The Department for Business, Energy and Industrial Strategy (BEIS) has slashed its forecasts for offshore wind energy costs through to 2030 by more than half, in the first update to predictions since 2016. According to the Department’s latest electricity generation cost report, offshore wind projects which come online between now and 2030 will produce power at an average cost of £47 per megawatt-hour over the course of their lifetime. BEIS’s previous forecast had placed the figure at £103 per megawatt-hour. From both being forecast at £64/MWh in 2016, the equivalent figures for onshore wind and large-scale solar have also fallen, to £45/MWh and £39/MWh respectively. In comparison, BEIS is forecasting that the levelised cost of energy (LCOE) for new gas will reach £82 per megawatt-hour by 2030 and that the LCOE for new nuclear will reach £93 per megawatt-hour within the same timeframe.
Edie 27th Aug 2020 read more »