Norway's energy regulator has identified four more areas as most suited for future offshore wind development, it said on Monday, with the government now consulting on the findings before making a decision on which to move forward.
Norway plans to open sufficient acreage by 2040 to allow for the development of 30 gigawatts of offshore wind development, potentially increasing the country's power-producing capacity by around 75%.
The Norwegian Water Resources and Energy Directorate (NVE) initially identified 20 areas as suitable for offshore wind deployment.
Having already assessed three areas as most suitable for development - two of which it has now progressed - it has identified a further four as also being suitable after further studies of the remaining acreage.
NVE found the four areas in southern Norway offered relatively better economic, wind and grid conditions, with relatively limited consequences for the environment and other industries, its director Kjetil Lund said.
A decision on which acreage to choose must be made by the government, he added. It has not said how many areas it is hoping to take forward.
The government will conduct a public consultation, seeking input from industry and other stakeholders, and will weigh local support and the need for more power, Energy Minister Terje Aasland said.
Presenting the report, NVE's Lund said offshore wind in Norway is not currently profitable without significant financial support.
The energy minister declined to comment on potential future subsidies, but said he expected costs for offshore wind to come down over time.
Norway's first offshore wind farms at Soerlige Nordsjoe II and Utsira Nord have been offered state support of 23 billion Norwegian crowns ($2.26 billion) and 35 billion crowns respectively.
($1 = 10.1864 Norwegian crowns)
Potential areas for offshore wind farms in Norway https://reut.rs/3ZH5aWq
(Reuters)
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