Industry Analysis: Wave Power Technology TABLE OF CONTENTS Table of Figures ........................................................................................................................................... 2 Table of Tables ............................................................................................................................................. 2 Executive Summary.................................................................................................................................... 2 Introduction ................................................................................................................................................. 4 R e p o r t S c o p e ......................................................................................................................................................... 4 Renewable Wave Energy Assumptions .......................................................................................................... 4 R e p o r t Structure ................................................................................................................................................... 5 Chapter 1: UK Wave Energy Market ................................................................................................. 6 Market Size and Growth ....................................................................................................................................... 6 Key Competitors ..................................................................................................................................................... 7 Future Prospects .................................................................................................................................................... 8 Chapter 2: PESTEL Analysis ............................................................................................................... 10 Political Trends ..................................................................................................................................................... 11 Recent Government Consent ........................................................................................................................................ 11 Grants for Initial Capital Cost ....................................................................................................................................... 12 Provision of Testing Facilities ...................................................................................................................................... 12 Prize Incentive .................................................................................................................................................................... 12 Commercial Leasing ......................................................................................................................................................... 13 Technological Trends ......................................................................................................................................... 14 State of the Current Technology .................................................................................................................................. 14 Unsaturated Wave Power Technology Market...................................................................................................... 15 First Class Test Centres ................................................................................................................................................... 15 Knowledge Transfer from Offshore Industries ..................................................................................................... 15 Limited Availability of Grid Infrastructure .............................................................................................................. 16 Feed in Tariff ....................................................................................................................................................................... 16 Choice of Location ............................................................................................................................................................. 16 Economic Trends .................................................................................................................................................. 17 Recession .............................................................................................................................................................................. 17 Capital Cost ........................................................................................................................................................................... 17 Private Funding – An Increasing Interest from the Investors ......................................................................... 18 Job Creation .......................................................................................................................................................................... 19 Cost of Generating Electricity ....................................................................................................................................... 20 Environmental Trends ....................................................................................................................................... 21 Decarbonizing Electricity Supply ................................................................................................................................ 21 Public Awareness............................................................................................................................................................... 22 Strategic Environmental Assessment ....................................................................................................................... 22 Renewable UK ..................................................................................................................................................................... 23 Industrial Analysis: Wave Power Technology Green Investment Bank and Low-Carbon innovation fund ............................................................................. 23 Chapter 3: Conclusion ............................................................................................................................ 24 Opportunities ........................................................................................................................................................ 25 ..................................................................................................................................................................................... 25 Threats ..................................................................................................................................................................... 25 Recommendations ............................................................................................................................................... 26 Bibliography .............................................................................................................................................. 27 Appendix A ................................................................................................................................................. 30 Appendix b ................................................................................................................................................. 31 Glossary ....................................................................................................................................................... 32 TABLE OF FIGURES Figure 1 Wave Energy Resource Distribution ______________________________________________________________________________ 6 Figure 2 Global Development of Ocean Energy Technology _______________________________________________________________ 7 Figure 3 Installed and Predicted Wave Energy Capacity __________________________________________________________________ 8 Figure 4 Pestel Analysis ___________________________________________________________________________________________________ 10 Figure 5 Wave Energy Project: Development, Planning and Approval _________________________________________________ 11 Figure 6 Timeline of Saltire Prize _________________________________________________________________________________________ 13 Figure 7 Phases of Wave Power Technology _____________________________________________________________________________ 14 Figure 8 Current Technology _____________________________________________________________________________________________ 14 Figure 9 Technology Roadmap for Wave Energy ________________________________________________________________________ 15 Figure 11 Percentage Growth in Economy _______________________________________________________________________________ 17 Figure 12 Job Creation ____________________________________________________________________________________________________ 19 Figure 13 Levelled Cost of Electricity Generation ________________________________________________________________________ 20 Figure 14 Predicted Cost of Installation __________________________________________________________________________________ 20 Figure 15 The Carbon Cycle 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