Vattenfall expects to be able to build offshore wind power projects without subsidies by 2025, according to a senior company official.
The Swedish power giant said it plans to increased its portfolio to 4 gigawatts by 2020 from the current installed 1.8 GW, and further to 7 GW by 2025.
Michael Simmelsgaard, head of Vattenfall’s strategic projects in wind expected it could build offshore wind power without subsidy by 2025, depending on the projects,”
Vattenfall is trying to sell its polluting lignite or brown coal mines and power plants in eastern Germany.
Last year, Vattenfall won a tender to build the 400-megawatt Horns Rev 3 wind park off Denmark, which is expected to produce the world’s cheapest offshore wind energy.
The UK government announced last year that it would end onshore wind subsidies – known as the renewables obligation – from April 2016, but subsidies for offshore wind are to remain.
Offshore wind is one of the most expensive renewable energy technologies in Britain, because manufacturing and maintaining turbines strong enough to withstand marine environments is costly.