OWGP Announces £2 Million Support Fund for Wind Manufacturing Enhancement
The Offshore Wind Growth Partnership (OWGP) has taken a significant stride towards strengthening the UK’s position in the offshore wind sector with the introduction of a new funding initiative. Named the Manufacturing Facility Support Programme (MFSP), this scheme aims to boost the UK wind manufacturing capabilities through a substantial financial injection. A total of £2 million has been allocated to support UK businesses that are keen on either developing new manufacturing sites or expanding their current operations focused on producing essential components and equipment for the offshore wind industry.
Grant awards from the MFSP are capped at £500,000, with the objective of facilitating pre-investment phases. These initial stages are crucial for attracting further capital investments from various external sources. To qualify for this funding, manufacturing facilities must demonstrate alignment with critical areas and opportunities for UK manufacturing growth as outlined in the Offshore Wind Industrial Growth Plan. This plan is a collaborative effort by the Offshore Wind Industry Council (OWIC), Renewable UK, and the Crown Estates of both the UK and Scotland, pinpointing essential manufacturing areas such as turbine blade production, deeper water foundation construction, and the development of operations and maintenance vessels.
Iain Sinclair, the executive director at Global Energy Group and a non-executive director for OWGP, highlighted the program’s intention to aid UK-based manufacturing firms. These companies are expected to utilize the MFSP to boost their production capacities, focusing on the domestic creation of essential offshore wind equipment and systems. Sinclair emphasized, “Developing these resources is key to helping accelerate the deployment of offshore wind in the UK, aiming for our ambitious target of 60GW by 2030.” He also noted that the MFSP program is a crucial step towards enhancing productivity, augmenting business competitiveness, fostering innovation, and ensuring the UK remains a globally competitive player in the offshore wind supply chain.
The broader scope of green industry and renewable energy technology manufacturing is seen as vital to the UK’s pursuit of its net zero targets and long-term economic resilience. Recent evaluations by Aldersgate Group, a sustainable business consortium, have indicated the UK’s lag in green tech investment incentives compared to the global scene, specifically pointing out the notable strides made by the United States through its Inflation Reduction Act (IRA). This comparative analysis suggests a risk of substantial economic losses for the UK if it does not boost its investment in green industries.
Significantly, offshore wind farms bring considerable economic advantages to the UK, with each large-scale project contributing £2 to £3 billion to the national economy. This economic potential motivated the development of the Industrial Growth Plan. Reflecting on this, Dan McGrail, chief executive of RenewableUK, expressed that the plan provides a clear strategy for capitalizing on the vast economic opportunities presented by offshore wind. It aims to ensure the UK takes full advantage of its capacity to locally manufacture key components like towers, blades, cables, foundations, among other products crucial to the offshore wind sector.
With this new funding programme, the OWGP sets a course for not just meeting the UK’s ambitious energy targets but also securing its future in the burgeoning global green technology landscape.
