Westwood: Offshore wind FIDs to skyrocket 57% outside China by 2022
27 April 2021New analysis from Westwood Global Energy Group (Westwood), the specialist energy market research and consultancy firm, reveals offshore wind energy projects final investment decisions (FIDs), outside mainland China, will grow 57% in the next 18 months, compared to the 2019-20 period. The growth represents an additional 20.4GW of new power capacity with just under a third of this activity being driven by emerging offshore wind markets such as the USA, Vietnam, and South Korea.
The analysis comes as Westwood launches its new WindLogix application as part of its global offshore energy intelligence interface. Developed to offer OEMs, vessel owners, engineering houses and developers daily data driven insight, for early identification of offshore wind supply chain opportunities, the solution delivers highly intuitive market analytics dashboards alongside offshore wind project, vessel, station and component data.
"Westwood is committed to helping our clients navigate the energy transition successfully, with the offshore market evolving fast. You can no longer look at the oil and gas and offshore wind sectors as binary – lines are blurred and so are supply chains. Companies need to adjust their strategies to grasp the opportunities, and this is why our WindLogix application is integrated into our offshore energy suite of solutions.” said Thom Payne, Head of Offshore Energy Services at Westwood.
"Even though Westwood has been analysing offshore wind since 2006, the market is still young and the construction and installation of wind farms has benefitted from lower oil and gas supply chain prices, as a result of weaker oil and gas demand. This has enabled the growth in offshore wind by making it easier to access shared services cost efficiently. But as prices rise, developers will struggle to compete, especially as offshore wind projects become more complex and require more intricate engineering, equipment and vessels. WindLogix’s intuitive user interface will enable our clients to identify the most relevant market opportunities, prioritise resources and stay ahead of the curve.” adds Payne.
In addition, WindLogix will offer quarterly reports covering policy mechanisms, reviews of OEM performance, activity updates, five-year regional activity outlooks and analysis of key challenges facing the offshore wind sector. The solution has been designed to holistically integrate into Westwood’s full suite of offshore solutions including PlatformLogix, SubseaLogix and RigLogix.
Near-term FID Capacity Outlook by Key Region