Price surge for offshore wind energy
The price households pay for electricity from new offshore wind farms could almost double after the government increased the subsidies on offer to reflect surging costs.
Offshore wind developers are to be offered contracts in an auction next year guaranteeing them a fixed price of as much as £73 per megawatt-hour (MWh), up from £37.35/MWh awarded to projects that won contracts last year.
The government is trying to revive the industry at the heart of its decarbonisation plans after its auction for new offshore wind projects this year with contract prices capped at £44/MWh failed to attract a single bidder. The industry has complained of soaring costs owing to supply-chain bottlenecks and higher commodity prices.
Developers of novel floating offshore wind projects are to
