 Unravelling historical cost developments of offshore wind energy in EuropeJ.A. Voormolen, H.M. Junginger and W.G.J.H.M. van Sark Energy Policy, 2016, vol. 88, issue C, 435-444 Abstract: This paper aims to provide insights in the cost developments of offshore wind energy in Europe. This is done by analysing 46 operational offshore wind farms commissioned after 2000. An increase of the Capital Expenditures (CAPEX) is found that is linked to the distance to shore and depth of more recent wind farms and commodity prices. Analysis results indicate that these two factors are only responsible for about half of the observed CAPEX increase, suggesting other factors such as turbine market with limited competition also led to an increasing CAPEX. Using CAPEX, Annual Energy Production, Financings costs and Operational Expenditures, the development of average Levelized Cost of Electricity (LCoE) is shown to increase from 120€/MWh in 2000 towards 190€/MWh in 2014, which is a direct result of the CAPEX increase. The results indicate very different LCoE values among European countries, from currently about 100 Euro/MWh in Denmark and Sweden to 150-220 Euro/MWh in all other countries investigated suggesting an effect of national policy frameworks on the LCoE of offshore wind energy. Keywords: Cost development; Offshore wind; Learning; Levelized cost of electricity (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:enepol:v:88:y:2016:i:c:p:435-444 DOI: 10.1016/j.enpol.2015.10.047 Access Statistics for this article Energy Policy is currently edited by N. France More articles in Energy Policy from Elsevier |
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