Infrastructure Horizons: Wind A practical guide for contractors seeking to enter the onshore & offshore wind civil engineering sector. Contents

01 CONTENTS 03 INTRODUCTION 05 THE WIND LANDSCAPE 07 THE WIND SECTOR: CHALLENGES INTRODUCTION

07 THE MARKET 11 TURBINE MANUFACTURERS 15 SMALL & MEDIUM-SIZED WIND THE WIND SECTOR WIND THE

17 LEADING CLIENTS: AN OVERVIEW 18 COMPANY PROFILES A-Z THE MARKET

31 THE SKILLS CHALLENGE 32 RESOURCES RESOURCES

Infrastructure Horizons Introduction to the Toolkit

Situated at the edge of Europe’s north Atlantic archipelago, The UK is a global leader in offshore wind, and has the world’s the UK boasts the greatest potential of any European country biggest wind farms at all stages of production. Currently, the for wind power. Britain’s onshore and offshore wind sector UK has 1.86GW of offshore wind operation across 14 project has grown significantly since the turn of the century, and sites. Operation, construction, and planning of offshore wind now offers significant and diverse opportunities to civil facilities all present diverse opportunities for civil engineering engineering contractors. In order for the UK to meet its contractors to engage in this expanding market. However, 2020 renewable energy commitments, as well the over- the sector also faces cost pressures, with a Offshore Wind arching goals of achieving low-carbon growth and energy Programme Board (OWPG) due to be established by the security, further increases will be necessary in wind energy end of 2012 to oversee a target of a 30% cost reduction by deployment over the next ten years. 2020 by overseeing the UK’s offshore wind sector as a single business. The OWPG seek to minimise risk in the sector, In September 2012, UK wind farms hit an all-time high of by evaluating industry practises, and assigning solutions. power output, breaking through the four gigawatt (GW) It is hoped that this toolkit will play a part in enabling civil barrier for the first time; and National Grid predicts that engineering contractors to engage in the collaborative this record will be broken every autumn from now on, as models of engagement thus identified. increasing capacity from wind power is added to the grid This Toolkit is primarily aimed at civil engineering contractors annually. Renewables now generate just under 10 per cent who hope to win work in the wind sector, and provides of the UK’s electricity, and wind energy has become the an over-view of the key players and opportunities in the sole largest contributor to the renewables mix. Based on the industry. It outlines the challenges specific to the wind current levels of growth in the sector, renewable power as a sector that contractors will need to be aware of when whole could be providing more electricity than the nuclear bidding for work if they are to break into the sector for sector before 2016. the first time. While the toolkit has been written for the benefit of our members, CECA hopes that it will gain a wider The Department of Energy and Climate Change’s UK audience amongst those who may find its contents of use, Renewable Energy Roadmap (2011) identified renewable whatever their position in the supply chain, their level of energy as a key sector for securing the UK’s long-term experience, or their skills background.We are grateful to economic prosperity, and has declared its headline goal of CITB-ConstructionSkills for their sponsorship of this toolkit, ensuring that 15% of the UK’s energy demand is met from and of the Infrastructure Horizons series. We are indebted to renewable sources by 2020 in the most cost effective way. all those who have been involved in its preparation, whether DECC has estimated that £110bn of investment is needed by contributing to its preliminary market testing, taking part in the country’s electricity sector by 2020 if the UK is to in research interviews, or providing expert testimony to aid meet its renewable energy goals. The move to a low carbon in its preparation. CECA hopes that the Toolkit will provide a economy in the context of securing Britain’s energy security platform from which CECA members can take full advantage will require Britain to roll-out the utilisation of wind- of this emerging market, and engage in what is fast becoming generated power on an ever increasing scale. a central feature of the UK’s energy infrastructure landscape.

CECA Wind Toolkit The Wind Landscape

The Wind Sector has grown at an astonishing rate over the It is clear that both the on-shore and off-shore wind sectors last decade. Wind power is the fastest growing source of present considerable challenges to contractors seeking renewable energy in the European Union. In the next ten to break into this area of industry. The opportunities are years, the wind industry’s contibution to GDP is expected even more exciting given that the wider renewable and to increase almost three-fold, and it will act as a driver for sustainable energy sector is a relatively new industry which economic growth for the forseeable future. Despite this, it is still evolving rapidly, having expanded exponentially over is easy for contractors to see the sector as a closed shop, the last ten years. with specialist firms dominating a niche market. But this In 2012, the wind industry is set to invest £5 billion in the need not be the case, and as the sector expands there will UK economy, with projects in the pipeline to 2020 worth a be increased opportunities for contractors to bid for work in further £50 billion, and is forecast to employ an estimated the sector as the supply chain gains maturity. 90,000 people in Britain by the end of this decade. Wind The UK is the global leader for offshore wind energy, with energy currently provides enough clean, secure energy 1.4GW of operational capacity across 15 wind farms. It also to power nearly 5 million homes in the UK, and this total has more than 4 GW of installed wind capacity in operation, is set to increase to 17 million by 2020. Nonetheless, and it is estimated that onshore wind could contribute up over the past twenty years or so the wind sector has to 13 GW by 2020 – which would require an annual growth developed a complex supply chain, which includes planning, rate for the industry of 13%. According to the Department environmental impact assessment, meteorology, electricity of Energy & Climate Change, the onshore wind industry trading, turbine and component manufacturing, and was worth £548 million to the UK economy in 2011, transport and assembly. Currently, the British Wind Energy providing around 8,600 jobs - and both these statistics are Association (BWEA) lists 362 wind farms in the planning set to grow rapidly to 2020. Wind power is well on its way stage of completion, which will provide enough energy to to becoming competitive, even in a non-regulated market, power more than six million homes. This toolkit has been with development being driven by technological advances prepared to enable contractors to take advantage of this and optimised selection of sites. growth. The sector has thus evolved from a minority investment opportunity, to a technology that attracts broad-based investments across the E.U. Although a majority of “The sector has evolved wind farms consist of land-based turbines, the rate of expansion for off-shore wind generation is roughly twice from a minority investment that of onshore wind. While as of 2009, offshore wind power accounted for less than three per cent of the E.U.’s opportunity to a technology total wind power generation, forecasts estimate that the that attracts broad-based generation capacity for offshore wind will outstrip land- based wind generation by 2030. investment”

CECA Wind Toolkit Wind Energy Infrastructure Committee. The Prime Minister himself has repeated stated his support for wind generation as a vital part of the UK’s Since 2002, the Renewables Obligation has been the energy mix, promising to lead the “greenest government mainstay of support for large-scale renewable electricity ever.” As in most European countries, to plan, obtain generation, which requires electricity companies to produce permissions for and build a wind far is a long, drawn-out a percentage of their generating capacity from renewable process. Individual projects may take anywhere from two to sources, helping to bring about a five-fold increase in ten years from its initial planning to the commencement of renewable energy generation between 2002 and 2011. construction, depending on issues relating to the planning INTRODUCTION Following the Comprehensive Spending Review, the Coalition framework. Early engagement is key if contractors are to take government instituted the Renewable Obligation Banding advantage of the work available in this process. Review to achieve cost reductions in renewable electricity generation. The government’s response to this review was The Policy Landscape published in July 2012, setting out the extent of support for onshore wind projects from April 2013. The government Over the past year, a number of different policy set out the levels of financial support available through the developments have occurred with a direct bearing on the Renewables Obligation (RO) for large-scale renewable energy UK’s wind energy sector. The most significant of these was electricity generators from 2013-17. the publication by the Department of Energy and Climate Change of the UK Renewable Energy Roadmap in July 2011, Due to the current market incentive system, the Renewables which set out a headline goal of achieving 18GW capacity SECTOR WIND THE Obligation, coupled with the lower cost per megawatt from offshore wind generation by 2020 and a headline goal of large turbines, the market currently is predominantly of 13 GW for onshore generation. The UK Renewable Energy composed of large, grid-connected wind farms. The Roadmap is free to download at: http://www.decc.gov.uk/en/ Renewables Obligation, introduced by the last government, content/cms/news/edd_onshwind/edd_onshwind.aspx. requires electricity supply companies in England in Wales by law to procure an increasing proportion of their electricity The publication of this roadmap prompted the formation from certified renewable sources. of the industry-led Offshore Wind Cost Reduction Taskforce (OWCRT). In June 2012, while recognising the scale of the THE MARKET In Scotland, a separate Renewables Obligation (Scotland) challenge, the OWCRT estimated that the offshore wind cost was introduced in April 2002. In 2009, under Article 4 of the of energy can be reduced to £100/MWh by 2020 if “there is European Renewable Energy Directive (2009/28/EC), the UK sufficient project momentum, supply chain competition and was required to submit a National Renewable Energy Action stronger intra-industry and stakeholder cooperation.” Other Plan (NREAP), which set out the then government’s intention developments of note include the Localism Act 2011, which to “radically” increase the UK’s use of renewable energy. returned decision-making powers on nationally significant Following the 2010 General Election, as part of the Coalition infrastructure projects in England and Wales to the Secretary Agreement, David Cameron’s government committed to of State for Energy, and the publication of the National increasing the target for energy derived from renewable Planning Policy Framework, which aims to simplify the sources, subject to the advice of the Climate Change planning system and to promote sustainable growth. RESOURCES

Infrastructure Horizons The Wind Sector: Challenges

In 2011, the UK contributed 6.2 per cent of the EU’s total wind generation capacity approved at a local level – while wind-generated capacity, and that contribution is set larger schemes above 50 MW are approved by national to grow. While both onshore and offshore wind afford governments, smaller, locally-approved wind farm schemes contractors opportunities to win work, both types of project are a vital part of the industry. Changes to the planning laws pose different challenges. The most time-consuming part mean that in 2012 onshore capacity approval rose by just of constructing an onshore wind farm are civil engineering under 50 per cent compared to 2011. In 2011, onshore wind works such as preparing the access roads, electrical generated enough power for 2.4 million homes, and cost cabling and turbine foundations. Individual turbines, being just £6 per household electricity bill in terms of subsidies. constructed and erected on site, usually take no more Onshore wind is the cheapest and most readily deployable than two days to install. Offshore wind necessessitates a large scale renewable technology and will need to increase specialisied supply chain and the risks involved in marine over time to ensure the UK maintains its domestic energy installation. Both, however, provide opportunities to the supplies, meets its legally binding carbon commitments, contractor armed with sufficient knowledge of this growing and achieve energy security in the twenty-first century. industry. In particular, the development and deployment of concrete foundations, including both in-situ and precast Wind farms have been operating in the UK since 1991, and solutions, may offer particular opportunities for CECA advances in technology have led to a steady increase in members. turbine size. New turbines now have a generative capacity, on average, of 2.5 MW, and improvements to turbine design Onshore Wind and tower height have lead to improvements in efficiency. Onshore wind farms have proved a thorny issue for the Although the development timescale is currently around current government, with considerable variance between three years from the submission of a formal planning members of the two Coalition parties as to both their application to operation, the government have pledged desirability (in terms of aesthetics) and their efficacy (in to reform the planning system to deliver onshore wind terms of generation potential). Ongoing controversy over in a sustainable way. Recent reforms to the planning future offshore wind was quashed by the Department system have been taken to ensure decisions on projects for Energy and Climate Change in October 2012, when of national significant - above 50 MW capacity - are the Energy and Climate Change Secretary Edward Davey taken democratically accountable Ministers (for wind in reaffirmed his government’s commitment to renewables, England and Wales, this is the DECC Secretary of State). stating that onshore wind “has an important role to play Projects below 50 MW are dealt with locally according to in our energy future.” Onshore wind has a similar cost to the revised National Planning Policy Framework, which nuclear power, and is expected to be competitive with gas has been instituted to simplify local planning, strengthen by 2020 as economies of scale and increased efficiencies local participation, and prioritise sustainable development. enable more cost-effective production. In Scotland, Alex Salmond’s government have pledged to increase renewable generation to the extent that The government’s commitment is exemplified in the fact renewables work now accounts for roughly 15 per cent of that the UK is currently seeing a rise in the amount of all Scottish civil engineering activity.

CECA Wind Toolkit Total Capacity (MW) Total INTRODUCTION

Growth in the UK’s wind energy sector Offshore wind Onshore wind SECTOR WIND THE

Offshore Wind As a result of higher and more constant offshore winds, wind provides an estimated 1.5% of the UK’s electricity, and offshore wind farms are more productive. Set against the sector is projected to reach a contribution of 8% within this higher productivity are the high costs of building the next five years. offshore, which necessitates higher plant (non-turbine) costs. Historically, there have existed bottlenecks in the One unavoidable externality that impacts directly on THE MARKET offshore wind generation is the weather. Marine conditions supply chain, largely due to the relatively small number of instillation vessels, and the long queues in suppliers’ order pose specific challenges to delivery, and hence require books, arising from the relatively small scale production greater levels of investment. Thus a typical onshore wind of turbines. However, as the market has expanded over farm will cost c. €30 - €70 million, while an offshore wind the past decade, such constraints are becoming less of farm requires €1 - €3 billion, although recent improvements an issue, as the supply chain has caught up with demand. in the size and design of turbine technology has seen this As of March 2012, there were 568 installed offshore wind disparity decrease. Current technology enables offshore turbines in United Kingdom waters, totalling 1,858 MW wind turbines, usually of 3-7 MW capacity, to produce a capacity, and a further 665 turbines in construction, which household’s annual power consumption in 40 minutes, will supply 2,359 MW upon completion. Currently, offshore while onshore wind turbines (typically of 1-3 MW capacity) RESOURCES

Infrastructure Horizons takes 200 minutes to generate the same amount (based associated with building consent has necessitated large on an annual household consumption of 3,500 KWh). It project pipelines. Hence, the lower visual impact of should be noted that while off-shore wind projects require offshore wind, coupled with the limited physical space specialist contractors to construct foundations in marine in which onshore wind farms can be situated, both act conditions (with the nature of the foundations varying as a driver in regard to new offshore wind investment. according to differing soil conditions, water depth, etc.), as However, an added factor in offshore wind development much as is possible of the delivery process takes place on is the need to ensure the positioning of wind farms does dry land. not have a damaging impact on marine ecosystems, INTRODUCTION which requires detailed environmental and geotechnical Turbine Technology surveys, wildlife monitoring and seabed sampling. Although Wind turbines are usually situated in groups, either on or significant technological challenges remain, projected cost off-shore. Current technology means that modern turbines reductions for offshore wind include the serial production are able to produce power for up to 85% of the year, and of foundations and the optimisation of designs for various have a design lifespan of two decades. Planning wind farm foundation types to reduce prices. locations requires extensive calculations, including wind The Crown Estate Leasing Rounds efficiency at specific locations, above-ground altitude, and distance to residential areas. Before a planning application The Crown Estate owns virtually the entire sea bed out can be submitted, developers have to demonstrate that the to a 12 nautical mile territorial limit, including the rights SECTOR WIND THE site is environmentally acceptable, which requires a number to explore and utilise the natural resources of the UK of detailed surveys and reports including background continental shelf (excluding oil, gas and coal). The 2004 noise surveys, wildlife surveys, and landscape and visual Energy Act vested rights to the Crown Estate to license the assessments, as well as input from local stakeholders generation of renewable energy on the continental shelf – dubbed an Environmental Impact Assessment (EIA). within a Renewable Energy Zone, extending out to 200 Typically, it takes between 12 and 24 months for this work nautical miles. Today, offshore wind power contributes 1.5 to be completed, while the actual construction phase of an per cent of the UK’s electrcity supply, and this figure is on

onshore wind farm typically lasts for about nine months. the verge of increasing substantially. THE MARKET

Optimal geographic areas for wind farm installations are To date, four leasing rounds have been held by the Crown predominantly in coastal and open landscape areas, and Estate, with a fifth being planned for Northern Ireland, it is important that turbines are located relatively close which have awarded developers the rights to construct to roads and power lines, to facilitate servicing and for and operate offshore wind farms. The first of these rounds cable installation. In the UK, many onshore wind farms took place in 2000, when 18 demonstration projects with have been delayed or blocked, as the physical appearance capacity of 1.5GW were given the green light. Round 2 took of wind farms remains a politically-contested issue. Some place in 2003, when 15 projected with a total capacity of wind farms have been delayed or blocked by difficulties 7.2 GW were awarded. Rounds 1 and 2 were supplemented in securing planning permission, and the regulatory risk by a separate Scottish round, which awarded 6.4 GW of RESOURCES

Infrastructure Horizons projects in Scottish waters. Round 3 was announced in demonstrate that the site is environmentally acceptable, 2010, and is designed to create up to 25 GW of capacity which requires a number of detailed surveys and reports this decade. Unlike Rounds 1 and 2, Round 3 identified including background noise surveys, wildlife surveys, and large zones suitable for wind farms, rather than specific site landscape and visual assessments, as well as input from locations, to enable developers to adopt a more strategic local stakeholders – dubbed an Environmental Impact approach to the sites of wind farms and their scale. Assessment (EIA). Typically, it takes between 12 and 24 months for this work to be completed, while the actual The wind sector necessitates complex supply chains, construction phase of an onshore wind farm typically lasts INTRODUCTION involving a wide variety of companies responsible for areas INTRODUCTION for about nine months. as diverse as professional services, manufacturing, and of course civil engineering. Opportunities for contractors in Optimal geographic areas for wind farm installations are onshore wind vary from site to site, and according to the predominantly in coastal and open landscape areas, and size of the project. However, normally civils works required it is important that turbines are located relatively close to for onshore wind farms will include the construction of roads and power lines, to facilitate servicing and for cable wind turbine foundations, hard-standing areas adjacent installation. In the UK, many onshore wind farms have been to the turbines (which provide a stable base on which delayed or blocked, as the physical appearance of wind turbine components prior to assembly and erection), the farms remains a politically-contested issue. siting of cranes necessary to lift the turbine tower sections, THE WIND SECTOR WIND THE Some wind farms have been held up by difficulties in SECTOR WIND THE access track construction suitable for abnormal loads, and securing planning permission, and the regulatory risk the construction of an onsite control building to house associated with building consent has necessitated large electrical switchgear and metering equipment. project pipelines. Hence, the lower visual impact of offshore Turbine foundations are standardized, made from reinforced wind, coupled with the limited physical space in which concrete, and are cast on site. Recent research has identified onshore wind farms can be situated, both act as a driver in that in onshore wind 98% of development expenditure, regard to new offshore wind investment. Over its lifetime, 45% of construction expenditure, and 90% of operation a wind farm is expected to generate at least 20 to 25 times and maintenance expenditure currently occurs in the UK. the energy used in its manufacture, installation, operation THE MARKET THE MARKET Construction costs for onshore wind farms include the and decommissioning. transportation and installation of the turbine and tower An added factor in offshore wind development is the itself, the construction of the wind turbine foundation, and need to ensure the positioning of wind farms does not the construction of access roads and related infrastructure have a damaging impact on marine ecosystems, which required for the wind farm. requires detailed environmental and geotechnical surveys, Wind farm locations requires extensive calculations, wildlife monitoring and seabed sampling. Although including wind efficiency at specific locations, above- significant technological challenges remain, projected cost ground altitude, and distance to residential areas. Before a reductions for offshore wind include the serial production planning application can be submitted, developers have to of foundations and the optimisation of designs for various foundation types to reduce prices. RESOURCES RESOURCES

Infrastructure Horizons The Supply Chain Both the offshore and onshore wind sectors involve expenditure, and 90% of operation and maintenance complex supply chains, involving a wide variety of expenditure currently occurs in the UK. Construction costs companies responsible for areas as diverse as professional for onshore wind farms include the transportation and services, manufacturing, and of course civil engineering. installation of the turbine and tower itself, the construction INTRODUCTION Opportunities for contractors in onshore wind vary from of the wind turbine foundation, and the construction of site to site, and according to the size of the project. access roads and related infrastructure required for the However, normally civils works required for onshore wind farm. wind farms will include the construction of wind turbine foundations, hard-standing areas adjacent to the Broadly speaking, the wind industry’s supply chain can be turbines (which provide a stable base on which turbine divided into six categories: components prior to assembly and erection), the siting of cranes necessary to lift the turbine tower sections, • Development access track construction suitable for abnormal loads, and • Planning & Consent THE WIND SECTOR WIND THE the construction of an onsite control building to house electrical switchgear and metering equipment. Although • Turbine manufacture media attention has focussed on successful campaigns to • Balance of plant attract wind-turbine manufacturers to base their operations • Installation & Commissioning in Britain, it should be noted that for offshore wind, half of the capital expenditure on projects is spent elsewhere, and • Operation, maintenance and service. almost a third of expenditure is reserved for operations and maintenance - an area where British engineering firms can To add your company’s details to the Scottish Enterprise expect to win work. and Highlands and Island’s supply chain database for THE MARKET

offshore wind, visit http://www.scottish-enterprise.com/ In addition, a key stage of the construction process is site your-sector/energy/offshore-wind/companysearch.aspx. planning and layout optimisation. Developers of wind farms need to optimise site which both take account of regulations for sound and shadow emissions, as well as based on technical restrictions, such as turbulence activity and wind speed. Turbine foundations are standardized, made from reinforced concrete, and are cast on site. Recent research has identified that in onshore wind 98% of development expenditure, 45% of construction RESOURCES

Infrastructure Horizons Understanding the client Establishing a strategy for market entry Like any other sector, success in the wind sector is best Before making a move into the wind sector, constractors achieved by knowing your customer and wider supply should establish a specific strategy for such a diversification chain. Establishing a relationship with potential clients of your business. For each question you should consider

INTRODUCTION will allow your company to understand the culture and how your business might respond. Your response may lead INTRODUCTION expertise that will be expected in your business when to towards actions that you might need to take in order to working for companies building wind farms, both onshore deliver this strategy. and off. It will help contractors to swiftly identify which opportunities offered by the client will be suitable for your • Have you identified the particular skills or company to bid for, and what steps they will need to take capabilities that will make your business to meet the client’s requirements for the work. competitive in the wind sector, and the clients that are likely to be in need of those skills? Working with Communities • Given your experience, have you identified what

THE WIND SECTOR WIND THE As contractors are no doubt aware, there exists a vocal work opportunities that may be open to you? SECTOR WIND THE minority in Britain who are opposed to the building of wind • Do you have, or can you secure, board-level farms for aesthetic reasons. While a silent majority may commitment within your company for a move support the development of onshore wind projects, the into the wind sector? efforts of protesters can significantly delay the delivery of projecst. The installation of onshore wind requires careful • Are you able to target a specific team to target community consultation and stakeholder management work in the wind sector? Contractors should be alive to the feelings of local • Do you have sufficient funding available for communities at all stages of the construction process, THE MARKET the upfront investment required to deliver your THE MARKET and consult with clients as to their involvement in local strategy to enter the wind sector? constultation processes. • Do you have all the information required to make an informed decision on whether such a move will be successful? RESOURCES RESOURCES

Infrastructure Horizons INTRODUCTION THE WIND SECTOR WIND THE THE MARKET

The Market RESOURCES

Infrastructure Horizons Turbine Manufacturers

Turbine Manufacturers as Stakeholders Vestas The companies that supply the actual turbines for The Danish company Vestas Wind Systems A/S installed installation. While contractors may not deal directly with its first wind turbine in 1979, and from being an industry turbine manufacturers, it is worthwhile to keep abreast pioneer with a staff of just 60 in 1987, is today a global of the market, as turbine manufacturers are an important market leader, manufacturing and selling land-based and stakeholder in the sector. At the time of writing, three offshore wind turbines for electricity generation. Its core manufacturers - Siemens, Vestas, and REpower, provide business includes the development, manufacturing, sales, INTRODUCTION turbines for over three-quarters of the UK’s offshore wind marketing and maintenance of wind turbine generation. The INTRODUCTION market, while Gamesa currently holds the largest share of company has installed more than 35,500 wind turbines in the onshore turbine market. Contractors shouls, however, 63 countries. During the first quarter of 2012 Vestas passed be aware that the annual turbine market share is subject to 50 GW of installed capacity, making it one of the largest considerable variations reflecting alterations in the sorts of manufacturers of wind turbines in the world. As well as projects commissioned each year. manufacture and installation, Vestas also maintains more than 21,500 turbines with a capacity of 38,000 MW across Siemens the globe for energy and utility companies. Siemens is the largest Europe-based electronics and http://www.vestas.com/

THE WIND SECTOR WIND THE electrical engineering company, and is the largest provider SECTOR WIND THE of wind turbines and offshore grid connections to the UK. REpower The company employs around 13,000 people in Britain, including 5,000 in the manufacturing sector, posting REpower Systems SE, a Suzlon group company, is one of revenues of $.4 billion in 2011-12. Siemens has invested the leading international manufacturers of onshore and considerable in renewable skills development and research offshore wind turbines. Across the globe, the company is and development in renewable energy in the UK. The developing, constructing and distributing wind turbines company has established a new Energy Sector training for almost every terrain. The power ratings of REpower’s

THE MARKET centre in Newcastle and has located its global Centre of turbines range from 1.8 up to 6.15 MW with rotor THE MARKET Competence for offshore grid connections in Manchester. diameters between 82 and 126 meters. REpower provides

Siemens has also established R&D Centres of Excellence clients with project-specific solutions in the areas of wind for wind power at Keele and Sheffield Universities. The new farm engineering, service and maintenance, transport and manufacturing facility will produce the next generation installation as well as foundation. With more than 3,000 of turbines for offshore application and will draw on R&D employees worldwide REpower can draw on the experience provided by its dedicated Centres of Excellence for wind of having constructed and installed over 3,800 wind power in the UK. turbines. http://www.siemens.co.uk/ http://www.repower.de/en/ RESOURCES RESOURCES

Infrastructure Horizons Gamesa Mitsubishi Power Systems Europe

Gamesa is a global technological leader in the wind industry Mitsubishi Power Systems Europe (MPSE) announced which currently manages more than 18,000 MW of wind- plans to invest up to £100 million in an offshore wind generated electrity across the globe. The company has turbine R&D project in the UK under a Memorandum of production centres in the main wind markets, maintains a Understanding with the UK government in 2010. presence in the global production supply hubs of Spain and The project was hailed by the Department of Energy and China, as well as maintaining its local production capacity Climate Change as the first step towards the production in India, the US and Brazil. The company is a world leader of turbines for the next generation of offshore wind farms, in the development, construction and sale of wind farms, which announced plans to provide grants of up to £30 having installed over 5,000 MW and boasting a portfolio of million to support the project. 25,000 MW in Europe, America and Asia. A group company of Mitsubishi Heavy Industries Ltd, MPSE Gamesa has had a presence in the UK wind market is likely to become a leading supplier of turbines to the UK since 2005. The company has established its global hub market over the coming years. MPSE is at the forefront of offshore business in the UK, a research and development the development of MHI’s offshore-specific 5-7 MW wind centre in Glasgow. It has also pursued a Memorandum turbines. MPSE was set up in 2007 to bring together the of Understanding with the Port of Leith as its British Japanese giant’s technology and expertise in a locally-based manufacturing base, and has established its global offshore business covering Europe, the Middle East and Africa. The wind headquarters in London. company is a one-stop shop for the supply and servicing The company has its own vertically integrated wind turbine of advanced energy technology including wind turbine design and development capacity, covering the entire technology.The company have offices in Leeds, Glasgow process of conception, manufacturing, assembly, logistics, and Edinburgh in addition to their London headquarters. installation, commissioning and maintenance of wind generators. In July 2012, Gamesa signed its first UK turbine http://www.mhips.com/ supply deal with RES, to deliver 12 G52-850kW machines for Meikle Carewe Wind Farm in Aberdeenshire, Scotland. In 2010-11, Gamesa secured the largest market share for onshore wind turbines in the UK, providing turbines for 26 per cent of all onshore capacity commissioned in that year.

http://www.gamesacorp.com/en/gamesaen/

CECA Wind Toolkit Nordex UK Ltd

Founded in 2002, Nordex UK Ltd has its headquarters in due to the need “to be able to subcontract infrastructure Edinburgh and is part of the German-based Nordex group, work on roads, cabling, etc., as well as work with other which has subsidiaries in Europe, China and the US. Nordex suppliers such as crane companies. Creating that supply UK Ltd is well established as one of the major players in the line locally and forming good partnerships also helps us win Scottish renewables sector. follow-up business.”

With the serially-produced multi-megawatt wind http://www.nordex-online.com/en/ INTRODUCTION turbines Nordex N90, N100 and N117, Nordex supplies high-efficiency wind turbines for offshore wind. In 1995, Areva they developed the first megawatt system in the world, and in 2000 developed the most powerful series wind The French company Areva announced plans to build a wind turbine in the world, the N80/2500 kW. As developers and turbine factory on the east coast of Scotland in November manufacturers of wind turbines, Nordex concentrates on 2012. The Scottish site will be Areva’s third European its core competencies of technical design, the development offshore turbine plant, in addition to a planned plant at of rotor blades with a length of more than 58 metres and Le Havre in northern France and its existing factory at in the integrated electrical and control technology for wind

Bremerhaven in Germany. SECTOR WIND THE turbines. The Scottish factory will manufacture the company’s 5 Today, more than 5,000 Nordex wind turbines with a MWe turbines for UK offshore projects, while the Le Havre total rated output of more than 7,800 MW are already plant will supply more southerly UK projects, in addition to operational in 24 countries of the world.The company covering the European market. Although the company is has been responsible for Scottish wind energy projects primarily known for its work in the nuclear sector, Areva has totally more than €250 million. It has a track record of been active in the wind sector since 2004 and is Europe’s involvement in 15 individual wind projects in Scotland, second-largest offshore wind industry player. It is expected

varying in size from a single turbine located in the Orkneys to bring considerable experience and expertise to the UK THE MARKET to wind farms in the Borders and near Inverness comprising offshore turbine market. up to 25 turbines. Nordex has DIN ISO 9001 certification for the planning, delivery, installation and commissioning of http://www.areva.com/ all electrical and technical automation systems as well as for the infrastructural measures required for wind turbines. Graham Bocking, director and company secretary of Nordex UK, has said that in addition to creating a niche for Nordex in the Scottish market, the company believes “it is important to create a good relationship with local suppliers” RESOURCES

Infrastructure Horizons Small & Medium-Sized Wind

Since 2005, almost 20,000 small and medium-sized would likely spur growth in the roll-out of smaller turbines wind turbines have been deployed in the UK. Although across the UK. the capacity produced by small and medium sized wind installations pales in comparison to larger onshore projects Opportunities for civil engineering contractors in the or offshore wind generation, the small and medium-sized small and medium-sized wind sector may include site wind sector represents a growing market that will provide preparation, installation, training and maintenance - whther contractors will increased opportunities on a local level. in farms, rural properties, urban settings, businesses or The UK market for small and medium wind technology was community projects. INTRODUCTION INTRODUCTION worth around £50 million to the economy in 2011, and is expected to triple in size, as well as delivering substantial For a list of MCS approved products and installers, and manufacturing export revenue. information on how your company can gain accreditation, visit www.microgeneration.org. Typically standing between ten and fifty metres tall, small and medium sized wind turbines generate between 1.5 kW to 100 kW of electricity. In April 2010, the UK government Wind Energy Network announced a Clean Energy Cashback scheme, also known as ‘Feed-in Tariffs’, which for the first time enabled Contractors may wish to add their company to the UK’s

THE WIND SECTOR WIND THE consumers to reduce their carbon omissions by generating wind sector supply chain register. This can be done by SECTOR WIND THE their own energy by installing wind turbines. The scheme visiting:http://www.windenergynetwork.co.uk/supply- guarantees 20 years of green revenues for the owners of chain-register/. small and medium-sized wind turbines, promising a return on investment within 3-8 years. Small and medium sized turbines are subject to planning permission. Currently, small turbine proposals are determined within 4-6 months, while medium-sized turbines take 8-12 months. THE MARKET THE MARKET Small and medium sized turbines in the UK are subject to the industry-led and industry-funded Microgeneration Certification Scheme (MCS), an independent scheme supported by the Department of Energy and Climate Change which was launched in 2008. MCS certifies microgeneration schemes and installation companies to ensure the highest standards for the consumer, and covers all electricity generating technologies with a capacity of up to 50kW. In its 2011 Microgeneration Strategy, DECC noted that increased availability of more MCS certificated turbines RESOURCES RESOURCES

Infrastructure Horizons Leading Clients: An Overview

According to a June 2012 survey for The Independent itself to reflect the changing face of the UK’s wind sector newspaper, 68% of those surveyed believed new wind and civil engineering contractors’ role within it. farms are “an acceptable price to pay” for greener energy in Some of the leading clients in the wind sector are the future. With such levels of public support, coupled with household names, while others are less known. This section the government’s legally-binding carbon commitments, seeks to set out the ‘big hitters’ in the industry and, where it is clear the wind industry is one sector where growth possible, detail future projects that may be of interest to is all but guaranteed - a growth market that will present members. opportunities for new work for contractors of all sizes. As Through periodic revision of the toolkit, CECA plans to a rapidly evolving sector, the pace of change in Britain’s keep it as up-to-date as possible, and would value member onshore and offshore wind energy market is considerable. feedback on the project. As part of this process, CECA is The UK’s wind energy supply chain displays considerable seeking to found a dedicated renewables working group variation, ranging from cutting-edge technological research to monitor relevant issues in the sector. Full details of and development to the more every-day provision of site forthcoming major infrastructure projects, including infrastructure, such as access roads or sub-station buildings. both offshore and onshore wind projects, are available Early contractor involvement is of paramount importance via HM Treasury’s Infrastructure and Construction for delivery at all stages of the planning and construction of Pipeline, accessible at: http://www.hm-treasury.gov.uk/ wind generation facilities, be it with turbine manufacturers, infrastructure_pipeline_data.htm. If CECA members would concrete suppliers or the clients themselves. like to offer their input to the Wind Energy Toolkit as an This toolkit has been prepared to give contractors a ongoing process, please contact CECA director of external snap-shot of the sector at a particular moment in time. affairs Alasdair Reisner on 020 7340 0450 or e-mail CECA does not claim the toolkit to be an encylcopedic [email protected]. or exhaustive depiction of the entire wind industry, but a starting point for contractors who are seeking to enter this new and growing market for the first time. “The UK is well placed to seize the It thus gives details of those companies who are currently investing in the UK’s wind sector, which by the nature of benefits of a transition to a low the industry will change over time, and omits leading global players - such as BP and Shell - who have chosen not to carbon economy, boasting the invest in Britain’s wind energy infrastructure. However, largest single market for offshore the dizzying pace of change to the sector, in particular unlocking the potential of offshore wind, means that the wind in the world and a strong landscape is continually changing. The rate of change for offshore wind, for example, will require development on a engineering heritage” - Business similar scale to that seen following the North Sea oil boom of the 1960s -1980s. It thus vital that the Toolkit evolves Secretary Dr. Vince Cable

CECA Wind Toolkit Banks Renewables

Who are they? Banks Renewables is part of the Banks Group, which was Contact established in 1976 and has experience of delivering Head Office schemes in energy, property and energy from waste. The Inkerman House group has achieved a 85% planning success rate across St. John’s Road all of its business areas. Banks Renewables identifies new Meadowfield renewable energy projects. Its development team takes Durham projects from inception to completion, handling all aspects INTRODUCTION DH7 8XL of the planning and delivery process. Scottish Office The company successfully obtained planning permission nd and constructed the largest onshore wind farm in north 2 Floor, Block C east England, the West Durham Wind Farm, where 12 Branson Gate 2MW turbines generate enough electricity to power Leechlee Road approximately 13,400 homes. As of 2010, Banks Hamilton Renewables’ portfolio included a combined capacity of Lanarkshire 24MW operational wind generation, 26MW capacity ML3 6AU of projects in pre-construction, a combined total of SECTOR WIND THE 72MW in the planning stages, and more than 200MW in Midlands Office development. The group’s pipeline of development projects 31 Lindrick Way contains 300 MW capacity of projects seeking consent. Barlborough Links Chesterfield Recently, the company’s plans for a new £7.5m wind farm Derbyshire to the south east of Heysham were approved by Lancaster S43 4XE City Council’s planning committee. The three-turbine Heysham South wind farm will produce enough electricity www.banksgroup.co.uk THE MARKET

to power 4,200 homes. During the site preparation and construction phases of the project, local firms will be able to tender for contracts linked to all aspects of the wind farm’s development, including for construction and materials supply. RESOURCES

Infrastructure Horizons Centrica Energy

Who are they? One of the ‘big six’ energy suppliers in the UK, Centrica an investment decision is expected in early 2013. In 2012, Energy has committed to significant investment in the Centrica Energy announced the formation of a joint venture development of renewables assets. Including the possible with DONG Energy – called Celtic Array – to develop Irish involvement of investment partners, Centrica anticipates Sea Zone wind farms. spending an estimated £3.5 billion on its current portfolio of projects alone. Although the company’s development strategy is

focused on larger offshore projects, it also has interest INTRODUCTION The company has interests in two onshore wind farms, in two onshore developments in Scotland. In 2004, it has three operational wind farms offshore, and are in the acquired its first onshore wind farm, Glens of Foudland, in process of planning three much larger offshore projects. Aberdeenshire, which has 20 1.3 MW turbines. Centrica Together, Centrica’s offshore wind farms could meet Energy also has a 50% stake in the 72 MW Braes of Doune the annual electricity needs of more than a million UK wind farm in Stirlingshire, which is jointly owned with households. Scottish and Southern Energy, and which consists of 36 2 MW turbines. The company’s first involvement in offshore wind was in partnership with DONG Energy in the Barrow Offshore Contact Wind farm (BOW), which lies 7km off the coast of Cumbria, SECTOR WIND THE Centrica Energy and which has been generating electricity since 2006. Since Millstream then, the company has built the Lyn and Inner Dowsing Maidenhead Road (LID) wind farms, which are 5km-8km off the Lincolnshire Windsor coast, and are a joint venture with EIG, operating under the Berkshire company name GLID. The Lynn and Inner Dowsing wind SL4 5GD farms have a combined capacity of 194MW. T. +44 (0) 1753 494 000

Currently under construction to the east of the Lynn and THE MARKET

Inner Dowsing wind farms, the Lincs wind farm will be Centrica Energy (Scotland) Centrica Energy’s biggest wind farm project to date, with IQ Building an estimated capacity of 270 MW. Built in partnership with 15 Justice Mill Lane Siemens Project Ventures and DONG Energy, the Lincs wind Aberdeen farm included the installation of a 2,000 tonne offshore AB11 6EQ substation on an 800 tonne support structure. www.centrica.com In July 2012, Centrica Energy received consent for the Race Bank Offshore Wind Farm, situated 27km off the Norfolk and Lincolnshire coasts. Following a cost review, RESOURCES

Infrastructure Horizons Community Windpower

Who are they?

Community Windpower Ltd was formed in 2001 and is an Contact independent, UK-based renewable energy company which Community Windpower Limited, specialises in the design, development, construction and Godscroft Lane, operation of wind farms. Frodsham, The company has a total 750 MW of wind-generated power Cheshire, in operation, under construction and in development in the WA6 6XU UK, the majority of which are in Scotland. Since 2006, the company has invested over £100 million in its three Scottish wind farms. E-mail: [email protected] The company’s Dalry Community Windfarm in North T: + 44 (0)1928 734544 Ayrshire was commissioned in 2006 and generated enough www.communitywindpower.co.uk power for over 12,000 homes in its first year of operation, around 57 GWh. Aikengall Community Wind Farm near Dunbar, East Lothian, was commissioned in March 2009 and is now in full operation generating 48 MW of clean, green electricity. Millour Hill Community Wind Farm, an 18 MW scheme adjacent to Dalry Community Wind Farm was commissioned in May 2012. Community Windpower’s fourth project, Calder Water Community Wind Farm near Strathaven in South Lanarkshire, is due to commence construction and will comprise of 13 turbines with an installed generating capacity of 39MW. In summer 2012, planning permission was granted for the company’s fifth project, Sneddon Law Community Wind Farm, near Galston in East Ayrshire with 15 turbines and a capacity of 50 MW. Once planning permission has been granted for a project, Community Windpower employs local contractors to construct and lay the associated infrastructure such as access tracks, foundations, electrical cables and substation buildings, as well as to assemble the wind turbines with the turbine engineers.

CECA Wind Toolkit DONG Energy

Who are they? Over twenty years of experience of offshore wind farm DONG Energy’s Wind portfolio in Great Britain includes: development makes DONG Energy a market leader in In production: offshore wind power. Barrow offshore wind farm (90 MW) DONG Energy is Denmark’s largest power producer, which - http://www.bowind.co.uk/ operates power production facilities in Germany, Sweden, Burbo offshore wind farm (90 MW) The Netherlands, Norway, as well as the UK. DONG built - http://www.dongenergy.com/burbo/Pages/index.aspx and operated the first large scale offshore wind farm in the world, the 160 MW Horns Rev, which ceased production in Gunfleet Sands 1 offshore wind farm (108 MW) 2005. The majority of the company is owned by the Danish Gunfleet Sands 2 offshore wind farm (65 MW) state (76.49%), and at the end of 2011 it employed a total - http://www.dongenergy.com/gunfleetsands/Pages/index. of 6,098 people. aspx Walney 1 offshore wind farm (184 MW) The United Kingdom is one of DONG Energy’s primary Walney 2 offshore wind farm (184 MW) markets for wind energy. Currently, it has four offshore wind - http://www.dongenergy.co.uk/en/uk_business_activities/ farms in operation, and a strong pipeline of projects under renewables/windfarms/pages/walneyoffshorewindfarm.aspx construction and development. The company operates Barrow and Burbo Bank offshore wind farms, and is to Under construction: construct the Walney Island and Gunfleet Sands 1 and 11 Lincs offshore wind farm (270 MW) wind farms, off the coast of Cumbria and the Thames London Array offshore wind farm (630 MW) Estuary respectively. It is also the biggest partner in what West of Duddon Sands offshore wind farm (389 MW) will be, on its 2012 completion, the world’s largest offshore wind farm, the London Array. Contact DONG Energy currently has 1,035 MW of onshore and DONG Energy UK offshore wind power in operation, and 1,316 MW under 33 Grosvenor Place construction. In 2011, its income from wind power was Belgravia €579 million, and it is on course to reach its target of a London minimum wind capacity of 3,000 MW by 2020. Its stated SW1X 7HY aim in the wind sector is to strengthen its project pipeline, England industrialising and optimising processes in the construction Tel. +44 20 7811 5200 and operational phase, and entering partnerships and Fax +44 20 7811 5298 sell-offs to focus on offshore wind. [email protected] [email protected]

CECA Wind Toolkit EDF Energy Renewables

Who are they? EDF Energy is one of the UK’s largest energy companies, and Contact its largest producer of low-carbon electricity, generating EDF Energy Renewables around one fifth of the UK’s electricity and employing Endeavour House around 15,000 people. Victory Way EDF Energy develops, builds and operates wind farms in the Doxford Business Park UK through an affiliate company, EDF Energy Renewables. Tyne and Wear INTRODUCTION Its parent companies, EDF Energy and EDF Energies and SR3 3XL EDF Energies Nouvelles, already have 325 MW of on and offshore projects in service or in advanced stages Email: [email protected] of development across the UK. EDF Energy Renewables To add your company’s name to EDF’s list of interested currently operates 20 onshore wind farms in the UK, with contractors, visit http://www.edf-er.com/Suppliers/index. a total installed capacity of 268,000 kilowatts (kW). The htm. company aims to add a further 260,000 kW of capacity by mid-2013, and to operate up to 1.2 million kW by 2020. THE WIND SECTOR WIND THE Currently the company is also developing Teeside Offshore Wind, which has been given the green light by the Department for Business, Enterprise and Regulatory Reform (BERR). The proposed site for this wind farm is 1.5 km from the coast, between the mouth of the river Tees and the town of Redcar, Teeside, and it will consist of 30 turbines capable of powering approximately 60,000 homes.

In April 2012, EDF Energy formed a joint venture with THE MARKET

renewable energy company Eneco to develop the Navitus Bay Offshore Wind Project to the west of the Isle of Wight. The proposed development of the 76 square-mile site could deliver between 900,000 and 1.2 million kW of generating capacity, enough to fulfil the needs of between about 615,000 and 820,000 typical households. As of late 2012, EDF Energy is awaiting confirmation of nine proposed onshore wind facilities in Great Britain, with an average generating capacity of just over 18.5MW. RESOURCES

Infrastructure Horizons E.ON

Who are they? E.ON, a German company, is one of the top-ten wind power E.ON’s stated aim is to bring online one new offshore wind operators in the world. In Europe and the US it has more farm every 18 months, to reduce installation for offshore than 70 onshore wind farms, with a combined capacity of costs by 40 percent by 2015, and to reduce energy in over 2.8 GW. In 2010, it commissioned 46% of all new onshore wind costs by 2015. The company boasts more offshore wind installations in Europe, and the following than 20 years experience in the onshore wind sector, which year was awarded a Global Energy Award in the category makes up the largest part of its renewables portfolio. In the Green Power Producer of the Year. In Britain, the company UK, E.ON runs one of Britain’s largest offshore wind farms, invested in its first wind farm in 1991, and now operates 21 Robin Rigg in the Solway Firth, off the coast of Scotland. Its wind farms, both on and offshore. 60 turbines produce enough power to supply c. 170,000 Over the next five years, E.On plans to invest €7 billion homes with electricity. The construction of Robin Rigg worldwide to expand its renewables capacity. More than €2 began in 2007, and the project was completed in 2010. billion of this figure is for the construction of three large E.ON is currently in the process of installing its fifth UK wind farms in the North Sea and Baltic Sea. Its stated offshore wind farm, the Humber Gateway. Located 8km off ambition is to commission a new offshore wind farm every the East Yorkshire coast, just north of the Humber estuary, 18 months, at the same time significantly reducing the Humber Gateway will have 73 turbines, with an installed costs of building and operating these assets, helping to capacity of up to 219MW. It is due to be commissioned in make the sector increasingly competitive. 2015. A market leader in combined heat and power (CHP), E.ON E.On’s Responsible Procurement Policy is available at: http:// is one of the UK’s leading green generators, with 21 wind www.eon-uk.com/E_ON_Responsible_Procurement_ farms and the UK’s first wave power generator. Currently, E. Policy_2007-03-14.pdf. ON has around 1,500MW of renewable capacity under development, and an offshore wind project pipeline of more Contact than 3,100 MW in European waters. E.ON E.ON, in co-operation with DONG Energy and Masdar, is Westwood Way currently building the world’s largest offshore wind farm, Westwood Business Park the London Array. Once completed, the London Array is Coventry projected to have a total capacity of 1,000 MW, and will United Kingdom produce enough energy to meet the average annual needs CV4 8LG of an estimated 750,000 UK households. The London Array, Tel. 02476 424 000 comprising some 175 wind turbines, two offshore substations, one onshore substation and nearly 450km of Fax. 02476 425 432 offshore cabling, is spread across an offshore area of www.eon-uk.com 100km2.

CECA Wind Toolkit Partnerships for Renewables

Who are they? Partnerships for Renewables was set up by the Carbon Trust Contact in 2007 to develop, construct and operate renewable energy London Office projects, primarily on public sector land. From its foundation, its target was to build 500MW of operational Partnerships for Renewables on-shore wind capacity, composed primarily of 3-5 MW 12 Melcombe Place projects - enough to supply 245,000 homes with electricity. London

NW1 6JJ INTRODUCTION In 2011/12, Partnerships for Renewables secured its first planning permissions, and the company entered lease T. 0800 731 7395 option agreements with both public and private sector Edinburgh Office partners on a portfolio of sites with the potential to host the majority of its 500 MW target capacity. Partnerships for Renewables Westpoint Focused on a development process tailored to the specific 4 Redheughs Rigg needs of the public sector, Partnerships for Renewables now South Gyle provides a way for public sector bodies and private Edinburgh landowners to access the economic and environmental

EH12 9DQ SECTOR WIND THE benefits associated with renewable energy and contribute towards the fight against climate change without diverting T. + 44 (0)131 338 6995 resources away from frontline services or core business activities. http://www.pfr.co.uk/ Partnerships for Renewables maintains a local content policy, and aims to use local suppliers and services wherever possible during the construction and operational phases of its projects. Currently, it has 19 onshore wind projects in THE MARKET developments, has submitted planning applications for a further 8 sites, and has been granted consent for 3. Partnerships for Renewables is currently working with a variety of public sector bodies and private landowners across the UK including the Forestry Commission, British Waterways, the Environment Agency, the Coal Authority, Ipswich Borough Council, the University of Reading, Caerphilly County Borough Council and Clackmannanshire Council. RESOURCES

Infrastructure Horizons RES

Who are they? RES (Renewable Energy Systems Holding Ltd) is one of the The company has plans to invest between £1.5 billion and world’s leading renewable energy developers working across £1.7 billion annually in energy infrastructure in the period the globe in developing, constructing and operating up to 2015, and in 2011 invested £852.3 million in renewable generation projects, with a portfolio of low- renewable generation, the larger part of which was invested carbon energy technologies and offering a range of services in the Clyde, Griffin and Gordonbush onshore wind farms. to meet demand from the industrial, public and commercial RES has a subsidiary – RES Offshore – which offers sectors on all scales. integrated development, engineering, construction and INTRODUCTION RES has been an established presence at the cutting edge of O&M services for utility-scale renewable energy projects. the wind energy industry for more than twenty years. Its RES Offshore seeks to offer clients maximum flexibility by core activity is the development, design, construction, breaking down project into a number of discrete and financing and operation of wind farms across the globe. It sequential phases, and undertaking some (or all) of them as operates more than 5GW of wind generation capacity, and a separate package of work. RES Offshore is currently has several thousand megawatts under construction and in involved in the construction of a 270MW at Lincs (CHECK) development. As well as delivering wind energy projects for for Centrica, is providing development support, engineering others, RES is also an independent power producer, owning and project management for the 620MW Race Bank, and operating a growing portfolio of wind farms across the currently in pre-construction, and is engaged in three SECTOR WIND THE world, which currently totals more than 700 MW. offshore project in Britain and France. Of these, the most significant is the R3 Irish Sea Zone, due to produce 4,200 RES’s first wind generation project was Carland Cross in MW capacity, and for which the company has been Cornwall, which begin operating in 1992, and was the UK’s providing consent management, development support and second wind farm nationwide. Since then, it has constructed engineering services for Celtic Array Ltd. a substantial portfolio of onshore wind farms, in France, the USA, Sweden and Scotland, and is currently involved in the Contact construction of an offshore wind farm off the coast of

Lincolnshire. The company manages all aspects of wind Renewable Energy Systems Ltd THE MARKET

farm operations, including day-to-day site management, Beaufort Court remote monitoring and analysis, maintenance planning, and Egg Farm Lane commercial and administrative support through the project Kings Langley life-cycle. It is RES’s policy to use local contractors, for Hertfordshire example for civil engineering works, “wherever possible.” WD4 8LR Similarly, RES seeks to help local communities and Tel : +44 (0)1923 299 200 economies benefit from the development of wind farms in their area through community benefit schemes. Currently, Email: [email protected] RES has 27 onshore wind projects in development http://www.res-group.com/ throughout the UK, which will have a capacity of 569 MW. RESOURCES

Infrastructure Horizons REG Windpower

Who are they? REG Windpower was among the pioneers of the UK’s Contact renewable energy industry, having started life as the Bath Office Cornwall Light and Power Company in 1989. The company is now one of the country’s leading developers of small to REG Windpower medium-sized wind farms, and in 2010 changed its name to Suite 2 reflect its expanding nationwide business. The Coach House

Kelston Park INTRODUCTION The company owns and operates 11 wind farms across the Bath UK, and have offices in Truro and Bath. in addition to its Avon. operational portfolio, the company has two wind farms BA1 9AE under construction representing 10 MW capacity, six wind farms representing a combined 32.5 MW capacity awaiting T: +44 (0) 1225 928 000 construction, and a further 15 projects in development. REG Windpower is a subsidiary of Renewable Energy Truro Office Generation Group. The Group’s main business is the REG Windpower development, construction, financing and operation of

Richmond Villa SECTOR WIND THE onshore wind farms in the UK, and the generation of power Edward St from recylcling used cooking oil with its subsidiary REG Truro Bio-Power. Cornwall In 2009, REG announced its objective of committing £100 TR1 3AJ million to new UK onshore renewables projects over a three year cycle, and by the end of 2012 the company had T. +44 (0)1872 226 930 commissioned 18.5MW of new wind generation globally, closing the year with 51.15 MW of wind projects in E-mail: [email protected] THE MARKET operation. The company is awaiting planning decisions on almost 70 MW of new projects, and anticipate submitting http://www.regwindpower.co.uk/ for planning permission for a further 70 MW of projects in the coming year. 2012 also saw the company widen the geographic spread of its operations in the UK, with two projects in south Wales having entered the planning system, two in Scotland have advanced into the public domain, with applications expected in 2013. RESOURCES

Infrastructure Horizons RWE Innogy

Who are they? In 2008, RWE npower renewable became part of RWE partner in the Greater Gabbard wind farm, 25-47 km off the Innogy, one of Europe’s fastest-growing renewable shore of England’s west coast, in depths of 24-34m. Greater generating companies, which operates onshore and offshore Gabbard is due to commence generation in 2012, while the wind farms in Germany, Great Britain, Spain, Poland, the first generation at Gwynt y Môr will occur in 2013, with full Netherlands and Italy. RWE Innogy was founded to bundle generation commencing in 2014. renewables assets and competencies across RWE Group, Significantly, RWE Innogy has built its own two installation with a focus on capacity growth in mature renewable vessels for constructing offshore wind farms. The company technologies, such as wind, biomass and hydro generation. has secured a development licence as part-owner of Dogger RWE has operated onshore wind farms for more than a Bank (a projected 9,000 MW), sited off the Yorkshire coast. decade. As of December 2011, of the group’s 3.7 GW of Currently, RWE Innogy has a total of 28 onshore wind operational renewables assets, 35% are located in the UK. projects in Great Britain in development, and 2 offshore Onshore wind generation accounts for 335 MW capacity, wind projects – the 1,500 MW capacity Atlantic Array with another 157 MW under construction, while the facility in the outer Bristol Channel, and the 1200 MW company has 150 MW of offshore capacity in UK waters, Triton Knoll wind farm, 33km off the Lincolnshire coast. with 598 under construction.

Continent-wide, RWE Innogy operates an installed capacity Contact of 1.757 MW wind power, including 150 MW derived from offshore generation. In the UK, RWE Innogy operates RWE npower renewables onshore wind farms through RWE npower renewables, Auckland House currently boasting an installed capacity of over 316 MW. At Lydiard Fields the time of writing, it has 25 onshore wind farms and 2 Great Western Way offshore wind facilities in operation in Britain, and its Whitehill Way headquarters are based in Swindon. The company has Swindon identified offshore and onshore wind generation as a key Wiltshire technology for capacity growth, reflected in the investment SN5 8ZT of more than €1 billion per annum invested in renewables activities across the group. In the last two years, RWE have T+44(0)8456/720090 invested £1 billion in renewables in the UK, predominantly in the wind sector, whihc has resulted in contractss worth F+44(0)8456/720050 more than £700 million being placed with UK companies. www.rwe.com Currently, RWE Innogy has a number of offshore projects under construction, including Gwynt y Môr, located 13 km off the coast of North Wales in depths of 12-28m, and is a

CECA Wind Toolkit ScottishPower Renewables

Who are they? ScottishPower Renewables is part of Iberdrola, the world’s Following a competitive bidding process, ScottishPower largest wind energy developer, with an operating portfolio Renewables was awarded exclusive rights to investigate the of over 14,000 megawatts (MW) as of June 2012. feasibility of new onshore wind energy project within the ScottishPower Renewables is responsible for progressing National Forest Estate in the south west of Scotland. The Iberdrola’s onshore wind and marine energy projects in the National Forest Estate is owned by the Scottish UK and Ireland, and offshore windfarms throughout the government, and managed by the Forestry Commission world, managing the development, construction and Scotland. The company is now engaged in a detailed operation of all (current and potential) projects. The feasibility study in order to fully establish wind farm sites in company is the largest developer and generator of wind the area, and determine the size and timescale for future power in the UK, with 930 MW of installed capacity at the developments. end of 2010, and a pipeline of more than 7,400 MW capacity. Contact In 2011, ScottishPower Renewables became the first UK ScottishPower Renewables developer to reach an installed generating capacity of 1,000 Cathcart Business Park MW. With a pipeline including 10,000 MW of offshore wind, Spean Street and the 10 MW world-first tidal energy array in the Sound Glasgow of Islay, ScottishPower Renewables is firmly committed to G44 4BE the responsible development of renewable energy. T: 0141 568 2000 ScottishPower Renewables currently operates 24 onshore [email protected] windfarms in the UK and Ireland, with an installed capacity of over 1,000 MW. Its flagship onshore project is at http://www.whiteleewindfarm.com/home?nav Whitelee, located on Easlesham Moor, just 20 minutes from central Glasgow. The windfarm has 140 turbines which can generate 322MW electricity, and is Europe’s largest onshore wind installation. In addition, the company currently has six onshore wind farms that have been consented or are under construction, and a further twelve onshore projects in various stages of the planning process.Decommissioning ScottishPower Renewables currently has one offshore wind farm under construction, West of Duddon Sands, which is located 14km southwest of the Barrow-in-Furness coastline, in a joint development with DONG Energy.

CECA Wind Toolkit SSE Renewables

Who are they? SSE Renewables is a subsidiary of Airtricity, which was Contact founding in Ireland in 1997 and is now owned by Scottish England: and Southern Energy (SSE), the UK’s second largest generation business, with a total capacity of just over SSE Renewables Developments UK Ltd 11,860 MW. The company is the largest generator of 55 Vastern Road renewable electricity in the UK, and is a leading player in Reading international wind farm development. In partnership with RG1 8BU RWE Npower renewable, it is currently building the Greater Gabbard offshore wind farm off the coast of Suffolk. Greater England & Wales Onshore Development Office Gabbard is the world’s largest offshore wind farm under Victoria Terrace construction, and is due for completion this year. St. Philips Bristol As of 2011/12, SSE boasted 3,020MW of renewable energy BS2 0TG capacity - comprised of offshore wind, onshore wind, hydro and dedicated biomass – in operation in the UK and Ireland. T. +44 (0) 117 316 0100 Of this capacity, 43% is in onshore wind, and 6% in offshore wind. In March 2011, SSE had 910MW of renewables Scotland: generation in operation, 710MW in construction or pre-construction, and over 300MW with consent for SSE Renewables development. 1 Waterloo Street In January 2012, SSE announced that ongoing progress in Glasgow the construction of its large capital projects meant that its G2 6AY onshore wind capacity exceeded its conventional hydro- T. +44 (0)141 224 7248 ‎ electric capacity for the first time. It now has over 1,300 MW of onshore wind capacity for the first time, up from just 40 MW six years ago. Progress at the Greater Gabbard http://www.sse.com/Home/ and Walney offshore wind farms has taken SSE’s net offshore wind farm capacity to 187MW. The principle contractor for the project is the American giant Fluor, while the turbines themselves are being manufactured by Siemens. Currently, SSE Renewables has 40 onshore wind projects, complemented by 7 offshore projects.

CECA Wind Toolkit Vattenfall

Who are they? Nuon Renewables, which has been operating in the UK Vattenfall is continuously exploring possibilities for on- and since 2003, adopted the name of its parent company offshore wind power countries in a number of countries, Vattenfall in January 2012. Vattenfall is one of the world’s including the UK. In partnership with ScottishPower leading win power developer and operators, and is currently Renewables, Vattenfall was awarded one of the zones in the building nine wind farms in six different countries. It UK’s Round 3 for the development of offshore wind power. operates 900 wind power turbines in Sweden, Denmark, Vattenfall’s Dan Tysk wind farm in the North Sea began Germany, Poland, the Netherlands and the UK. Together, construction in 2012, built in partnership with Stattwerke INTRODUCTION these turbines generate an estimated 2.2 TWh of electricity München. It is estimated to have an annual generation per year. Over the next five years, Vattenfall plans to invest capacity of 1,320 GW (CHECK THIS) SEK 38 billion in wind power across Europe, the largest The company’s combined development portfolio in January single investment category of its portfolio. New wind power 2012 was 14 offshore wind projects in England, Wales and accounts for 33 per cent of Vattenfall’s investments in plant Scotland, totalling more than 624 MW. during the period 2012-2016, which inlcudes the construction of two large wind farms in the North Sea (DanTysk and Sandbank) and investments in partnership Contact with ScottishPower in the UK. THE WIND SECTOR WIND THE Vattenfall UK When it came into operation in September 2010, First floor Vattenfall’s Thanet Wind farm became the world’s largest 1 Tudor Street offshore wind farm. Thanet is located in depths of 20-25 London metres, and covers an area of 35 square kilometres, and is EC4 Y0AH located approximately 12 kilometres off Foreness Point, the easternmost part of Kent. When it came online, it increased T: +44 20 3178 3973 the UK’s wind power generation by 30%.

Vattenfall’s Ormonde offshore wind farm, off the Cumbrian THE MARKET http://www.vattenfall.co.uk coast, was opened in September 2012. Hailed for its innovation, Ormonde wind farm saw the first commercial deployment of one of the world’s largest market-ready turbines, the Repower 5MW, and the first commercial deployment of steel jacket foundations fabricated in Scotland by Burntisland Fabrication. Furthermore, the facility boasts the longest ‘single-pull’ electricity export cable in UK waters, at 42 km. RESOURCES

Infrastructure Horizons Wind Prospect Group Ltd

Who are they? Wind Prospect operates globally in all aspects of renewable Contact energy, and is one of the most successful independent renewable energy developers in the market. The company Wind Prospect has been involved in the wind industry since its inception in Engineering Division Europe, having build the UK’s second wind farm in 1992, Sutton House and is a major player in the wind energy sector in the UK, Dovenby Hall Estate Ireland, France, Poland, South Africa, China and Australia. It Dovenby has secured planning approval for over 1,100 MW of wind Cockermouth every projects worldwide. Cumbria CA13 0PN Between 2000 and 2012, Wind Prospect delivered 56 wind farms in the UK, with a combined capacity of 1,123 MW. T: +44 1900 898 100 The company boasts one of the highest planning success rates in the UK for wind energy projects, with more than Wind Prospect 90% of its applications approved. Currently, it has 13 sites Development & Engineering with a combined capacity of 243 MW in the pre-consent Bede House stage of planning in the UK, and 6 sites with a combined Belmont Business Park capacity of 188 MW near submission status. Since 2000, it Durham has been involved in the procurement process of 116 sites DH1 1TW with a combined capacity of 2,765 MW comprised of 1,373 units. T: +44 191 300 1730 Once a successful planning application is achieved, the company estimates installation time as taking between nine and twelve months. Its core business areas are in Wind Prospect development, engineering, operations and advisory services. Edinburgh Office The company attributes its success to careful site selection, 13 Rutland Street optimised site layouts and in-depth consultation. Wind Edinburgh Prospect have provided design input into over 40 wind farm EH1 2AE sites, and designed and reviewed over 250 turbine bases to T: +44 131 225 8545 date. E: [email protected] www.windprospect.com

CECA Wind Toolkit The Skills Challenge

The Wind Sector & Skills What are the specific skills requirements that new contractors will have to address in order to be successful As discussed in the opening section of this toolkit, the UK’s in winning work in the wind sector? evolving wind industry will offer increasing opportunities of new work for civil engineering contractors in the coming There is no single institution that offers qualifications for years. As the industry grows, it is increasingly necessary for working in the wind sector. The trade body RenewableUK companies to ensure that their employees possess the has been seeking to address the skills challenge in the wind sector-specific skills necessary to bid for work in this area. sector, and in October 2011 launched a £1.2 million The wind sector is characterised by a highly-skilled Renewables Training Network (RTN). The RTN is seeking to INTRODUCTION workforce compared with the UK economy as a whole, and establish a formalised training regime for workers from it is important that employees are equipped with the other sectors, as well as implementing a Quality Assurance correct skills to work in the industry. badge for courses, co-ordinate bulk-buying of training for employers, and raise awareness of the renewables industry The current rate of predicted growth means that the UK’s in British educational establishments of all levels. The RTN is wind energy workforce will need to grow from an estimated working with industry stakeholders to analyse training 10,000 people in 2010 to more than 75,000 by the end of demand, and a suite of ‘Wind Work Ready’ courses - the decade. The number of people worlking in the offshore primarily focussed on addressing the skills gap by aiding wind sector has grown exponentially, from just 700 people transition from similar industry - is currently under in 2007 to more than 3,000 in 2012. Skills training must, of development. Contractors who wish to work in the sector SECTOR WIND THE course, be demand-led, and the demand for employees with will of course have to maintain exemplary Health and the requisite skills to work in the wind sector will create Safety behaviour as they undertake all stages of pre- that demand sooner rather than later. However, it should construction, construction as well as site and project also be noted that the wind sector is a project-based planning. industry, and the development trajectory of installation rates reflect this, posing an associated challenge to skills Global Wind Organisation provision. The Global Wind Organisation (GWO) is a coalition of the To achieve the numbers of engineers the industry will market’s leading players including Vestas, Siemens and THE MARKET require in the next decade will necessessitate an increased E.ON. The GWO hopes to reduce the risk for employees in training burden and associated costs. The renewable sector the industry by creating a training standard and ensure that as a whole is expected to increase five-fold between now those workers who enter the industry meet that standard. and 2020, and a majority of those who will work in it will Currently, Maersk Training Newcastle in South Sheilds is come from related industries. It is thus vital that contractors the only centre to have gained GWO approval, although it are able to upskill their employees and are aware of the is expected that others will follow as the industry expands specific skill-sets that will gain them a competitive over the coming years. For more information visit www. advantage in bidding for work in the sector. maersktraining.com. RESOURCES

Infrastructure Horizons Supporting Bodies

TRADE BODIES TRAINING & SKILLS

Scottish Renewables Renewables Training Network Floor 3 Greencoat House 49 Bath Street Francis Street London Glasgow SW1P 1DH G2 2DL T.: +44 (0)20 7901 3000 T: 0141 353 4980 www.the-rtn.com E: [email protected] www.scottishrenewables.com/ Energy & Utility Skills Limited Friars Gate RenewableUK 1011 Stratford Road Greencoat House Shirley Solihull Francis Street B90 4BN London T.: +44 (0)845 077 99 22 SW1P 1DH www.euskills.co.uk T: +44 (0)20 7901 3000 E: [email protected] www.renewableuk.com/

European Wind Energy Association Rue d’Arlon 80 B-1040 Brussels Belgium

T. +342 2 213 1811 E. [email protected] www.ewea.org

CECA Wind Toolkit Infrastructure Horizons

Infrastructure Horizons online About CECA The CECA Wind Toolkit represents an overview of the sector The Civil Engineering Contractors Association is the and its relationship with its civil engineering supply chain at representative body for companies who work day-to-day to a given point in time. deliver, upgrade, and maintain the country’s infrastructure. With more than 300 members split across eight regions, Given the fast pace of change in the sector, it is essential CECA represents firms who together carry out an estimated that this toolkit is updated regularly to detail the latest 70-80 per cent of all civil engineering activity in the UK, in

developments that occur, whether it be in terms of new INTRODUCTION the key sectors of transport, energy, communications, waste opportunities coming to the market, changes in the existing and water. client base, or new thinking in relation to any of the issues covered by the toolkit. www.ceca.co.uk For this reason, CECA wll be reproducing all of the CECA Infrastructure Horizons series online at www.ceca.co.uk/ About the CITB infrastructurehorizons. This will allow appropriate updates The CITB is the Sector Skills Council and Industry Training and amendments to be made as and when they occur. Board for the UK’s construction industry, working with Access to the website will be free to all CECA members. industry, for industry, to deliver a safe, professional and

For further information, please contact CECA director of fully qualified UK construction workforce. The CITB works SECTOR WIND THE external affairs Alasdair Reisner on 0207 340 0454, or with construction companies to help them improve skills, e-mail [email protected]. increase their competitive edge, and respond to the many challenges employers face - from the low-carbon agenda, Infrastructure Horizons is a series of guides prepared by through to reducing costs on-site and recruiting the best CECA to provide contractors with a snapshot of emerging and brightest talent for their sector. markets in the UK. The series has been undertaken with the generous support of the Construction Sector Skills Council www.cskills.org CITB-ConstructionSkills. THE MARKET

RESOURCES

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CECA Wind Toolkit