Floating offshore wind technology is poised for a significant expansion, offering the ability to tap into an estimated 80% of the world's offshore wind resources located in waters deeper than 50 meters, where traditional fixed-bottom turbines are not feasible. This has drawn the attention of oil and gas majors, as well as countries like France, South Korea, and Japan, which are planning significant projects and auctions.
While currently more expensive than fixed-bottom offshore wind, with initial prices for floating projects in France set at up to €120/MWh, the industry anticipates dramatic cost reductions similar to those seen in conventional offshore wind, which fell from around £150/MWh to £40/MWh. Experts believe floating wind could reach costs of €40-€60/MWh by 2030 with government support and clear development frameworks.
Several projects are underway, including Equinor's 88MW Hywind Tampen scheme off Norway, which will be the world's largest floating wind farm and the first to power oil and gas platforms. The UK is also rapidly developing its floating wind capacity, with targets of about 3,000 floating turbines within 10-15 years, and around 500 installed by 2030, totaling 30 gigawatts. Early UK projects have seen subsidies up to £270/MWh.
Despite the high initial costs and environmental concerns regarding extensive cabling and moorings, the sector is experiencing significant investment and innovation. Over 50 different floating technology designs are being tested, ranging from spar buoys to various floating foundations, with an expectation that natural selection will narrow these down to a few dominant designs. The industry projects substantial economic contributions and job creation, with the UK's floating wind sector estimated to add over £10 billion to the economy and employ roughly 97,000 people by 2050.
