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Description: The growth of the offshore wind programme has resulted in a good understanding of offshore wind resource opportunity and potential constraints. This detailed work means that our internal knowledge of the wind sector is relatively advanced compared to our other business sectors. Within this review, we have been able to identify Resource, Key Resource Areas, Feasible Areas, and also provide a spatial cost of energy analysis for offshore wind (referred to as Economic Areas). Figure 9 of the 2014/2015 MER document shows the current understanding of offshore wind resource in relation to the current industry.The entire UK Renewable Energy Zone (REZ) is considered to hold resource suitable for the exploitation of offshore wind and theoretically a wind farm could be placed anywhere and generate power. In reality, not all areas would be appropriate for siting a wind farm due to a number of other considerations (e.g. the presence of other sea users, interests and sensitivities, the existence of technology suitable for such physical conditions and practical distance from shore).Offshore wind Key Resource Areas have been derived by considering suitable resources alongside physical requirements for turbine technologies needed to extract the resource. For offshore wind, the Key Resource Area takes into consideration wind speed that is optimal for generation and water depth constraints for different turbine types. The optimal wind speeds were defined as 7.5m/s to 11.5m/s, modelled at 100m above the sea surface. Analysis was undertaken using the Renewable Energy Atlas data provided by the historic Department for Business, Enterprise and Regulatory Reform (BERR) in 2008. Two exceedence data layers were used to refine the wind KRAs; areas where the wind speed exceeded 12 m/s for more than 20% of the time, and areas where the wave height exceeded 2.5 m for more than 30% of the time were excluded. A consideration of significant wave height was also included in the KRAs and only encompassed areas that did not exceed 18 m in height for the last 50 years (known as Hs50). The geological conditions as a result of the BGS Seabed Characterisation Project (please see Table 6 of the 2014/2015 MER Report) were also considered in the analysis of Key Resource Areas. Any areas that were considered to be entirely unsuitable for any foundation type were excluded. Offshore wind Key Resource Areas are split into two technology categories; fixed and floating. The depth transition between the categories is between 40 and 60m, based on current technology and anticipated technological improvements out to 2030. Any areas shallower than 60m were considered suitable for fixed wind turbines and any areas deeper than 40m were considered suitable for emerging floating technology. MaRS analysis can only be completed within theextentof available data sets. Cells/regions whereinput data wasincomplete wereremovedfromtheanalysis. This largelyrelatesto areasclose to theshore where, for example,thereis limited wind resourcedata available. The modelling results thereforeonly cover all cells wherethereis full data coverage(i.e. all input datasets arepresent).For the wind sector we have started to consider practical constraints through the identification of potential development costs. It is noted that a full definition of Practical Areas requires further analysis to incorporate consideration of natural and cultural resources, marine users, market appetite, and policy drivers required for the opportunity to be supported.The Spatial Levelised Cost of Energy (LCOE) for offshore wind is underpinned by analysis from GL Garrad Hassan to provide a relative comparison of the cost of offshore wind across UK waters. This is a sophisticated ‘bottom-up model’ which takes spatial elements such as water depth, wave climate, wind speeds, port distances and seabed conditions to derive the capital expenditure (CapEx), operational expenditure (OpEx) and annual energy production (AEP) for a generic 504MW wind farm. This delivers a comparative cost of energy across the entire marine estate which shows how much it would cost to plan, build, operate and maintain a wind farm per megawatt hour (MWh) of electricity produced over the life of the asset. As well as the spatial GIS layer inputs provided by MaRS, there are over 100 other inputs to the model, covering a range of cost parameters, from steel and concrete fabrication, cable and electrical infrastructure, through to vessels.The outputs from the LCOE project were used to categorise the Key Resource Areas into Prime, Good, Moderate, Limited and Marginal Opportunity based on the pounds per megawatt hour values. The lowest LCOE values have been categorised as Prime, and the highest LCOE values are categorised as Marginal and the intervals were defined on an equal interval division.
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