Our Global Client Services Director James Pipe recently attended WindEurope 2025 in Copenhagen, where industry leaders convened to discuss the future of offshore wind energy in Europe. The conference highlighted both the immense potential of offshore wind and the pressing challenges that need to be addressed to realise this potential.
Key Takeaways:
The industry is advocating for a clear roadmap, including the auctioning of 100GW of offshore wind capacity between 2031 and 2040. Implementing two-sided Contracts for Difference (CfDs) is seen as essential to provide investors with the confidence and visibility needed to commit to large-scale projects.
Europe faces a confluence of challenges: geopolitical instability, rising energy costs, supply chain uncertainties, and increased global competition. To navigate these, the industry is calling for predictable and de-risked auction processes to ensure projects are bankable and sustainable.
Despite a strong demand for clean, domestic energy, concerns about the commercial viability of offshore wind projects persist. The industry has pledged to reduce costs by 30% by 2040, but achieving this requires supportive policies and the right tools to deliver on these commitments.
Beyond energy production, offshore wind is poised to play a significant role in industrial policy. With the right conditions, the sector can deliver 15GW of annual installations by the 2030s, creating long-term, high-quality jobs, particularly in coastal communities.
Ørsted's white paper, "Making Green Energy Affordable", emphasises the importance of scale in reducing costs. Historically, each time the installed capacity of offshore wind power doubled, the levelized cost of electricity declined by approximately 18%. This underscores the need for continued expansion and innovation to drive affordability.
Recent reports indicate that Ørsted is recalibrating its offshore wind ambitions, now targeting 28GW of capacity by 2030, down from 30GW, to prioritise value creation. This adjustment reflects the broader industry's need to balance growth with financial sustainability.
At Spencer Ogden, we are committed to supporting organisations across the offshore wind supply chain. Our expertise in providing skilled professionals and workforce strategies is vital to underpinning the sector's growth and navigating the evolving energy landscape.
If we connected during the event, thank you for the engaging discussions. If not, we welcome the opportunity to continue the conversation and explore how we can support your initiatives in the offshore wind sector. You can get in touch via LinkedIn or email at james.pipe@spencer-ogden.com