Clearer plans for job creation and ensuring communities benefit from the growth generated by renewable energy development, as well as overcoming infrastructure issues such as grid capacity, will be needed if Wales is to meet its renewable energy potential
These are among the key conclusions of a new report published by the Welsh Affairs Committee. The report, Renewable energy in Wales, Second Report of Session 2021–22, found that Wales could be a leader in renewable energy, with strengths in onshore and offshore wind, solar, wave and tidal energy – and significant potential emerging in floating offshore wind.
However, said the report, a clear strategy for the renewable energy sector is missing, causing the Committee to recommend a specific ‘Ten Point Plan’ for Wales be developed and published this year.
This should be developed in tandem with a partnership between the UK and Welsh Governments to advance renewable energy. This includes upskilling the current workforce, with work being undertaken in advance of COP26 in November, and for the UK Government to address grid capacity issues with Ofgem to facilitate future renewable energy generation.
The Committee also identified port infrastructure as an area requiring the attention of UK and Welsh Governments to realise the full potential of offshore renewable opportunities.
The report found that offshore wind plays a major role in Welsh renewable electricity generation, accounting for 29% of renewable generation in 2019. It noted that floating offshore wind has strong deployment potential in Welsh waters, particularly in the Celtic Sea off the coast of southwest Wales and England, where wind speeds are high and deep seas are accessible from major ports. In a recent report, the Offshore Renewable Energy Catapult advised there could be as much as 50 GW of electricity capacity available in the Celtic Sea in Irish and UK waters. It is estimated that the first GW in the Celtic Sea could potentially deliver over 3,000 jobs and £682M (US$948M) in supply chain opportunities for Wales and Cornwall by 2030.
With the seabed getting busier, said the report, The Crown Estate should develop a new approach to optimise the environmental and economic potential of the seabed, working closely with developers to ensure adequate leasing rounds be offered on a regular basis. The Committee argues this would be essential for the development of offshore wind and wave and tidal projects.
The Committee believes that if the barriers holding back renewable energy are overcome, there is significant potential for an interconnector given the renewable strengths of Wales, with the nation exporting energy rather than curtailing it. This could not only export renewable energy to the rest of the UK, but also further afield.
Chair of the Welsh Affairs Committee Right Honourable Stephen Crabb MP said, “With the UK hosting COP26 in November, there has never been a more important moment to recognise the potential that exists in Wales for much greater renewable energy output. It is clear there is no shortage of ambition within Wales but we need to see a clearer strategy from the UK Government if Wales is to capture all the opportunities that are emerging.
“Our Committee has identified constraints ranging from skills gaps to grid connection issues, and seabed licensing to funding disparities. Overcoming these hurdles will require the UK Government to work closely with the Welsh Government with urgency and purpose.”
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