Analysis from Westwood Global Energy Group reveals that offshore wind final investment decisions outside mainland China will grow 57% in the next 18 months, compared to the 2019-20 period
This fast growth represents an additional 20.4 GW of new offshore wind capacity, with just under a third of this activity being driven by emerging offshore wind markets such as the US, Vietnam, and South Korea.
Westwood head of energy services Thom Payne said, “Construction and installation of offshore windfarms has benefited from lower oil and gas supply chain prices, as a result of weaker oil and gas demand. This has partly enabled growth in offshore wind by making it easier to access shared services cost efficiently.
“However, as the cost of shared services increases, developers will find it harder, especially as offshore wind projects become more complex and require more sophisticated engineering, equipment and vessels.”
The analysis comes as Westwood launches its new WindLogix application as part of its global offshore energy intelligence interface. “With the offshore market evolving fast you can no longer look at the oil and gas and offshore wind sectors as binary – lines are blurred and so are supply chains,” said Mr Payne. “Companies need to adjust strategies to grasp opportunities.”
WindLogix will offer quarterly reports covering policy mechanisms, reviews of OEM performance, activity updates, five-year regional activity outlooks and analysis of challenges facing the offshore wind sector.