Offshore Wind in Europe Key trends and statistics 2020 Offshore Wind in Europe Key trends and statistics 2020 Published in February 2021 windeurope.org This report summarises construction and financing activity in European offshore wind farms from 1 January to 31 December 2020. WindEurope regularly surveys the industry to determine the level of installations of foundations and turbines, and the subsequent dispatch of first power to the grid. The data includes demonstration sites and factors in decommissioning where it has occurred. Annual installations are expressed in gross figures while cumulative capacity represents net installations per site and country. Rounding of figures is at the discretion of the author. DISCLAIMER This publication contains information collected on a regular basis throughout the year and then verified with relevant members of the industry ahead of publication. Neither WindEurope nor its members, nor their related entities are, by means of this publication, rendering professional advice or services. Neither WindEurope nor its members shall be responsible for any loss whatsoever sustained by any person who relies on this publication. TEXT AND ANALYSIS: Lizet Ramírez, WindEurope Daniel Fraile, WindEurope Guy Brindley, WindEurope EDITOR: Rory O’Sullivan, WindEurope DESIGN: Laia Miró, WindEurope Lin Van de Velde, Drukvorm FINANCE DATA: Clean Energy Pipeline and IJ Global All currency conversions made at EUR/ GBP 0.8897 and EUR/USD 1.1422. Figures include estimates for undisclosed values. PHOTO COVER: Kriegers Flak substation, Courtesy of Van Oord. MORE INFORMATION: [email protected] +32 2 213 11 68 EXECUTIVE SUMMARY .....................................................................................................6 1. OFFSHORE WIND INSTALLATIONS ............................................................................9 1.1 OVERVIEW ......................................................................................................................9 1.1 NATIONAL BREAKDOWN OF 2020 INSTALLATIONS .................................11 1.2 CUMULATIVE INSTALLATIONS ..............................................................................14 2. TRENDS: TURBINE SIZE AND WIND FARM LOCATION ....................................16 2.1 WIND TURBINE RATED CAPACITY ......................................................................16 2.2 WIND FARM SIZE .........................................................................................................17 2.3 WATER DEPTH AND DISTANCE TO SHORE ....................................................19 2.4 FLOATING WIND ...........................................................................................................20 3. INDUSTRY ACTIVITY AND SUPPLY CHAIN .............................................................23 CONTENTS 3.1 WIND TURBINE MANUFACTURERS ....................................................................23 3.2 WIND FARM OWNERS ..............................................................................................25 3.3 SUBSTRUCTURES AND FOUNDATIONS ...........................................................26 3.4 CABLES ............................................................................................................................29 3.5 VESSELS ..........................................................................................................................30 4. INVESTMENTS AND POLICY DEVELOPMENTS ....................................................32 4.1 FINANCING ACTIVITY ................................................................................................32 4.2 OFFSHORE PPAs .........................................................................................................34 4.3 AUCTION RESULTS .....................................................................................................34 4.4 POLICY DEVELOPMENTS AND OUTLOOK .......................................................35 EXECUTIVE SUMMARY Europe added 2.9 GW of offshore capacity during 2020. Europe now has a total installed offshore wind capacity of That’s 356 new offshore wind turbines connected to the 25 GW. That corresponds to 5,402 grid-connected wind tur- grid, across nine wind farms. bines across 12 countries. FIGURE A Annual offshore wind installations by country (left axis) and cumulative capacity (right axis) (GW) 5.0 30 4.5 25 4.0 3.5 20 3.0 2.5 15 2.0 10 1.5 1.0 5 Annual Installed Capacity (GW) 0.5 Cumulative Installed Capacity (GW) 0 0 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 UK Germany Denmark Belgium Netherlands Sweden Finland Portugal Spain Ireland France Cumulative installed capacity Source: WindEurope Eight new offshore wind projects reached Final Invest- Investments in new assets accounted for €26.3bn and ment Decision (FID) in four different countries during 7.1 GW of additional capacity was financed. 2020, with construction due to start in the coming years. 6 Offshore Wind in Europe - Key trends and statistics 2020 WindEurope Executive Summary Installations in 2020 Trends: turbine and wind farm size, depth, distance from shore, auctions • Europe added 2,918 MW of new capacity. The Netherlands (1,493 MW), Belgium (706 MW), the UK • The average rated capacity of turbines installed in (483 MW), Germany (219 MW) and Portugal (17 MW) 2020 was 8.2 MW, with two-thirds of the wind farms supplied this new capacity to the grid. with offshore works in 2020 using turbines larger than this. • The European grid saw 356 offshore wind turbines connected across nine wind farms in 2020. • The average size of wind farms was 788 MW, 26% larger than last year. • Europe saw nine new wind farms completed (grid- connected). One has partial grid connection and will • The average distance to shore was 52 km and the be fully commissioned in 2021. Construction work water depth 44 m. started on six other wind farms where no turbines have yet been grid-connected. • The Hollandse Kust Noord V was the only auction this year – a consortium of Shell New Energies and Eneco • Siemens Gamesa Renewable Energy connected 63% won. of new turbines to the grid. Vestas Wind Systems connected 34%, while the remaining 3% were • GE Renewable Energy received the largest order for Senvion turbines. wind turbines, from SSE and Equinor for the Dogger Bank (A and B) in the UK. The project will feature 190 GE Haliade-X 13 MW turbines. Financing highlights • Europe saw a financing record of €26.3bn for new Cumulative installations projects. There was 7.1 GW of new capacity financed in France, the Netherlands and the UK. • There are 5,402 turbines connected to the grid, totalling 25,014 MW. • The two largest wind farms - Hollandse Kust Zuid 1-4 (1.5 GW) and Dogger Bank A and B (2.4 GW) - • There are now 116 offshore wind farms in 12 together raised almost €13bn in capital. European countries (including one site with partial grid- connected turbines). • Overall, the UK and Germany have attracted the most investments over the past ten years. • The UK has the largest offshore wind capacity in Europe, with 42% of all installations. Germany is • Corporates signed six offshore Power Purchase second with 31%, followed by the Netherlands (10%), Agreements in 2020 in Germany, Belgium, and the UK. Belgium (9%) and Denmark (7%). • Ørsted (17%), RWE Renewables (10%), Vattenfall (6%) and Macquarie Capital (6%) are the largest owners of offshore wind farms. Offshore Wind in Europe - Key trends and statistics 2020 7 WindEurope Offshore wind farms in Europe 2.9 GW NEW CAPACITY INSTALLED IN 2020 25 GW TOTAL CAPACITY NOW INSTALLED Moray East Kincardine Triton Knoll Hornsea Two East Anglia One Kriegers Flak EnBW Albatros Trianel Windpark Borkum 2 Fryslan Wind farm status Borssele 3&4 Online Borssele 5 Partially online Borssele 1&2 Under construction Wind farms with Northwester 2 construction activity in 2020 Seamade BELGIUM (Mermaid & Seastar) orthwester 2 Seamade (see p.31) (Mermaid & Seastar) DENMARK Kriegers Flak (see p.12) GERMANY EnBW Albatros Trianel Windpark Borkum 2 Windfloat Atlantic NETHERLANDS: Borssele 1&2 (see p.15) Borssele 5 Borssele 3&4 Fryslan PORTUGAL Windfloat Atlantic (see p.22) UK East Anglia One Hornsea Two Kincardine Moray East (see p.22) Source: WindEurope Triton Knoll 1. OFFSHORE WIND INSTALLATIONS 1.1 OVERVIEW Europe connected 2,918 MW of offshore wind power Portugal finalised the installation of Windfloat Atlantic. capacity in 2020, a 20% decrease on 2019, but in line with Denmark completed the monopiles installation at the our pre-COVID-19 forecast, a sign of the commitment of Kriegers Flak wind farm, the first offshore hybrid project the wind industry to deliver on their installation plans. The connected simultaneously to Denmark and Germany. Netherlands (1,493 MW), Belgium (706 MW), the UK (483 MW), Germany (219 MW) and Portugal (17 MW) supplied The publication of the Offshore Renewables Energy Strat- this new capacity to the grid. egy (ORES) sets out the EU’s ambition to build 300 GW of offshore wind by 2050. European installation rates are The Netherlands connected almost half of all the capac- still far less than what the sector will need to deliver this ity to the grid with the connection of most turbines at and the 2030 National Energy and Climate Plans, as pre- Borssele 1-5 sites. Belgium also set a national installation sented in chapter 4. record and Seamade became its largest operational wind farm (487 MW). The UK connected fewer turbines to the Europe has a total of 25,014 MW installed at the end of grid but