The 2020s will be a new chapter for the wind industry, according to Wood Mackenzie research, as offshore wind’s share of the annual global wind market reaches 25 percent by 2028, up from 10 percent last year.
Onshore wind matured as an industry over the past 10 years. This maturation will continue in the new decade, as onshore wind increasingly competes with solar and suppliers undergo further consolidation.
Meanwhile, WoodMac finds that installed offshore wind capacity is expected to grow 7x by 2028. More than 80 percent of the capacity expected to be installed between 2019-2025 has already been awarded.
While the levelized cost of energy (LCOE) for onshore wind will continue falling in the 2020s, none of the sector’s advances in turbine tower design, blade materials or controls will be true game-changers, according to Wood Mackenzie’s Dan Shreve.
Groundbreaking technology advancements now generally fall within the offshore wind sector as opposed to onshore.
LCOE had already dropped significantly for offshore wind in recent years as companies invested in purpose-built equipment and designs targeting offshore wind. That trend will continue in the 2020s as technology costs continue to fall.
