Green light for London Array gets wide-ranging welcome

The consortium made up of DONG Energy, E.ON and Masdar announced that it will be pushing ahead with the first phase of construction, at a cost of £2 billion, with the aim of producing the first renewable energy by 2012.

Earlier this year doubts had been raised about whether the project would go ahead when the pound’s fall against the euro increased the cost of wind turbine components.

But the project’s three partners appear to have been reassured of it financial viability by the increased support for offshore wind power announced in last month’s Budget. They particularly welcomed the measure to allow energy supply companies to receive two, rather than 1.5, Renewables Obligations Certificates (ROCs) for every megawatt hour of energy bought from offshore wind farms in the current financial year and 1.75 ROCs in 2010-2011.

Anders Eldrup, ceo of DONG Energy, which has a 50 per cent shareholding in the project, said yesterday: "Following the two ROC announcement [...] I'm thrilled that we today also have the final investment decision on the London Array project.”

Wulf Bernotat, ceo of 30 per cent owner, E.ON, added :"I'm delighted that work can now get underway on the world's largest offshore wind farm [...] proof that, if all interested parties work together, renewable power can be taken to its next level and so make a real difference to the fight against climate change."

Energy and Climate Change Secretary Ed Miliband commented: "This is another green light for green energy. It's a vote of confidence in the support the Government has put into backing renewable energy.”

Onshore work on the project is now due to start in the summer, with offshore work beginning early in 2011. The London Array, which will be situated around 12 miles off the coasts of Kent and Essex on a 90 square mile site, will be built in two phases.

The first phase, due to be completed by 2012, will comprise 175 turbines producing 630MW of power. The second phase will add enough capacity to bring the total to 1,000MW, making the London Array the biggest offshore wind farm in the world and producing enough power for 750,000 homes, which is equivalent to a quarter of all households in Greater London. This will save 1.9 million tonnes of CO2 each year.

Commenting on the news that construction work on the project had been given the green light, Prime Minister Gordon Brown said: "The London Array is a flagship project in our drive to cut emissions by 80 per cent by 2050 and meet future energy needs. The UK is a world leader in offshore wind farms, creating jobs and prosperity for the economy. That's why we have increased our support for this technology as we move towards a low carbon future.”

Andy Atkins, executive director of environmental campaign group Friends of the Earth, also welcomed yesterday’s announcement: "It's fantastic news that the UK will be home to the world's largest offshore wind farm. London Array will cut UK emissions, reduce our dependency on fossil fuels and create hundreds of new green jobs. The UK has the best offshore wind resource in Europe. Ministers must ensure that more projects like this are developed so that Britain reaps the huge employment, business and environmental benefits of clean, green energy.”