The Strategist

Reuters: Dozens of wind farm projects delayed

09/29/2023 - 03:35

Numerous wind energy project delays have occurred this year in the UK, the Netherlands, and Norway, writes Reuters citing industry officials, investors, and specialists.

David Dixon
David Dixon
One of the causes of the current problems, according to Rob West, an analyst with the consultancy firm Thunder Said Energy, is a significant increase in the size of wind turbines. He claimed that as they grow, the cost of error rises along with the risk of deformation during use, among other things.

Gamesa, one of the biggest producers of these turbines, has frequently claimed ongoing issues with the machines. At the same time, many nations set relatively low pricing for electricity produced by wind, which further lessens incentives to construct additional power plants, particularly offshore ones, which are more challenging to construct and run. The World Wind Energy Council's Ben Blackwell claims that investors are put off by this balance between risks and rewards.

All of this may mean that the climate change goals that have already been approved may not be realized, according to scientists. There is no question that many of the renewable energy objectives set for 2030 would be doubtful if this results in protracted project delays, according to John Wallace, investment manager at Jupiter Asset Management.