A deep-dive into the rising cost of seabed leases
28 September 2021
How will high prices in the recent UK auction for seabed leases impact consumer bills and future wind energy investment?
In recent years, the UK has become a world-leader in offshore wind development, underpinned by significant private sector investment. However, with the price of seabed leases surging early 2021, concerns have been expressed across the industry that further price reductions in the CfD auction and continued offshore wind investments in the UK may be in jeopardy.
The causes and potential consequences of this recent evolution provide important lessons for the industry in the UK and internationally.
This article explores a range of possible outcomes in terms of impact on consumer prices and investment, and considerations for offshore wind developers when defining their bids in the future CfD and seabed auctions.
Related Insights
Renewables Market Scanning Report
Which are the most attractive markets for investing in renewable assets globally?
Read more
How can investors and developers capitalise on South Korea’s evolving energy market?
South Korea's energy market is transforming in line with the global shift to renewable energy.
Read more
How ‘Equipment-as-a-Service’ models unlock commercial decarbonisation
Read our latest piece, created in collaboration with Tallarna, to explore the components of an ‘Equipment-as-a-Service’ model, how they can be deployed, and how to increase take-up.
Read more
The Corporate Catalyst
In this study, commissioned by Amazon, we explore how a change to the Greenhouse Gas Protocol to relax market boundaries for renewable procurement could allow corporates to catalyse the energy transition.
Read moreAre digital and AI delivering what your business needs?
Digital and AI can solve your toughest challenges and elevate your business performance. But success isn’t always straightforward. Where can you unlock opportunity? And what does it take to set the foundation for lasting success?