Wind is one of the fastest growing energy sources in the world. From an emerging fuel source 20 years ago, wind energy has grown to become a commercial electricity generating technology in over 87 countries.
Developments in technology have paved the way for more effective and reliable equipment and machinery, which has led to the growth of the market. Global wind energy installed capacity increased at a compound annual growth rate (CAGR) of 26.4% from 24,132 MW (megawatts) in 2001 to 198,203 MW in 2010, of which 36,100 MW came online in 2010. Wind power has become an important player in the global energy market, with the growing equipment market creating a large number of jobs.
China is the global leader with a cumulative installed capacity share of 22.6% in 2010. The US is the second largest wind power market with a cumulative share of 20.3%. Germany is the third largest with a share of 13.7%, followed by Spain with a share of 10.4%. The other major wind power markets include India (6.6%), Italy and France (2.9% each), the UK (2.6%), Portugal (2.1%), and Canada (2%).
Offshore wind is being increasingly explored across the world for its high yield due to stronger and more consistent winds compared to onshore locations and the scope for the construction of massive GW-scale projects. Cumulative offshore wind energy installations currently only form a small part of the global wind power market, which was about 1.6% in 2010. However, huge potential exists for offshore wind to become a major source of energy in the future.
Offshore wind power development is mainly concentrated in Europe, which accounts for over 2.9 GW of offshore wind power capacity. With large scale wind power projects expected to become operational in the near future, the offshore wind power market is set for huge growth. Huge projects in Europe and Asia- Pacific are scheduled to be completed in the near future. Offshore wind power capacity grew from 96 MW in 2001 to 3,068 MW in 2010 at a CAGR of 47%. With large scale commercial offshore wind farms currently under construction and in the planning phase, offshore wind power capacity is expected to reach 64,594 MW in 2020 from 3,068 MW in 2010 at a CAGR of 36%, with the UK leading from the front.
The offshore wind power industry currently faces a number of challenges. These include a lack of regulatory framework, a lack of sophisticated technology catering to offshore requirements, a shortage of appropriate auxiliary services (such as crane vessels), a lack of skilled personnel, competition for space with other marine users, such as oil and gas exploration and telecom companies, incompatibility with existing grid infrastructure, and insufficient integration into the energy system. According to Clifford Mcdougall, Pharos Offshore, “Established marine installation companies in the telecom and oil and gas sectors will increasingly commit resources to the offshore wind market as it matures. As the market grows, today’s uncertainly
Offshore Wind Industry – Growth Potential Hampered by Issues in Supply Chain and Financing is the latest report from GlobalData, the industry analysis specialists that offer comprehensive information and understanding of the challenges in offshore wind industry. The research provides an understanding of the technology of wind turbines, generators, rotor blades, gear box and so on. The research also provides historical and forecast offshore wind power data to 2020 for installed capacity and power generation. The report details the various offshore wind market challenges such as financing, implementation, power purchase agreement for global as well as for major offshore markets such as the UK, Germany, Netherlands and emerging offshore markets such as the US and China. The report is built using data and information sourced from proprietary databases, primary and secondary research and in-house analysis by GlobalData’s Team of industry experts.
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Source: , November 03, 2011