Siemens Commits To Lowering LCoE Of Offshore Wind By 2025

Sign up for daily news updates from CleanTechnica on email. Or follow us on Google News!

German engineering company Siemens has announced its commitment to lowering the Levelized Cost of Electricity of offshore wind power by 2025.

Announced at the Global Offshore Wind 2016 conference and exhibition in Manchester, England, this week, Siemens has unveiled its intentions to commit to lowering the Levelized Cost of Electricity (LCoE) for offshore wind power by 2025 and onward, promising that its offshore wind projects will be able to generate electricity at an LCoE of eight euro cents per kilowatt hour (kWh) — which includes the costs for grid access to shore.

“The offshore cost-out target for 2025 is an important milestone for us and the industry to enable offshore wind grid parity,” said Michael Hannibal CEO of Siemens Wind Power and Renewables Division. “At the same time, it combines climate protection and cost efficiency. We are confident that we will lower the LCoE to below eight euro cents per kWh by 2025.”

Siemens is aiming to reduce the LCoE of offshore wind power below ten euro cents per kWh by 2020, with 72% of this targeted cost reduction already having been accomplished. Specifically, according to Siemens, half of the 72% accomplishment has been reached through technical improvements within turbines, the installation processes, new grid connection technologies, maintenance strategies, and logistics.

The further reduction of costs over the following five years will be primarily reliant upon the next generation of offshore wind turbines, combined with new production techniques. Siemens is busy working on new manufacturing techniques and developing new solutions for offshore wind turbine foundations, which will both contribute to the company’s intended LCoE reductions. Approved last month, the 588 MW Beatrice Offshore Wind Farm set to be located in Scotland and being supplied with wind turbines from Siemens will make use of some of the company’s new developments.


Have a tip for CleanTechnica? Want to advertise? Want to suggest a guest for our CleanTech Talk podcast? Contact us here.

Latest CleanTechnica TV Video


I don't like paywalls. You don't like paywalls. Who likes paywalls? Here at CleanTechnica, we implemented a limited paywall for a while, but it always felt wrong — and it was always tough to decide what we should put behind there. In theory, your most exclusive and best content goes behind a paywall. But then fewer people read it!! So, we've decided to completely nix paywalls here at CleanTechnica. But...
 
Like other media companies, we need reader support! If you support us, please chip in a bit monthly to help our team write, edit, and publish 15 cleantech stories a day!
 
Thank you!

Advertisement
 
CleanTechnica uses affiliate links. See our policy here.

Joshua S Hill

I'm a Christian, a nerd, a geek, and I believe that we're pretty quickly directing planet-Earth into hell in a handbasket! I also write for Fantasy Book Review (.co.uk), and can be found writing articles for a variety of other sites. Check me out at about.me for more.

Joshua S Hill has 4403 posts and counting. See all posts by Joshua S Hill