Offshore wind operational report

2019

thecrownestate.co.uk 03 OFFSHORE WIND OPERATIONAL REPORT 2019

Introduction

This operational report, covering 2019, is testament Figure 1: UK mix 2019* to the professionalism and vitality of the UK offshore Oil & Hydro wind sector. Offshore other (natural Pumped Wind Solar fuels flow) storage With over 40 wind farms and around 2,200 turbines now generating in UK waters, it’s easy to forget that less than 10% 4% 2% 2% 2% 1% 20 years ago the first-ever offshore turbines were installed in the . Those trailblazing turbines at Blyth, a project I was privileged to manage, kick-started the remarkable progress of offshore wind in UK waters and proved an invaluable testing ground for offshore wind construction, operations and maintenance. In Blyth’s lifetime, the UK offshore wind sector has matured almost beyond recognition, and the project’s safe decommissioning in 2019 marks a historic milestone for our industry.

20 years on, this maturity is reflected in the sector’s strong collaboration on key strategic issues such as data collection and environmental performance. Many wind farms have post-construction environmental monitoring programmes in place. A strong evidence base is vital to ensure the great shift to offshore wind occurs in a sustainable manner – after all, the seas around our 10% 11% 17% 41% country are home to a staggering number of animal and 03 Introduction plant species, many of which are already under pressure. The Crown Estate Onshore Bioenergy Nuclear Gas 04 Offshore wind 32TWh We are playing our part, including with the Marine Data status Exchange, one of the world’s largest open-access The Crown Estate manages a unique portfolio, which 2019 UK OFFSHORE WIND databases of marine spatial information, an overview 06 Offshore wind assets includes the seabed, natural marine resources and much of ELECTRICITY PRODUCTION of which is provided in this report. the foreshore around , Wales and Northern Ireland. 07 Scotland Figure 2: Renewable electricity generation Speaking of pressure, as I write this in March 2020, by fuel type 08 Health and safety In this capacity we are responsible for awarding seabed daily life for many of us has changed beyond recognition rights for offshore renewable energy projects as well as TWh 09 Wind farm because of the Covid-19 pandemic. Yet, the global offshore marine minerals, cables and pipelines. We play a unique 13m 40 performance wind sector continues to perform remarkably strongly, as role in developing and helping sustain UK energy supply tonnes demonstrated by its contribution to the supply of energy, 12 Offshore Transmission and infrastructure, working in collaboration with a wide 35 AVOIDED CO2 now around 10% of UK electricity generation. Operations Owner (OFTO) range of organisations. and maintenance teams are keeping the critical national performance 30 infrastructure of our wind farms running. Established by an Act of Parliament, we return all our profit 14 Marine Data Exchange to Treasury for the benefit of the nation. This has totalled 25 Long-term growth outlook is strong, underpinned by 16 Post-construction £2.8bn over the last ten years. 10% fundamentals such as the UK’s legal commitment to net environmental 20 PROPORTION OF zero by 2050. As we anticipate a gradual return to a form monitoring survey data TOTAL UK ELECTRICITY of normal business, the performance and resilience of the 15 19 Wind farm ownership GENERATED BY OFFSHORE sector in 2019 has confirmed its credentials for sustained Scotland WIND IN 2019 growth in the year ahead and the decades to come. 10 22 Offshore Transmission Owner (OFTO) The seabed around Scotland is managed by a separate 5 ownership organisation, Crown Estate Scotland. Huub den Rooijen 24 Investment Director of Energy, Minerals and Infrastructure 0 o This report has been produced by The Crown Estate but for 30% The Crown Estate gy PV dr 26 Development portfolio wind wind Hy completeness, publicly available data on offshore wind in UK OFFSHORE WIND e e and activities Solar Scotland has been included in key sections, such as offshore GENERATED ENOUGH Bioener Onshor 28 Decommissioning wind farm status and national metrics. ELECTRICITY IN 2019 Offshor and recycling TO SUPPLY THE NEEDS 2018 2019* We have also included a page on offshore wind management OF 8.3M HOMES, AROUND 30 Skills

in Scotland, provided by Crown Estate Scotland (page 7). 30% OF THE UK TOTAL (Ørsted) wind farm Hornsea 1 offshore *Source: BEIS energy statistics (provisional figures) 04 OFFSHORE WIND OPERATIONAL REPORT 2019 05 OFFSHORE WIND OPERATIONAL REPORT 2019

sites, was 9.9GW. This means that 45% Figure 4: UK offshore wind project pipeline as at 31 December 2019 Offshore wind of all grid connected capacity in Europe is located in the UK, as shown in figure 3. Operational: Total capacity of wind farms that have been fully commissioned The World Forum Offshore Wind places farm status the UK as number one in the world for Capacity MW Capacity MW Capacity MW offshore wind installed capacity, followed 01 Barrow 90 11 Gunfleet Sands I 108 22 630 02 Beatrice* 588 12 Gunfleet Sands II 65 23 Lynn 97 by Germany and China. 03 Blyth Demonstration (Phase 1) 42 13 Gwynt y Môr 576 24 North Hoyle 60 04 Burbo Bank 90 14 Hornsea 1 1,218 25 Ormonde 150 The UK continues to lead the charge The major change during 2019 was 05 Burbo Bank Extension 259 15 Humber Gateway 219 26 Race Bank 573 in offshore wind across Europe. to those projects with government 06 Dudgeon 402 16 30 27 Rampion 400 support on offer. In the autumn, the 07 European Offshore Wind 93 17 Inner Dowsing 97 28 90 1.8GW of new wind farm capacity results of Round 3 of the Contracts Deployment Centre* 18 Kentish Flats 90 29 Robin Rigg East* 84 became fully operational in 2019, as for Difference (CfD) allocations were 08 Galloper 353 19 Kentish Flats Extension 50 30 Robin Rigg West* 90 Beatrice in Scotland and Hornsea 1 off published at landmark strike prices, the 09 Greater Gabbard 504 20 Levenmouth Demonstration* 7 31 Scroby Sands 60 the east coast of England were both fully lowest being £39.65/MWh. Six projects 10 Gunfleet Sands Demonstration 12 21 Lincs 270 32 Sheringham Shoal 317 commissioned. At 1.2GW Hornsea 1 were successful, including several of the 33 Teesside 62 became the largest offshore wind farm projects, enabling almost 34 Thanet 300 in the world. Construction commenced 5.5GW of further capacity. This brought 35 Walney 1 184 on East Anglia ONE in the North Sea and the total capacity of sites – operating, 36 Walney 2 184 on in the Firth of Forth. under construction and awarded a CfD – 37 Walney Extension 659 At the other end of the spectrum, Blyth – to 19.6GW. Territorial Waters Limit 38 West of Duddon Sands 389 the UK’s first and smallest offshore wind UK Continental Shelf 39 Westermost Rough 210 farm at just 4MW – was decommissioned Since the first UK offshore wind farm was TOTAL 9,701 19 years after installation. Further commissioned in 2000, a huge collective information on this project can be effort has been made to achieve almost Under construction: Total capacity found on pages 28-29. 10GW of capacity in operation by 2020 of wind farms that are under construction and another 4GW under construction. 02 43 or where the developer has confirmed Figure 4 shows the UK now has over With a typical project taking ten years a final investment decision, but are not 14GW of total capacity either fully from planning to final commissioning yet fully operational operational (9.7GW) or under construction and downward pressure on CfD prices, 16 (4.4GW). The actual grid connected considerable renewed vigour is now 07 Up to capacity MW capacity at the end of 2019, including the needed to achieve the Government 40 East Anglia ONE 714 connected capacity at under construction ambition of 40GW by 2030. 42 41 Hornsea 2 1,386 42 Kincardine* 50 50 43 Moray East* 950 20 44 44 Neart na Gaoithe* 448 49 45 857 46 48 Figure 3: Current European offshore wind generating capacity based TOTAL 4,405 29 47 51 on grid-connected turbines, including sites under construction 30 52 03 Government support on offer: MW Turbines % Total capacity of wind farms that have UK 9,983 2,230 45% 39 secured a Contract for Difference Germany 7,445 1,469 34% 36 15 41 14 Denmark 1,703 559 8% 25 Up to capacity MW 35 33 Belgium 1,556 318 7% 45 46 Dogger Bank A 1,200 38 01 Netherlands 1,118 365 5% 37 06 47 Dogger Bank B 1,200 04 48 Dogger Bank C 1,200 Rest of Europe 306 111 1% 13 05 17 31 49 Forthwind* 12 23 50 Seagreen Phase 1* 454 28 24 40 51 Sofia Offshore Wind Farm 1,400 32 Phase 1 21 26 TOTAL 5,466 99% 09 08 12 THE TOP FIVE 22 11 Total capacity of wind farms that have REPRESENT 99% 10 been decommissioned OF ALL EUROPEAN 34 CAPACITY 18 19 Up to capacity MW 52 Blyth 4 TOTAL 4

Source: Wind Europe bit.ly/3enNzt7 *Asset managed by Crown Estate Scotland 27 06 OFFSHORE WIND OPERATIONAL REPORT 2019 07 OFFSHORE WIND OPERATIONAL REPORT 2019

of which began generating and two farm in the Moray Firth reach full Offshore became fully operational. This added Scotland operation. At the time, it was the half of all new offshore wind capacity world’s fourth-largest offshore wind built in Europe and more than a third of installation with 588MW of installed 890MW wind assets all new global offshore capacity in 2019. capacity – enough to provide 450,000 In Scotland, the seabed and around half homes with electricity. JUST OVER 890MW OF It was a landmark year for UK offshore of the foreshore is managed by Crown CAPACITY IS CURRENTLY IN OPERATION ACROSS wind with the final turbine installed at Estate Scotland, a public corporation Crown Estate Scotland will launch SEVEN SCOTTISH SITES There are now more than 2,000 grid- Hornsea 1, now the largest offshore separate to The Crown Estate which the latest round of seabed leasing connected wind turbines on the UK wind farm globally and capable of works to manage Crown Estate assets for offshore wind developers in the seabed. In Figure 6, we’ve categorised supplying the electricity needs of on behalf of Scottish Ministers. first half of 2020. The project aims them as Operational if the site was fully one million UK homes. In 2019, the to bring significant additional installed commissioned by the end of December average turbine capacity installed Just over 890MW of capacity is currently capacity to Scottish waters by 2030 2019. In fact there were 2,230 grid reached 7.0MW, an increase of 18% in operation across seven Scottish in line with the Scottish Government’s connected turbines as some capacity compared to last year. There were offshore wind sites, with a further sectoral marine plan, the consultation was already generating at sites classed also announcements about the next 1GW due to come online in phases draft of which provides for up to 10GW

as Under Construction. generation of wind turbines, including (SSE) wind farm Beatrice offshore by 2022. 2019 saw Beatrice wind of new development. that SSE and intend to use the During the year, eight offshore wind GE Haliade-X 12MW turbine at their farms were under construction, several proposed sites.

Figure 5: Asset activity in 2019

Wind farms having achieved Wind farms achieving first power Final Investment Decision (FID) East Anglia ONE Neart na Gaoithe Hornsea 1

Wind farms under construction Wind farms completed East Anglia ONE Beatrice Hornsea 1 Hornsea 1 Hornsea 2 Kincardine Moray East Wind farms decommissioned Neart na Gaoithe Blyth Triton Knoll

Floating offshore wind sites in Scotland

Figure 6: UK offshore wind assets as at 31 December 2019 Floating turbines are already in operation electricity in 2019 to power 36,000 at two sites in Scottish waters: the homes. (Source: Equinor) Kincardine offshore wind farm and Hywind Scotland developments. The Kincardine offshore wind farm currently operates a single test turbine The larger of the two, Hywind Scotland, with a capacity of 2.5MW. Over the next is the world’s first fully operational 2 years, an additional five turbines will be floating wind farm. Located in the installed, each with a capacity of 9.5MW, North Sea, it consists of five turbines, taking the total capacity to 50MW. each with 6MW capacity, arranged across an area of around four square Floating wind technologies are currently OFFSHORE OFFSHORE EXPORT MET WIND kilometres. The turbines are ballast less widely deployed than the more TURBINES SUBSTATIONS CABLES MASTS FARMS stabilised, anchored to the seabed mature, fixed solutions. With as much as Operational: 2,189 32 74 11 39 in water depths of between 95m and 80% of the total potential for offshore Under construction: 652 10 13 0 6 129m, and are subject to average wind believed to be in deep waters, it TOTAL: 2,841 43 87 11 45 wind speeds of 10m per second. could play a significant role in meeting Hywind Scotland generated enough future energy requirements. Operational: Wind farms that have been fully commissioned and achieved Works Completion

Under construction: Wind farms having reached Final Investment Decision (FID) and those that are under construction but not yet fully operational. There is a reduction in the offshore turbines under construction since the 2018 report because planned turbine capacities have increased at Moray East, reducing the quantity of turbines needed. 08 OFFSHORE WIND OPERATIONAL REPORT 2019 09 OFFSHORE WIND OPERATIONAL REPORT 2019

of electricity back to shore. The Health and safety Wind farm construction period is excluded. The expected power output is derived performance from hourly satellite measurements of Health and safety performance in The improvement in overall performance Figure 9: Incident categories for local wind speed and theoretical wind offshore wind is improving. Data in of global offshore wind has been UK offshore wind industry in 2018 turbine power curves. This calculation this section refers to the latest report1 attributed to the maturity of the method carries a notable uncertainty, (2018) from G+, the global health industry, which is in turn driven by: Medical Lost Restricted Fleet performance index primarily due to indirect and low- and safety organisation for offshore • A strong focus on high potential Asset treatment work day work day frequency wind speed data. A more damage incidents wind, which reveals that 11 out of hazards cases incidents The fleet performance index compares accurate calculation would necessitate 12 categories of reportable incident • Improved technology 10% 4% 4% 3% metered electricity output against the 10-minute average wind speed data showed an improvement between 2017 • Improved culture where stakeholders expected output adjusted for actual and project-specific power curves. and 2018 as illustrated in Figure 7. share lessons learned wind speed during that period. It gives • Improvement of working methods a direct measure of, and improves our In 2019, the fleet performance index The UK outperformed the global ability to forecast, the performance was 98.2% despite being affected industry in 2018 as its Lost Time Figure 9 shows the incident categories4 of the offshore wind farm fleet in by cable repairs and grid maintenance. Injury Frequency (LTIF2) and Total for the UK, which highlights the need England and Wales, without any This impressive performance reflects Recordable Injury Rate (TRIR3) were to continually improve health and adjustment for outages. The analysis the quality of the hardware and the 1.48 and 4.43 respectively, while the safety performance. includes the whole system of fully efficient management of the assets. global industry’s LTIF and TRIR were operational wind farms and their Figure 10 shows the variation in fleet 1.52 and 4.55 respectively. Further breakdown of the data shows associated transmission/export performance for the last nine years. that of the 588 incidents, construction, Comparing the LTIF and TRIR of development and operations sites the three countries with the highest contributed 208, 11 and 369 incidents number of offshore wind farm sites – respectively. Marine operations, access/ UK (40), Germany (14) and Denmark egress and lifting operations were the Figure 10: Fleet performance index 23% 19% 37% (6) – the UK again emerged with the top three work processes accounting 100.5% 10 best health and safety performance, for 19%, 12% and 10% respectively. First aid Near hits Hazardous as shown in Figure 8. cases observations 100.0% 9 To drive improved performance, 8 While there has been tremendous G+ continues to share learnings 99.5% improvement in the UK and global including improving safety designs, 7 industry, there is still scope for more. use of technology to reduce risks, 99.0% Out of the 256 high potential incidents and focusing on mental health 6 that occurred in 2018, 66% were in the and wellbeing. 98.5% UK. High potential incidents are those 5 that have the potential to cause fatal The G+ 2018 incident data can 98.0% 4 or life-changing injuries. be found at bit.ly/3er95NA 97.5% 3 PERFORMANCE INDEX

97.0% INSTALLED CAPACITY GW 2

96.5% 1 Figure 7: Global offshore wind industry Figure 8: Countries with the highest incident comparison between 2017 and 2018 number of sites in 2018 96.0% 0

Reportable incidents Number 2011 2012 2013 2014 2015 2016 2017 2018 2019 Country of sites LTIF TRIR Fatalities UK 40 1.48 4.43 Total lost work days incidents Germany 14 2.46 5.75 Incidents that occurred on operational sites Denmark 6 2.88 10.96 Incidents that occurred on project sites NUMBER OF HOMES THAT COULD BE SUPPLIED BY Incidents that occurred on development sites OFFSHORE WIND ELECTRICITY GENERATION Incidents during marine operations 1 A time lag in the data means 2019 global health Incidents during lifting operations and safety statistics are not yet available. We have reported on the recently published G+ 2018 incident data report. Incidents when gaining access/egress or climbing 2 LTIF = The number of recordable injuries (fatalities + lost Incidents occurred in the turbine work day incidents) per 1,000,000 hours worked. Incident occurred on vessels 3 TRIR = The number of recordable injuries (fatalities + lost work day incidents + restricted work day incidents + medical Incident occurred onshore treatment injuries) per 1,000,000 hours worked. 2013 2015 2017 2019 2020 (est.) 4 As defined in the G+ Global Offshore Wind Health and Safety 2017 2018 0 500 1,0001,5002,0002,500 Organisation’s 2018 incident data report. 2.7m (10%) 4.4m (16%) 5.3m (20%) 8.3m (30%) 8.8m (32%) 10 OFFSHORE WIND OPERATIONAL REPORT 2019 11 OFFSHORE WIND OPERATIONAL REPORT 2019

Capacity factor Figure 11: Capacity factor evolution

Figure 11 shows the evolution of the 45 capacity factors of offshore wind farms in England and Wales between 2005 and 2019. 40

The capacity factor is the average power generated over a period, divided by the rated peak power. It indicates 35 how fully a plant’s capacity is used.

The capacity factor of offshore wind 30 farms is usually higher than onshore Sheringham Shoal offshore substation (Aerial Vision and Equinor) substation (Aerial Sheringham Shoal offshore wind farms due to stronger, more stable wind conditions at sea. This is

particularly noticeable for the latest CAPACITY FACTOR (%) 25 wind farms located further offshore.

In 2005, the capacity factor was around 20 30%. In 2019, it was almost 40%. It means the power output per unit capacity has increased by a third – a considerable improvement. This is because of the 150 fine-tuning of service campaigns and maintenance contracts to optimise 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 production-based availability of the plant. It is also because capacity factors of newer sites are higher and closer to 50%.

Wind variability Figure 12: Monthly energy deviation due to wind speed in 2019 Offshore generation Figure 13: Offshore wind electricity generation by UK asset in 2019 Wind farm output is dependent on 40% Walney wind speed. While the average output Figure 13 shows that the top 5 wind Lincs Others Extension Hornsea 1 Beatrice Race Bank of a wind farm over its lifetime can be 30% farms generated more than a third accurately calculated using long-term of the UK’s total offshore 3.1% 30.1% 8.6% 7.2% 6.7% 6.7% data, its performance over a short in 2019. 20% period of time is primarily dependent on local wind conditions. The air flow at a higher altitude 10% is stronger and less turbulent. Figure 12 shows the impact on energy This greatly reduces transient loads production due to monthly wind speed 0% and improves power output. Taller variation in England and Wales. turbines can therefore harness more power per unit capacity compared -10% 32 March and August were significantly to smaller turbines. TWh windier than expected, while January, Total generation May and November were significantly -20% The latest wind farms in operation in 2019 less windy than average conditions. have capacity factors in excess of Variations due to local wind conditions -30% 50% (the average production is more are expected, however there was less than 50% of the ). regional variability in 2019 compared to recent years. The overall energy -40% deviation at the end of 2019 was 2.3% below the long-term average. -50% 3.2% 3.3% 4.4% 4.7% 5.0% 5.3% 5.5% 6.2% r n l c Ju Jan Feb Ma Apr May Ju Aug Sep Oct Nov De Rampion Sheringham Galloper West of Dudgeon Greater Gwynt London East Coast (Humber) West Coast Shoal Duddon Gabbard y Môr Array East Coast (Thames Estuary) UK Sands 12 OFFSHORE WIND OPERATIONAL REPORT 2019 13 OFFSHORE WIND OPERATIONAL REPORT 2019

The default for this is 98%, with specific Offshore targets established for each OFTO. Figure 16 shows the general trend Transmission of annual availability. National Grid collates availability data for each OFTO annually – this includes Owner (OFTO) all outages that originate on an OFTO’s system but excludes outages that originate elsewhere, for example on performance a wind farm generator or DNO system. The OFTO availability incentive then adjusts the reported outage data to calculate incentivised performance

The OFTO offshore transmission for each OFTO. and Equinor) Yorke Gregory substation (Roberg Dudgeon offshore system consists of 22 offshore substations, supporting over 5.6GW In 2018/19, average OFTO availability of generating capacity connected by 34 was 99.50%, higher than the previous export cable circuits. These interface year (98.22%), highlighting that there with either National Grid’s National were fewer outages and that OFTOs Electricity Transmission System maintained transmission system (NETS) or the lower voltage distribution availability for the majority of the year, networks owned and operated by as shown in figure 15. This enabled the Distribution Network Operators (DNO). wind farms to transmit electricity to the OFTO ownership details are on page 23. National Grid with minimal disruption.

Transmission system availability for OFTOs can be unavailable for several OFTOs is published by National Grid each reasons. These include planned outages July in the annual NETS Performance required for maintenance or modification Report. The information in this section of the assets, unplanned outages as a covers data up to March 2019. result of plant or equipment failure, i.e. 99.5% Moving towards a more integrated offshore grid circuit trips/faults, or outages requested Figure 16: OFTO availability trend The OFTOs are incentivised through the by the DNO. Figure 14 shows the ANNUAL AVAILABILITY The theme of moving toward a more new transmission infrastructure in OFTO regulatory framework to provide breakdown of planned and unplanned integrated or coordinated approach parallel. This will help to further reduce OF OFFSHORE NETWORKS 100% prescribed minimum levels of availability. system unavailability for 2018/19. FOR 2018/19 WAS 99.50% to offshore transmission gained costs of offshore wind, limit seabed increasing prominence during 2019. disturbance and mean infrastructure 1 The Offshore Wind Sector Deal is more resilient. The Information 99% identified that Government would Memorandum2 we published at the work with the sector and wider outset of the Round 4 leasing process

Figure 14: 2018/19 OFTO Figure 15: Offshore Transmission Networks % Annual System Availability stakeholders to address issues around indicated that we were considering AV AILABILITY 98% system unavailability a more strategic approach to offshore the possibility of introducing new

2014-15 2015-16 2016-17 2017-18 2018-19 transmission. This implicitly recognises requirements in lease agreements GE % OFTO Unplanned Non-OFTO Barrow OFTO 100 99.88 100 99.99 100 that the current approach of developing in this regard. Work on this was 97% VERA 25% 51% Bubo Bank Extension OFTO N/A N/A N/A N/A 98.15 radial links is unlikely to be efficient or progressed in the early stages of A O Dudgeon OFTO N/A N/A N/A N/A 100 optimal with moving toward significantly the process, and we expect to make higher deployment levels. Work has the results available during 2020. Greater Gabbard OFTO 100 100 99.78 99.61 99.82 96%

been progressing through the Offshore ALL OFT Gunfleet Sands OFTO 99.53 100 99.95 99.81 99.97 Wind Industry Council to distil the key We were encouraged to see Ofgem Gwynt y Môr OFTO 82.59 82.58 99.73 100 99.84 issues with the current arrangements, recognising the need to consider 95% Humber Gateway OFTO N/A N/A 100 93.75 100 both in the short term and also for coordinated grid solutions for offshore Lincs OFTO 100 100 99.93 99.78 100 longer term strategic development. wind in its Decarbonisation Action London Array OFTO 99.90 99.98 98.88 99.80 99.94 Plan3, published in February 2020. 2014–152015–162016–172017–182018–19 Ormonde OFTO 99.93 100 99.59 100 100 During 2019, we have been exploring Against the backdrop of Net Zero, Robin Rigg OFTO 100 99.99 99.99 100 100 the potential for offshore transmission Ofgem indicated it would work with Sheringham Shoal OFTO 99.84 100 99.95 99.23 99.40 infrastructure to be designed for a Government, industry, the Electricity Thanet OFTO 82.47 83.05 96.15 100 100 longer life than is currently the case System Operator and The Crown Estate for operating projects – potentially up to develop coordinated solutions and Walney 1 OFTO 100 100 99.62 99.70 100 to 60 years to facilitate two wind farm in doing so, explore options for meshed Walney 2 OFTO 100 92 100 100 91.42 24% 10% 41% project life cycles. This would enable grids rather than radial links. This 1 HM Government bit.ly/2KbeM4k West of Duddon Sands OFTO N/A 100 99.64 99.45 100 any subsequent re-powering and/or is a positive development and we 2 The Crown Estate bit.ly/2z6o13T Westermost Rough OFTO N/A 100 100 100 99.73 OFTO Planned DNO Generator re-planting without the need to develop will devote time to this in 2020. 3 Ofgem bit.ly/3evZNQL 14 OFFSHORE WIND OPERATIONAL REPORT 2019 15 OFFSHORE WIND OPERATIONAL REPORT 2019

Marine Data Exchange 2,311 Figure 19: Survey data coverage on the Marine Data Exchange SURVEYS

The Marine Data Exchange (MDE), created by The Crown Estate, is the first online portal to manage offshore 179TB Low High survey data collected throughout the OF DATA lifetime of offshore wind farms.

In 2019, we added 29 surveys to the MDE, totalling 12TB of additional data, and invested in upgrades to the user 62% experience. We facilitate access to PUBLICLY AVAILABLE this survey data and work closely with our customers to ensure that all survey data is made widely and freely available in a reasonable timeframe. 71% We know that survey data and evidence INCREASE IN PUBLIC play a key role in the ongoing growth DOWNLOADS SINCE 2018 of the offshore wind industry and are committed to investing in the MDE to improve access and unlock the value in this wealth of data. www.marinedataexchange.co.uk

Figure 17: 2019 public survey downloads by user type Figure 18: Survey data held on the MDE by development phase

TOTAL17,140 Research Consultancy 5,734 326

Developer 3,830

Academic 2,504

NGO 774 Government 453 Others 3,845

372 116 1,562

Post-construction Construction Pre-construction 16 OFFSHORE WIND OPERATIONAL REPORT 2019 17 OFFSHORE WIND OPERATIONAL REPORT 2019

in one place, generating an evidence Case study: Data insights from the fish post-construction survey data Post-construction base that can be used to identify trends across the offshore wind sector. It also The value from the MDE evidence Almost half of the surveys also found of survey catch methods were used, over provides useful insights into observed base comes from being able to draw that there was no change in the species 80% included otter and beam trawls. environmental effects of wind farms on the marine insights from the data. mix from pre-construction to post- environment compared to what was construction, with the most abundant Many of the thornback rays observed predicted during the planning and Here we have drawn comparisons species remaining the same. Across within the wind farm arrays were smaller monitoring impact assessment phase. from the post-construction and all of the sites, the most abundant than those found outside, suggesting pre-construction fish survey data species observed in most surveys were that some wind farms could be acting The intensity of survey activity held on the MDE. Initial insights whiting (Merlangius merlangus), dab as spawning grounds. Within one wind survey data fluctuates over time, as some wind suggest that, from 56 surveys (Limanda limanda) and thornback ray farm, there was a high abundance of farms start their post-construction across 16 operational wind farm (Raja clavata), which is listed as Near pregnant females which would support monitoring and others stop monitoring sites, almost 84% of surveys show Threatened on the International Union this idea. In such circumstances, the as they discharge their licence a positive or neutral change in for Conservation of Nature Red List concentration of crustaceans, their The MDE holds extensive survey data conditions. Throughout this, we work fish ecology. of Threatened Species. Whilst a number main prey type, was also high. across the lifetime of a project, including closely with offshore wind operators to all monitoring data collected during and understand what survey data has been after the construction phase. collected, organise its upload to the MDE in line with consistent data standards Almost half of all post-construction and ensure that it can be reused by FISH SURVEYS survey data held on the MDE is from passing it through a quality assurance 56 2002–2018 environmental monitoring campaigns process. Some of the data that has been and this resource continues to grow as collected over the last three years is not more wind farms become operational. yet on the MDE and this is reflected in The MDE acts to bring this data together the faint section of figure 21. 84% OF SURVEYS SHOW A POSITIVE OR NEUTRAL CHANGE IN FISH ECOLOGY (42% POSITIVE, 42% NEUTRAL) Figure 20: Post-construction environmental surveys held on the MDE by theme*

21 Marine 150 52 60 mammals Benthic POST-CONSTRUCTION Epifauna ecology THE MOST ABUNDANT SPECIES OBSERVED ENVIRONMENTAL and fish 58 15 Birds WERE WHITING, DAB AND THORNBACK RAY MONITORING SURVEYS Intertidal ecology *Surveys may contain more than one theme

Figure 21: Post-construction environmental survey data collection by theme over time

Marine mammals Intertidal ecology Epifauna and fish Birds Benthic ecology 2001 2003 2005 2007 2009 2011 2013 2015 2017 2019 18 19 OFFSHORE WIND OPERATIONAL REPORT 2019

Wind farm Figure 22: Capacity ownership – offshore wind by category Utility Financial investor ownership 65% 27%

Corporate Oil and 5% gas 2%

Supply chain < 1%

Utility companies dominate the Figure 23: Operational and under construction wind farm ownership of the generating and ownership as a percentage of total capacity in 2019 under-construction fleet in the UK at 65%, with financial investors having EDP the next biggest share at 27%. The Renováveis Equinor Others Ørsted RWE Innogy ownership share of financial investors 2% 2% 33% 26% 8% 6% in UK offshore wind increased just 1% on the previous year and has averaged 27% for the last three years. The figures suggest little change but it has been a very active part of the market as the UK fleet capacity has being growing, with financial investors increasing their MW capacity ownership by 90% over the last four years (see figure 28 on page 25).

Oil and gas presence in the sector remained at 2% in 2019, represented by Norwegian company Equinor. The share of the market owned by the supply chain dropped to less than 1% as Siemens sold its stake in Gwynt y Môr offshore wind farm. Meanwhile corporate ownership stayed steady at 5% of the market, represented by companies such as China Resources. 2% 4% 4% 4% 4% 5%

The Scandinavian presence has UK GIG SSE Iberdrola Global UK Green been much evident in the UK offshore Offshore (Scottish Infrastructure Investment wind sector and by 2019 some 38% Wind Fund Power) Partners Group (UK GIG) of UK offshore wind was owned by Scandinavian utility and financial investors. Figure 24 on page 20 shows the ownership position of fully operational

Hornsea 1 offshore wind farm (Ørsted) wind farm Hornsea 1 offshore UK offshore wind farms in 2019. 20 OFFSHORE WIND OPERATIONAL REPORT 2019 21 OFFSHORE WIND OPERATIONAL REPORT 2019

Figure 24: Fully operational offshore wind farm ownership as at 31 December 2019 – listed by dominant ownership share

Project Operator Share ownership %

Barrow Ørsted 100% Ørsted

Burbo Bank Ørsted 100% Ørsted

Gunfleet Sands Demonstration Ørsted 100% Ørsted

Gunfleet Sands I Ørsted 50.1% Ørsted 24.95% Dev. Bank of Japan1 24.95% JERA

Gunfleet Sands II Ørsted 50.1% Ørsted 24.95% Dev. Bank of Japan1 24.95% JERA

Walney 1 Ørsted 50.1% Ørsted 25.1% SSE 24.8% PGGM

Walney 2 Ørsted 50.1% Ørsted 25.1% SSE 24.8% PGGM

Burbo Bank Extension Ørsted 50% Ørsted 25% KIRKBI Invest A/S 25% PKA Holding ApS

Hornsea 1 Ørsted 50% Ørsted 50% Global Infrastructure Partners (GIP)

Race Bank Ørsted 50% Ørsted 25% Macquarie European ...2 12.5% Sumi...3 6.3%4 6.3%5

Walney Extension Ørsted 50% Ørsted 25% PFA Holding ApS 25% PKA Holding ApS

West of Duddon Sands Ørsted 50% Ørsted 50% Iberdrola (ScottishPower)

Westermost Rough Ørsted 50% Ørsted 50% UK GIG6

Humber Gateway RWE 100% RWE

Robin Rigg East RWE 100% RWE

Robin Rigg West RWE 100% RWE

Scroby Sands RWE 100% RWE

Rampion RWE 30.1% RWE 25% UK GIG6 24.9% Enbridge Inc. 20% E.ON

London Array London Array Ltd 30% RWE 25% Ørsted 25% Caisse dépôt & placem...7 20% Masdar

Rhyl Flats Innogy 50.1% Innogy 24.95% Greencoat UK Wind 24.95% UK GIG Offshore Win...8

Greater Gabbard SSE 50% Innogy 50% SSE

Gwynt y Môr Innogy 50% Innogy 30% Stadtwerke München 20% Macquarie Infra ...9

Galloper Innogy 25% Innogy 25% Siemens Financial Ser...10 25% UK GIG6 12.5% ESB 12.5% Sumi...3

Inner Dowsing XceCo 61% UK GIG Offshore Wind Fund8 39% BlackRock

Lynn XceCo 61% UK GIG Offshore Wind Fund8 39% BlackRock

Lincs Ørsted 44% UK GIG Offshore Wind Fund8 31% UK GIG6 25% Ørsted

Beatrice SSE 40% SSE 35% Copenhagen Infrastructure Partners 25% SDIC Power Holding

European Offshore Wind Deployment Centre Vattenfall 100% Vattenfall

Kentish Flats Vattenfall 100% Vattenfall

1 Development Bank Kentish Flats Extension Vattenfall 100% Vattenfall of Japan

2 Macquarie European Thanet Vattenfall 100% Vattenfall Infrastructure Fund 5

3 Sumitomo Corporation Ormonde Vattenfall 51% Vattenfall 49% AMF 4 Arjun Infrastructure Hywind 2 Demonstration Equinor 75% Equinor 25% Masdar Partners 5 Gravis Capital Management Sheringham Shoal Equinor 40% Equinor 25.3% Equitix 20% UK GIG Offshor...8 14.7% TRIG 6 UK Green Investment Group (UK GIG) Dudgeon Equinor 35% Equinor 35% Masdar 30% China Resources 7 Caisse dépôt & placement Québec Blyth Demonstration EDF Energy Renewables 100% EDF Energy Renewables

8 UK Green Investment Group (UK GIG) Offshore Teesside EDF Energy Renewables 51% EDF Energy Renewables 49% Dalmore Capital Ltd Wind Fund Levenmouth Demonstration ORE Catapult 100% ORE Catapult 9 Macquarie Infrastructure and Real Assets North Hoyle Innogy 100% Greencoat UK Wind 10 Siemens Financial Services ownership (OFTO) Owner Transmission Offshore 22 tender process. During 2019, one 2019, one During process. tender of acompetitive basis the on licences transmission of offshore granting the is regime OFTO of the A key part another dedicated service provider. or operator farm wind the to either contracted is (O&M) maintenance and operation owner, the by the managed are assets OFTO most Whilst infrastructure. transmission offshore financing in akey role taking are that companies capital venture and groups investment by infrastructure owned are These Diamond Transmission and Equitix. Beatty, Balfour Transmission, Blue players: Transmission Capital Partners, OFTO main by the operated to be continue 26, OFTOs Figure in show we As 25. Figure see progressed, 6were Tender Round within tenders several and granted was licence OFTO OFFSHORE WIND OPERATIONAL REPORT 2019

Sheringham Shoal offshore wind farm (Alan O’Neill of Charles Hodge Photography and Equinor) 1  2019 at 31 as December ownership 26: OFTO Figure website bit.ly/2z3BVDM For more information onthetenders, visit Ofgem’s tenders are currently underway: following The granted. are licences transmission offshore which through process tender competitive the managing for responsible is Ofgem 23 OFTO Barrow Rough OFTO Westermost OFTO Sands West of Duddon OFTO Walney 2 OFTO Walney 1 OFTO Thanet Shoal OFTO Sheringham OFTO Robin Rigg OFTO Race Bank OFTO Ormonde OFTO London Array OFTO Lincs OFTO Gateway Humber OFTO yMôr Gwynt OFTO Sands Gunfleet Gabbard OFTO Greater OFTO Dudgeon Extension OFTO Burbo Bank Transmission Tenders Transmission 25: Offshore Figure Diamond Transmission Corporation Ltd (subsidiaryof Mitsubishi Corporation)

Circuits Cable Export 1 1 2 1 1 2 2 2 2 1 4 2 2 4 1 3 2 1 Substations Offshore 1 1 1 1 1 1 2 0 2 1 2 1 1 2 1 2 1 1 Ownership % Ownership 100% International Public Partnerships 100% Dalmore Capital Ltd Capital Dalmore 100% ... Diamond 50% ... Diamond 50% Equitix 80% ... Diamond 50% 100% International Public Partnerships ... Diamond 50% 100% International Public Partnerships ... Diamond 50% 100% International Public Partnerships Equitix 80% Beatty Balfour 60% 100% International Public Partnerships Ltd Equitix 100% 100% International Public Partnerships ... Diamond 50% 100% International Public Partnerships • • • 2020 granted tobe Licences • 2019 granted Licences TENDER ROUND 5:

appointed August 2019 August appointed bidder –Preferred Rampion bidder appointed March 2019 –Preferred Extension Walney 2018 November appointed bidder –Preferred Galloper 2019 –October Bank Race IL Infrastructure 2 HICL 1 1 1 1 1 1 50% 3i Group plc Group 3i 50% plc Group 3i 50% plc Group 3i 50% ... HICL 50% plc Group 3i 50% ... HICL 50% 40% Equitix40% afu Beatty 3 Balfour 20%... 20%... 2 2 3 3 Capital Services Transmission Operator Frontier Power Frontier Power Frontier Power Frontier Investments Balfour Beatty Power Frontier Capital Services Transmission Corporation Diamond Transmission Capital Services Transmission Power Frontier Capital Services Transmission Investments Balfour Beatty Investments Balfour Beatty Capital Services Transmission Services Equitix Management Capital Services Transmission Corporation Diamond Transmission Capital Services Transmission • • 2020 appointed be to bidder Preferred • 2020 granted tobe Licences TENDER ROUND 6: OFFSHORE WIND OPERATIONAL REPORT 2019 commenced February 2020 February commenced stage –ITT ONE Anglia East 2019 July commenced stage 1–ITT Hornsea appointed December 2019 bidder –Preferred Beatrice

Services Transmission Capital O&M Provider O&M Ørsted & SPR RES RES & Distribution Transmission Power Beatty Balfour Equinor Limited Operations UK Renewables RWE RES Limited Services Investment Transmission London Array Limited Limited Services Investment Transmission & Distribution Transmission Power Beatty Balfour & Distribution Transmission Power Beatty Balfour Limited Services Investment Transmission Limited Management HV EDS Limited Wind Dudgeon Offshore RES Limited Services Investment Transmission

24 OFFSHORE WIND OPERATIONAL REPORT 2019 25 OFFSHORE WIND OPERATIONAL REPORT 2019

with just under 0.7GW of generating RWE/E.ON transaction at a glance: Figure 28: Operational and under Investment or under construction capacity. construction portfolio ownership • In spring 2018, RWE and E.ON to E.ON, with E.ON now owning GW Japanese corporate Marubeni exited announced a big asset swap. a majority shareholding of 76.8% the market by selling its shares in in innogy in exchange for giving 16 2019 saw a 40% increase in offshore the Gunfleet Sands wind farms. This • In 2019, approval was given RWE a 16.7% share in E.ON. In wind transactions on the previous year. made way for a new entrant, Japanese by all national and European 2020, as part of the overall deal, The most significant market change energy company JERA, which bought competition authorities. RWE will also receive innogy’s 14 was the merger and complex asset into Gunfleet Sands. This continues renewables and gas storage swap of German utilities E.ON and RWE. the 2018 pattern of Japanese power • In autumn 2019, RWE transferred businesses, as well as a stake This makes RWE the second biggest companies buying into UK offshore its majority stake in innogy to E.ON. in the Austrian energy company 12 owner of offshore wind farms in the projects with the intention of using that In return, it got E.ON’s renewables Kelag. RWE has founded a fourth UK with just over 1GW of generating experience in the emerging Japanese business, along with minority stakes subsidiary, RWE Renewables, capacity. E.ON has transferred almost offshore wind sector. in the German Gundremmingen and which integrates both parts of 10 all of its offshore wind assets to RWE Emsland stations. the renewables business (innogy (see opposite) but retains a direct stake Danish utility Ørsted is at the front and E.ON). in Rampion. It also owned a majority of the pack with 3.7GW of under • The offshore wind farms in the 8 share in innogy as of December 2019. construction or generating capacity. UK transferred to RWE include: • This transaction has enabled In February 2019, Ørsted entered into Robin Rigg East and West, Scroby the two energy companies, both A significant investment was made a ten year corporate Power Purchase Sands, Humber Gateway, a stake headquartered in Essen in Germany, 6 in the summer by Macquarie’s UK Green Agreement (PPA) to supply electricity in London Array and part of its to refocus: E.ON now has a clear Investment Group when it purchased from Race Bank offshore wind farm stake in Rampion offshore wind focus on energy networks and 40% of East Anglia ONE from Scottish to utility Northumbrian Water, the farm (about 0.5GW in total). customer solutions, while RWE 4 Power Renewables and parent company first of its kind in the UK. Further is becoming a broadly diversified Iberdrola. This £1.63bn transaction took announcements followed in 2019. • innogy has ownership interests power producer with a large place whilst the 714MW site was under This is a sector which will likely grow in the following UK sites: Rhyl portfolio of renewable generating 2 construction, with final commissioning as subsidy opportunity declines but it Flats, Greater Gabbard, Gwynt assets alongside a conventional due late 2020. This propelled UK Green remains to be seen if there are enough y Môr, Galloper and Triton Knoll energy generation portfolio. Investment Group to be the fourth corporates of suitable risk profile to (about 0.9GW). This didn’t change The asset swap makes RWE the 0 biggest owner of UK offshore wind farms satisfy the growth pipeline needed. in 2019 but innogy’s beneficial world’s second largest company Dec Dec Dec Dec ownership was transferred from in offshore wind, with a stated aim 2016 2017 2018 2019 German parent company RWE of being carbon neutral by 2040. Financial investors Other investors Figure 27: Transactional activities completed in 2019

Share Buyer share Asset Seller before sale Buyer after sale Value Timing Gunfleet Sands I Marubeni 24.95% JERA 24.95% Unknown Jan-19

Gunfleet Sands II Marubeni 24.95% JERA 24.95% Unknown Jan-19

Walney 1 Ampere Equity Fund 9.9% PGGM 24.8% Unknown Jul-19

Walney 2 Ampere Equity Fund 9.9% PGGM 24.8% Unknown Jul-19

East Anglia ONE Iberdrola () 100% UK GIG 40% £1.63bn Sep-19

Humber Gateway E.ON 100% RWE 100% Unknown Sep-19

London Array E.ON 30% RWE 30% Unknown Sep-19

Rampion E.ON 50.1% RWE 30.1% Unknown Sep-19

Robin Rigg East E.ON 100% RWE 100% Unknown Sep-19

Robin Rigg West E.ON 100% RWE 100% Unknown Sep-19

Scroby Sands E.ON 100% RWE 100% Unknown Sep-19 Macquarie Infrastructure Gwynt y Môr Siemens AG 10% 20% Unknown Oct-19 and Real Assets Ørsted 50% Diamond Transmission Race Bank OFTO Macquarie Capital 37.5% 100% £500.9m Oct-19 Partners Sumitomo Corporation 12.5%

Neart na Gaoithe EDF 100% ESB 50% Unknown Nov-19 Construction works at Hornsea 1 offshore wind farm (Ørsted) wind farm at Hornsea 1 offshore works Construction 26 OFFSHORE WIND OPERATIONAL REPORT 2019 27 OFFSHORE WIND OPERATIONAL REPORT 2019

in a decade – launched in September Responsible future growth Development 2019 (see bit.ly/2QXV3Je), with the pre- qualification process concluded in early In 2019, the UK became the first major Our strategic enabling actions Over the course of 2019 we worked 2020. The two-stage Invitation to Tender economy to make a legally binding programme is intended to support to define the focus of the programme portfolio and (ITT) will be progressed during 2020. This commitment to reduce greenhouse this journey, via two broad ambitions: in partnership with Department for will be followed by the Round 4 plan-level gas emissions to net zero by 2050. It • to provide high quality data Business, Energy and Industrial HRA prior to the award of rights. is widely predicted that offshore wind and evidence to advance the Strategy and Department for activities will provide a significant and increasing understanding of offshore Environment, Food & Rural Affairs; To better inform the Round 4 plan-level role in this transition, but governments, wind deployment and the along with stakeholders. Together, HRA, we commissioned five priority stakeholders and industry will need to impact on the marine and we continue to take the necessary research projects to help build a quality work together to make this a reality. As onshore environment actions to responsibly enable future The last 12 months have proven evidence base. We are pleased that illustrated by figure 29, it will be critical • to bring together all relevant offshore wind projects. another transformational year for UK a number of these have now been to balance the benefits of such a scale- parties to develop a common offshore wind, laying the foundations published with the final report set up with the pressures created in the understanding and take coordinated To stay up to date on this important for continued responsible growth. to be completed later in 2020. These environment, both offshore and onshore. actions to address challenges work, see bit.ly/3bAXnOc The year ahead promises to maintain can be viewed at bit.ly/2UAcceB that momentum. The outcome of the third Contracts The Offshore Wind Sector Deal for Difference (CfD) allocation round cemented a trajectory for the market in September 2019 heralded a turning Figure 30: UK offshore wind development pipeline and fixed offshore wind characterisation by The Crown Estate to deliver 30GW by 2030. For our part, point for UK offshore wind. It saw it included two clear commitments: the success of 5GW of projects on 1.  to undertake new leasing, and; the Dogger Bank, at prices below the Portfolio waterfall – all UK (gigawatts rounded) 2. to establish a collaborative reference prices set by Government – programme of enabling actions essentially progressing without for future growth. subsidy. When combined with projects 2050 Net Zero scenarios (75GW+) either in operation or construction, We’re pleased to say both of these a total over 19GW of capacity is (Committee on Climate Change, 2019) are advancing strongly. now committed. In addition, Round 3 projects providing 16GW of capacity are progressing to be ready for future New leasing activity allocation rounds. 40-50% of the future portfolio yet GW We concluded the plan-level Habitats Round 4, combined with 2017 to be identified within an increasingly Regulations Assessment (HRA) for Extensions projects, adds to the existing busy sea space the 2017 Extensions opportunity development pipeline. Collectively, the over the course of the 2019 (see bit. UK operating portfolio and development ly/39yUcVQ). The result is almost 3GW pipeline could total more than 45GW in of new projects alongside existing 2021, not including capacity that might operational wind farms. be enabled by Crown Estate Scotland’s leasing process. This exceeds the 40GW 2030 ‘Increased ambition’ (40GW) Offshore Wind Leasing Round 4 – deployment ambition for 2030 set by GW (Queen’s Speech, December 2019) our first major new leasing round the UK Government. 2030 Established EXTENSIONS policy (30GW) AND ROUND 

(Sector Deal, March 2019) GW Figure 29: Balancing needs in the offshore wind sector for responsible future growth

BIODIVERSITY LOW COST ZERO-CARBON ENERGY UNDER DEVELOPMENT SEASPACE USES: GW FOOD, CONSERVATION, SUPPLY CHAIN BENEFITS SECURITY, NAVIGATION ENERGY INTEGRATION COMMITTED* ONSHORE COMMUNITIES CHALLENGE GW KNOWLEDGE FINDING THE SPACE AND EVIDENCE TO DEPLOY OPERATING

*Projects under construction or that have government support on offer and recyclingand Decommissioning 28 our nation’s clean energy transition. energy clean nation’s our in role vital increasingly an to play set and turbines 2,000 to over home now waters; UK in wind of offshore progress remarkable the kick-started they Sea, North the in anywhere deployed to be first The offshore. moving energy wind in played have turbines two these role game-changing the to understate hard It’s shelf. continental UK’s the on hundreds their in installed and powerful more times four are models Current UK. the in installed turbines offshore first the and world the in turbines wind offshore powerful most the time, the at were, 4MW, they totalling turbines two With waters. UK in power wind offshore for progress of remarkable beginning the marked which project of apioneering This concluded the decommissioning Ltd. GeoServices by Fugro incident without and safely completed were works offshore the All ago. years 20 it to build used vessel same the Excalibur, the onto seabed the from lifted was farm wind offshore of Blyth monopile 17On 2019, north May the Blyth theBlyth pioneer wind turbines are decommissioned. more as future the in fashion, crucial renewable atruly in harnessed be can energy renewable that shown has farm wind offshore Blyth use. landfill to minimise of materials recycling and re-use extensive enabled have Blyth at of planning life end the into gone have that efforts the Additionally, environment. natural of the restoration and removal asset cost-effective enable can execution efficient and planning good that demonstrated project The assets. other for spares as available made and refurbished be will turbine other of the Parts facility. atraining as used and Harbour Blyth in installed will be turbines removed of the One on. lives legacy its but farm, wind offshore of Blyth end the signalled have may night the of middle the in seabed the from lifted being foundation last The stubs. foundation the to cover grout of instead materials natural to use suggestion, E.ON’s at and, cables the remove to fully agreed was It Fugro’s outstanding work. and by E.ON possible made was environment natural of the restoration full and asset of the removal complete farms; wind decommissioning of offshore the for standard high a very set also has project Blyth The OFFSHORE WIND OPERATIONAL REPORT 2019

Decommissioning works at (E.ON) 29 Dee proportion of the electricity comes comes electricity of the proportion asignificant when even steelmaking, this emits over 2 tonnes of CO 2tonnes over emits this average, On furnace. oxygen an using to steel ore iron converting production, primary is production steel Most economy. alow-carbon in unavoidable be will produced already have we materials the Re-using cement. and steel in as such production, their in involved processes chemical to the integral are or plastics, of form the in themselves products the into built either are quantities of carbon The road to Net Zero is paved with recycled steel recycled with paved is Zero Net to road The Figure 31: Maximum copper content by steel product category (Wt% copper in steel) in copper (Wt% category product steel by content copper 31: Maximum Figure to 2°C warming global limit to enough not it’s but neutrality, to carbon path of the component acrucial is energy Zero-carbon fifth the CO the fifth one- emitting (EAF), furnaces arc electric in made is steel Secondary produced. of steel tonne Source: How Will Copper ContaminationConstrain Future GlobalSteel Recycling? Daehn etal.(2017) p-d Comme rawi Dr awin ng 2 emissions of primary of primary emissions

rcial st st g ee st St l (fo ee ructur ee l (formabl rmab l plat Re inforci al steelbeam(constr le with es 1 . Large

e wit (r ef ng 2 per per rigera se

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de de rs r (c fo fo , ca Fine rma rma onc uc bi limits for steel re-use purposes. re-use steel for limits lists the maximum copper contamination 31 Figure groups. product basic most the but all for unusable becomes steel 0.15% byat weight, content constraint: amajor is contamination product requirements. Copper matches quality feedstock ensure must recycling and sorting collection, Design, planned. carefully be must process recycling However, entire the assets, particularly monopiles. decommissioned from possible as steel scrap much of as retrieval the encourages This energy. renewable of use the through to decarbonise easier and emissions-intensive, less far inherently therefore is flow steel circular Amore decarbonised. entirely almost be can steel secondary EAF, in used is sources renewable from Ifpower fuels. fossil from ne wire rete) tio tio tio ts n) n) n) ) 0.04 0. 0. 06 07 0.10 0.12 OFFSHORE WIND OPERATIONAL REPORT 2019 1 1.0°C above pre-industrial levels. Global temperatures are already limit theincrease to1.5°C. levels andtopursue efforts to below 2°Cabove pre-industrial global temperature riseto well Agreement’s goalistolimitthe It shouldbenotedthattheParis (0 OE Curren .2 CD 0– sc 0. t level 25 ra p %) 0.40 Skills 30 The 19-year-old is starting life as as life starting is 19-year-old The Suffolk. Beccles, from (right) Allen Jasmine is apprentice such One power. clean transport to needed grids electricity flexible the to maintaining farms wind building from UK; the to decarbonise of efforts line front the at will be recruits new the by 2050, zero net to achieve target ambitious an setting government With qualification. recognised anationally to gain opportunity an are and to complete years four take apprenticeships Most UK. the across communities and economies to local support providing areas, rural in are opportunities of these Many to millions. energy green to deliver network electricity the on working fitters electrical and linespersons positions including apprentice jointers, in experience and of skills arange gain recruits sees programme This future. abright have industry the entering those Ireland, and UK the decarbonise to help years five over £6bn investing company the With apprentices. new 70 around to recruit looking is Perth, in headquartered SSE, year This Apprenticeships portfolio. wind offshore operational the across underway currently initiatives many of the some highlight we section, this In future. of the recruits young the to inspire the sector, and provide apprenticeships across mobility job increase generation, next the to develop Deal Sector the and industry of the aspirations the reinforces This market. growing of the demand the to meet workforce diverse skilled, ahighly to deliver important critically it’s to grow, so continues industry the as communities coastal in created being are opportunities year. example, the For throughout sector the in heavily featured has that asubject is development Skills successful careers.” successful to forge need they skills the young people the chance to gain in apprenticeships and offering more isinvesting SSE that to see pleased really I’m so businesses, improve and lives change can apprenticeships how first-hand Iknow myself, apprentice aformer As country. this in change climate of tackling forefront the at be to opportunity isafantastic “This said: Minister, Badenoch, Kemi Former UK Government Education hands-on environment.” and achallenging in renewables, in of energy future the on working be I’ll that to think great It’s excited about. really Iam acareer in step another it’s Programme, Apprenticeship to SSE’s accepted been to have pleased really Iwas hands. my with things making and building of work, side practical to the attracted Iwas achieved, he things the and work his about talked family our in people how Seeing job. grandad’s about stories the all I heard up, “Growing said Jasmine Programme. Apprenticeship to SSE’s applying before Energy programme Skills enrolled at her local college on an an on college local her at enrolled 16, she aged school leaving After industry. car the in grandfather, who was an engineer by her inspired being after careers always been attracted to engineering has She technician. turbine a wind

OFFSHORE WIND OPERATIONAL REPORT 2019

‘Diversity in the industry’ photos courtesy of Vattenfall • sector: marine the in acareer into insights further interns our giving topics, of range awide covered projects The project. ajoint to conduct group the asked also we programme, Explorer Coast the For choice. of their project amarine-related to complete intern each We asked Cumbria. in Futures Marine and Kent in Explorer Coast 2019: in programmes internship marine two into graduates four welcomed we sector, marine the in organisations other with partnership in Working 2019 partnerships intern Estate Crown The feasible. if target ambitious a more for aiming 2030 in to 5% 9% now from sector the in workers ethnic minority and Asian of black, number the to encourage set been have targets diversity Further and university degrees. including those undertaking training feasible, if to 40% increasing women, being of employees of 33% by 2030 atarget set has sector The significant. is challenge the of 38, age workforce average an and women being workers of 16% of abaseline With workforce. inclusive and adiverse by having society modern reflect better and possible of talent pool largest the into to tap needs it that recognises sector The industry the in Diversity 31 use and carbon emissions fuel Fossil farms: wind Offshore see bit.ly/2UYtfHn see projects, these on information more For • • • Walney Marine Conservation Zone. of West in fishery creel Nephrops of a feasibility the Assessing initiatives of these impact maximise to and awareness to raise solutions innovative to recommend and Estate, Crown The within pollution plastic and litter marine to reduce initiatives and Understanding the existing practices construction farm wind offshore for methods mitigation of noise development the for drivers policy International OFFSHORE WIND OPERATIONAL REPORT 2019 (i.e. reservists)”. (i.e. to serve continue and served have who colleagues Vattenfall respect and value we that showing impact, important an have can we where area one isjust This equality. and inclusion forward driving actively itself prides Vattenfall industry. our in to acareer individuals of talented pool this introduce and forces armed actively those support leaving the isto goal our Covenant, the signing In background. amilitary from come already workforce of our “6% Covenant: to the up signed recently Limited Power Wind Vattenfall lives”. their with serve they society and economy communities, the in respect and fairness with treated be should families, their and forces, armed the in served have who or serve who those that to “acknowledge and understand far. apledge is so This Covenant Forces Armed to the up signed have operators wind offshore of UK 46% ForcesArmed Covenant

Our thanks to all those who have provided content and images for this report, in particular: Aerial Vision; Alan O’Neill (Charles Hodge Photography); E.ON; Equinor; innogy; Jasmine Allen; Natalie Smith; Ørsted; Roberg Gregory Yorke; RWE; SSE; Vattenfall.

Information sources we have used to compile data include: BEIS DUKES statistics; Crown Estate Scotland; Katrin E. Daehn, André Cabrera Serrenho, and Julian M. Allwood (2017); Global Offshore Wind; G+ Health and Safety Organisation; National Grid; Ofgem; World Forum Offshore Wind; Wind Europe.

CO2 avoided due to renewable energy This represents the carbon dioxide that would have been emitted by traditional power stations to generate electricity in the absence of renewable energy. A study of greenhouse gas emissions of the UK electricity system by R.C. Thomson (2014) demonstrated that wind power displaces coal – and gas-fired power stations, and that partial loading of fossil-fuelled power stations has an efficiency penalty of 11%. The CO2 emissions avoided by offshore wind can be calculated by using Department for Business, Energy and Industrial Strategy (BEIS) emissions statistics for ‘all fossil fuels’ and subtracting 11% to account for the induced efficiency penalty. The Crown Estate uses this method to measure the benefit of offshore wind.

Cover: View from meteorological mast at Gwynt y Môr offshore wind farm (Rory McKerrell, innogy).

© Crown Copyright 2020, all rights reserved. Ordnance Survey Data: Licence No. 100019722, thecrownestate.co.uk/ ordnance-survey-licence. Limits: Supplied by UKHO. Not to be used for Navigation.

Correct as of April 2020, unless otherwise stated.

Report designed by RF Design (UK) Ltd.

The Crown Estate +44 (0) 20 7851 5000 1 St James’s Market @TheCrownEstate London SW1Y 4AH thecrownestate.co.uk