risk losing the global leadership position it painstakingly earned,” according to Newton Europe.

Exploring the drivers of doubt, more than two thirds of leaders warn that the UK’s current pool of ports, vessels, and labour is too limited to support both offshore wind, and oil and gas, but nearly a third believe ports and infrastructure offer one of the best opportunities to compete globally. Furthermore, 70 per cent believe the oil and gas industry should allocate more resources to advance the UK offshore wind sector, and about the same proportion agree that companies in the former are good at sharing information and experience about offshore projects with peers.

Dan Parker, partner at Newton, said offshore wind has enjoyed a good month, including the UK Government offering some “helpful reforms” in his recent Autumn Statement. “But there’s no denying there’s still a lot of work to do,” he continued. “Energy transition is a relatively young phenomenon, and it’s critical that we invest in the transformation required to remain a centre of excellence on the global stage.”

He also said there are hurdles, but added that these bring opportunities. "The UK needs a comprehensive industrial strategy to build the infrastructure of the future; this will bring with it investment returns, jobs, and growth. The mammoth power of the UK’s oil and gas industry is perfectly positioned to play more of a role… Critically, the goalposts cannot be moved – net zero is not a nice to have, it is a necessity. There is no back up plan – 50GW by 2030 is achievable; we must not lose faith.”