Europe's Offshore Wind Ambitions Face Challenges

Europe struggles to meet its offshore wind power targets due to rising costs and bureaucratic hurdles, as discussed at a recent meeting in Denmark. Industry leaders recommend policy changes to help achieve ambitious climate goals amid increasing competition from global markets like Japan and Taiwan.

Europe is facing significant challenges in meeting its ambitious offshore wind power targets, hindered by escalating costs and bureaucratic obstacles. This was highlighted in a meeting held in Denmark, where industry leaders and lawmakers gathered to present their recommendations to the new European Commission.

The meeting, hosted in the port city of Odense, focused on transforming the North Sea into a green energy hub to help the EU accomplish climate neutrality and enhance energy security. North Sea countries previously committed to building 120 gigawatts of offshore wind power by 2030 and at least 300 gigawatts by 2050, a marked increase from the current 35 gigawatts installed across Europe.

Despite nearly two decades of rapid growth and advancements in technology, the sector struggles with financing due to rising costs that are squeezing profit margins for manufacturers like Vestas and project developers. EU Energy Commissioner Kadri Simson noted the uphill battle in achieving the 2030 targets, with challenges such as lengthy permit-processing times and suboptimal auction designs further complicating efforts.

(With inputs from agencies.)