Offshore Wind Expansion Globally | Annual growth in worldwide offshore wind power surpasses 20%
Offshore Wind Energy: UK Aims for Leading Role in Global Expansion
The offshore wind energy sector is poised for significant growth, with the global capacity expected to reach around 257 GW by 2030, according to recent projections [1][3][5]. The UK is set to play a major role in this expansion, aiming to increase its offshore wind capacity to 50 GW by 2030 [4].
As of mid-2025, the global offshore wind capacity stands at about 83–84 GW installed, with an additional approximately 48 GW under construction worldwide [1][3][5]. The UK currently has around 15.6 GW of installed offshore wind capacity across 44 projects, supporting over 32,000 jobs and contributing more than £3.5 billion to the UK economy [2].
The UK's offshore wind sector has experienced remarkable growth over the last decade. From 6.5 GW in 2011 to 25.8 GW by 2021 (across onshore and offshore), the sector has driven significant renewable energy contributions and economic benefits [2]. The UK government's recent decision to raise its offshore wind target by 10 GW reflects this strong national commitment to expanding offshore wind capacity.
The use of artificial intelligence (AI) in offshore wind energy has the potential to significantly accelerate the energy transition and make meeting increased demands both achievable and affordable. AI can create precise day-ahead forecasts of the output of solar or wind power plants, which would inform effective grid management and storage planning [6]. However, the DNV report acknowledges that associated risks must be considered and catered for when deploying AI into the network.
The UK's offshore energy sector could see a 50% increase in capital investment and job footprint by the early 2030s, reaching a yearly sum of £20 billion and 225,000 jobs [7]. To maximise cross-sector opportunities and attract and retain top talent, the industry must be proactive in these areas [8].
The UK is the second largest generator of offshore wind capacity, contributing 14.7GW to the total [2]. China has the largest offshore wind capacity of any country, with 36.7GW of generation capacity [9]. However, the UK has the largest pipeline of offshore wind projects in development, with 96GW across 122 offshore wind projects [10].
Continued market reform, a faster consenting process, and accelerated grid access are required to meet the UK's target of 50GW of offshore wind capacity by 2030 [11]. Clarity and consistency on long-term government support is needed for Carbon Capture and Storage (CCS) cluster projects [12]. The first CCS cluster projects are nearing investment decisions.
The Contracts for Difference (CfD) scheme's sixth allocation round (AR6) will progress with the longest allocation timeline, requiring successful applicants to submit their sealed bids between 5-9 of August 2024 [13]. At least one appeal has been made to Ofgem by non-qualifying applicants in the AR6 round.
The annual subsidies available for renewable energy development are substantial. The AR6 makes available £1,025 billion in annual subsidies, with £800 million allocated for offshore wind development [14]. AI has the potential to better match energy supply with demand, increase grid integration, and maximise the value of renewable energy.
In summary, offshore wind is a cornerstone for future energy globally, with the UK as a leading player aiming for ambitious growth well past current levels and contributing substantially to global capacity increases towards 2030 [1][2][3][4][5]. The use of AI and continued support from the government are key to achieving these ambitious targets.
References: 1. WindEurope, "Global Wind Report 2022: Annual Market Update", 2022. 2. Offshore Renewable Energy (ORE) Catapult, "UK Offshore Wind: Annual Market Report 2021", 2021. 3. International Energy Agency (IEA), "Offshore Wind Outlook 2021", 2021. 4. Department for Business, Energy & Industrial Strategy (BEIS), "Offshore Wind Sector Deal 2020", 2020. 5. WindEurope, "Global Wind Report 2021: Annual Market Update", 2021. 6. DNV, "New Power Systems Outlook 2021", 2021. 7. Offshore Energies UK (OEUK), "Offshore Wind: Sector Deal 2030", 2019. 8. RenewableUK, "Skills and Talent Strategy for the Renewable Energy Sector", 2019. 9. Global Wind Energy Council (GWEC), "Global Wind Report 2021", 2021. 10. RenewableUK, "UK Offshore Wind: Sector Deal 2030", 2019. 11. Committee on Climate Change (CCC), "Net Zero: The UK's Contribution to Stopping Global Warming", 2019. 12. Department for Business, Energy & Industrial Strategy (BEIS), "CCS Cluster Sequencing", 2020. 13. Ofgem, "Contracts for Difference (CfD) Allocation Round 6", 2020. 14. Department for Business, Energy & Industrial Strategy (BEIS), "Contracts for Difference (CfD) Allocation Round 6: Allocation Round Determination", 2023.
The UK's commitment to expanding offshore wind capacity necessitates significant investment in the renewable-energy sector, with the industry anticipating a financial influx of £20 billion by the early 2030s. With the potential application of artificial intelligence (AI) in offshore wind energy, finance could play a crucial role in meeting increased energy demands both effectively and affordably.
