Offshore Wind-Power Prices Are Plunging | Bloomberg

New energy economics

"Iberdrola SA’s Scottish Power Renewables unit has submitted a bid for its 1.4-gigawatt East Anglia Three project, off England’s east coast. East Anglia One, which this week started to generate electricity from the first of its 102 turbines, won a similar auction in 2015, with a price of 119 pounds ($147) per megawatt-hour.

This latest round could see bids less than half of that, according to an executive at the company. The slide in prices highlights how rapidly offshore wind has transformed from a niche technology to a core part of the global push to reduce dependence on fossil fuels.

“It’s going to be at a price that’s cheaper than anything we’ve seen before in the U.K. and probably at a price sitting below the government’s own projections,” said Jonathan Cole, managing director of Iberdrola’s offshore wind business."

Offshore Wind-Power Prices Are Plunging | Bloomberg