Offshore Wind Industry Council and Offshore Wind Growth Partnership joint media release
2 October 2023
Growing the UK’s supply chain for offshore wind represents a £92 billion opportunity to boost the UK’s economy by 2040, according to a report by the Offshore Wind Industry Council (OWIC) and the Offshore Wind Growth Partnership (OWGP). The report, entitled ‘Supply Chain Capability Analysis’ outlines key measures that industry and government can take to strengthen the UK’s offshore wind supply chain, and in doing so maximise socioeconomic benefits that offshore wind growth can bring to the UK.
The UK has the second largest installed offshore wind capacity in the world, with a government target to more than treble this capacity by 2030 to 50GW, including 5GW floating offshore wind. This expansion represents a significant increase in demand for equipment and services required to develop, construct, and operate offshore wind farms. Meanwhile, the expansion of offshore wind in other countries provides an opportunity for the UK to export its equipment, services, and expertise abroad.
The analysis finds that targeted intervention in the UK supply chain has the potential to bring £92 billion of GVA into the economy. While the UK has had notable success stories and received significant investment from developers and government, the analysis recognises more could be done to keep the UK’s supply chain resilient – with UK suppliers competing with those of other countries for vital contracts, and the jobs and opportunities they bring.
The analysis outlines some key areas of advantage for the UK supply chain, as well as areas for potential improvement. Among the report’s key recommendations are to take a systemic view of the supply chain, prioritising long-term economic value creation in areas where the UK could build globally competitive industrial capacity.
Sophie Banham, Vice-Chair of the Offshore Wind Industry Council, said:
“The UK has some world-class factories and organisations involved in renewables, and now we are in a global race for cleaner energy; we need to keep our foot firmly on the accelerator to avoid slipping behind and losing the advantages that we have gained.
This report and the detailed analysis that sits behind it, shows how the UK can develop its supply chain to maintain a leading role through a coordinated Industrial Growth Plan.
By intervening in key areas, we can ensure the UK’s ambitious deployment targets are achieved in a way that maximises benefit to the UK through the development of industrial clusters, inward investment and significant job creation.”
Tim Pick, Chair of the Offshore Wind Growth Partnership, and the UK’s former Offshore Wind Champion, said:
“The UK is one of the world leaders in offshore wind in terms of installed capacity, contributing to lower energy bills, extra money for the public purse, and new jobs being created in coastal towns and cities. However, we’re only really scratching the surface when it comes to the full potential economic and social benefit of offshore wind, which we can only capture by maturing our domestic supply chain.
Achieving this requires a coordinated strategy from both public and private sectors, with industry programmes like the OWGP playing an important role. There are significant lessons to be learned from the aerospace and automotive sectors where the UK already has nurtured a leading position.
This new analysis allows us to better target our support to UK supply chain companies, foster the development of new technologies, and support a just transition – keeping the UK competitive on the global stage.”A summary of the ‘Supply Chain Capability Analysis’ is available here
OWIC and OWGP are available for interview on the report and its implications:
- OWIC lead: Ajai Ahluwalia, Head of Supply Chain, RenewableUK
- OWGP lead: Lynne McIntosh-Grieve, Programme Manager, Offshore Wind Growth Partnership
To an arrange an interview, or for further information, please contact Sam Willstead, Communications Officer, Offshore Wind Industry Council, RenewableUK. email@example.com
Notes to Editors
The Offshore Wind Growth Partnership (OWGP) is a long-term business transformation programme which promotes closer collaboration across the supply chain, implements structured productivity improvement programmes and facilitates shared growth opportunities between developers and the supply chain. To date and until 2030, OWGP delivery focuses on directly supporting supply chain companies through a combination of business support programmes and grant funding. Offshore Renewable Energy Catapult is the main delivery partner with support provided by other specialists in the sector.
OWGP plays a key role in delivery of the Offshore Wind Sector Deal and is funded by members of the Offshore Wind Industry Council (OWIC), with a budget of £100m over ten years. The programme supports the growth of UK businesses looking to capitalise on the huge opportunities offered by the global offshore wind sector.
Over 1200 companies have now registered an interest with OWGP programmes to date. For more information and to apply, visit: https://owgp.org.uk/
The Offshore Wind Industry Council (OWIC), a senior Government and industry forum, was established in May 2013 to drive the development of the world-leading offshore wind sector in the UK. It is comprised of members drawn from the leading UK and global firms in the offshore wind industry, including developers and original equipment manufacturers.
The Council oversees and drives the implementation of the Offshore Wind Sector Deal, co-Chaired by Industry and the UK Minister of State for Energy Security and Net Zero.