A global market in rapid growth

DWI operates on the global offshore wind power market. Even if offshore wind today represents less than 5% of the global wind power market, its future growth prospects are outstanding.

Expected annual and cumulative installed offshore wind capacity (GW), 2011-2020, EU. Source: European Wind Energy Association

Summing up policy targets and the expected capacity growth as estimated by the European Wind Energy Association, the Global Wind Energy Council and the U.S. Department of Energy, the global installed offshore wind capacity is projected to reach 80 GW by 2020. This increase represents a growth of approximately 1400% in comparison with the global 2012 figures, and corresponds with a compound annual growth rate (“CAGR”) of more than 40%.

Even though there is a lack of comprehensive investment forecasts for the Asian and American markets, the European Wind Energy Association has estimated that the annual investments in offshore wind power in the EU will increase from approximately 3,5 billion EUR in 2012 to more than 10 billion EUR in 2020, representing an increase of close to 200 percent. Between 2012 and 2020, the European Wind Energy Association expects that a total of more than 63 billion EUR will be invested in offshore wind energy in the EU.

Expected annual and cumulative investments in offshore wind power (€ Billion), 2011-2020, EU. Source: European Wind Energy Association

However, for the offshore wind power sector to be able to unlock its extraordinary growth potential, it must become more efficient. Today, it is widely accepted that the offshore wind power industry must decrease its cost of electricity production. A common target among leading utility companies, experts and public authorities, is that the Levelized Cost of Energy (the “LCOE”) of offshore wind power must be pressed below 10 Eurocent per KWh by 2020 to become truly competitive.

LCOE target pathway 2012-2020. Source: Roland Berger Strategy Consultants

At DWI, we know that by combining the technical and economic advantages of the DWI Power Station with the productivity, scale and efficiency of modern shipyards, the LCOE target of 10 Eurocent per KWh can be achieved already today.

All projects currently being developed by DWI have an estimated LCOE below 10 Eurocent per KWh.