Nov 23 2006
Harnessing the wind that whips across the sea around Britain will make a significant contribution to the UK's renewable energy targets in future years. This was the message from Lord Truscott, Parliamentary Under Secretary for Energy, today as the DTI and Ofgem launched a joint consultation on the licensing regime for the transmission of power from future offshore wind farms to the electricity networks.
Major investment is required for projects of this type; therefore a licensing regime is needed so that the links for transporting electricity ashore can be built in the most cost-effective way for generators and customers.
The DTI and Ofgem's aim is that these networks are developed as efficiently as possible and the consultation document published today examines two options for licensing offshore transmission:
1. Non-exclusive system - enabling competition between many licensed transmission owners to provide offshore grid connections.
2. Exclusive system - licensing a number of transmission owners in different areas to provide offshore grid connections.
Lord Truscott, Parliamentary Under Secretary for Energy said: "The Energy Review set out ambitious plans for a five fold increase in the amount of renewable energy that is produced in the UK. A considerable amount of that will come from offshore wind farms and potentially marine energy too. Therefore, it is vital that we put the systems in place to exploit the power from our seas. Establishing the transmission regime will be another step in the right direction."
This regime will be a key element in the production of clean energy from offshore wind farms after the consent and construction phases. The economic incentives under the Renewables Obligation provide the final piece in the development puzzle.
Ofgem Chief Executive, Alistair Buchanan, said: "There is great potential for offshore renewable generators to make a big contribution to Britain's energy markets and climate change programme. It is therefore important that a system is put in place to ensure that the links they require to get their electricity to shore are developed in the most cost-effective way."
http://www.ofgem.gov.uk/ofgem/index.jsp