U.K. to allow competition in offshore wind grid connections

The U.K. Department of Trade and Industry (DTI) has agreed to allow competitors to bid on offshore wind grid connections.

After weighing exclusive vs. non-exclusive options, the DTI has decided that Britain's monopoly electricity transmission network owners must compete against a wider range of transmission companies to build, own and maintain the links.

The aim for the 'non-exclusive' system is "to deliver cheaper and more timely connections from offshore wind farms to the onshore Grid, while encouraging innovation through competition and enabling new entrants to compete in the market," DTI said today in a statement.

The DTI had also considered an exclusive system, tendering for a number of different offshore regions where a single transmission owner provides grid connections.

"Along with Denmark, we are currently leading the world in the offshore wind sector and we want to keep the momentum going. In the last few months alone the Government has consented three major projects in the Thames Estuary and there will be more to come," said Energy Minister Lord Truscott (see U.K. approves two massive windpower projects and UK approves Greater Gabbard wind farm.)

"Ofgem welcomes and fully supports the competitive approach being introduced offshore. Introducing competition in transmission will benefit consumers and offshore renewable generators by putting downward pressure on prices and delivery times. We are keen to encourage effective competition and would therefore be interested in hearing from serious parties interested in developing these links," said David Gray, Ofgem's Managing Director for Networks.

Ofgem is the Office of the Gas and Electricity Markets, which supports the Gas and Electricity Markets Authority, the regulator of the gas and electricity industries in Great Britain.

Cleantech developments making news in the past 24 hours

• Econcern partners on €863M Chinese wind farm deal
• Behind the scenes at Cleantech Forum Shanghai
• Infinite Power raises $13M to ramp thin-film batteries
• Hawaii becomes next stop for Better Place
• Thar Technologies looks at India's karanj, jatropha for biodiesel
• BP, China to invest $73M in cleantech center

View the last week of cleantech developments here | Subscribe to full feed