• LCoE for offshore wind power below eight euro cents per kWh by 2025
• Levers include digitalization and innovative foundations
• Competitive energy supply and climate protection
In early June, 2016, eleven members of the wind industry association Wind Europe issued a joined declaration containing the target of making offshore wind energy more cost competitive with conventional power generation within the coming years. At the Global Offshore Wind 2016 conference and exhibition in Manchester, England, Siemens as one of the first companies in the business is showcasing its commitment to lower the Levelized Cost of Energy (LCoE) for offshore wind power. Siemens’ offshore wind projects from 2025 onward will be capable of generating electricity at an LCoE level below eight euro cents per kilowatt hour (kWh). This price will also include the costs for grid access to shore.
Siemens is confident that they will reach their current goal of generating offshore wind power below ten euro cents per kWh by 2020. Today, 72% of this targeted cost reduction has already been reached. Almost half of that achievement can be attributed to technical improvements within wind turbines, installation processes, new grid connection technologies, maintenance strategies, and logistics.
“The offshore cost-out target for 2025 is an important milestone for us and the industry to enable offshore wind grid parity. At the same time, it combines climate protection and cost efficiency,” said Michael Hannibal CEO of Siemens Wind Power and Renewables Division. “We are confident that we will lower the LCoE to below eight euro cents per kWh by 2025.”
