Annual global offshore wind market report 2019

The Annual global offshore wind market report analyses the markets with the most opportunities to 2024 and maps the opportunities in value terms across the supply chain. It also includes cost analysis, major suppliers and owners by country and a general understanding of the supply chain. The study estimates that Europe will have 43 GW installed capacity by the end of 2024, up from 22 GW in 2019.

The rated power of new turbines continue to rise, and most new offshore wind farm are being delivered ahead of time and under budget. In addition, new methods for maintenance and service of offshore wind farms are being developed, like the use of drones, big data and AI-based techniques. Continuous development of more reliable and powerful turbines, larger projects, and more efficient processes and reductions in risk and hence cost of capital are all contributing to the progress. Competitive auctions have also lead to a significant cost reduction.

Global expenditure for project development activities is estimated to grow from €2.9 billion in 2020 to €4.3 billion in 2024, and total expenditure between 2020 and 2024 is estimated to be €178 billion.

The UK and Netherlands will have over 50% of new capacity in Europe

The global offshore wind markets are divided between Europe, America and the Asia-Pacific region. The study estimates that the global installed capacity will reach 84 GW by the end of 2024, of which 43 GW will be located in Europe with the major markets being the UK, Germany, Denmark, Belgium Netherlands and France. The UK and Netherlands are the markets expected to install over 50% of the new capacity from 2020 to 2024. The report also considers Norway to be an emerging market for offshore wind as the Norwegian offshore industry has both the background and the means to become a large supporter of the global offshore wind industry. However, the report states that it is unlikely that large offshore wind projects will be implemented in Norway by 2024.

China will overtake the UK as the global marker leader

The Asia-Pacific region will have 36 GW by the end if 2024, and the Americas 4.9 GW. By the end of 2024, China is expected to become the global market leader with an anticipated 26 GW and overtake the UK, with 17 GW. Asia is forecast to install over 50% of the expected capacity between 2020 and 2024. The annual global installation rate is estimated to be 17 GW in 2024.

This report is prepared by BVG Associates on behalf of Norwegian Energy Partners. For further details, read the full study here.

 

By Anna Lygre Solvang