€17.5Bn Invested in EU Offshore Wind in H1 2016, €5.2Bn More Expected by Mid-2017
WindEurope expects EUR 5.2 billion and 1.4GW in Final Investment Decisions (FIDs) by June 2017, compared with EUR 10 billion and 2.2GW that were achieved for the same period last year.
Transactions that are now approaching financial close are Rentel (300MW), Norther (370MW), Deutsche Bucht (252MW), and EnBW Hohe See (492MW).
The sector generated a total investment of EUR 17.5 billion in the first six months of this year, the organisation said.
During the first half of 2016, seven projects reached final investment decision, financing a total of 3.7GW of new capacity that amounted to EUR 14 billion in new investments, WindEurope reported in July, and the UK accounted for nearly three-quarters of the new investments.
In addition to the investments in new wind farms, the first half of the year also saw EUR 2.5 billion in refinancing transactions and EUR 1 billion committed for the construction of transmission.
According to the latest report from Planet OS, which analyzed the data gathered from various sources, including WindEurope, new investments in offshore wind in Europe have grown remarkably in recent years.
Prior to the EUR 14 billion worth of FIDs in the first half of 2016, a total of ten projects reached final investment decisions in 2015, worth EUR 13.3 billion, compared to EUR 6.5 billion in 2014.
Total investments in the European offshore wind sector in 2015 amounted to more than EUR 18 billion, including investments in construction, transmission assets, and refinancing. Reduced risk perception has led to a new means of financing for the offshore wind industry – bonds. For the first time, EUR 1.5 billion was raised through issuing project bonds for the construction and refinancing of offshore wind farms, Planet OS writes.