Renewable Energy Generation Cost and Technical Assumptions – Offshore Wind Cost of Electricity Report Update 2024

Summary

Since 2022, offshore wind projects in the UK have faced increasing costs due to global macroeconomic factors, supply chain disruptions, and inflation, reversing a previous downward trend in the Levelised Cost of Electricity (LCOE). The Department for Energy Security and Net Zero (DESNZ) commissioned a study to update the LCOE and associated technical assumptions for offshore wind until 2050, using stakeholder data to better inform policy and energy system modelling. This study, now completed, provides updated cost estimates and forecasts, indicating that the current LCOE is 83 £/MWh but with expected capital cost reductions towards 2050.

Key Facts

Source Document

https://example-government.gov/policy-document-link