The world’s largest wind developer in the world has canceled plans for one of the largest marine wind buttons in the United Kingdom in a major blow to the government’s green energy targets.
The Danish Wind Energy Company said that the Hormus 4 project is no longer economically logical due to the high costs in the global supply chain in the industry, after winning a government contract two years ago.
The decision to stop working in the project is a major blow to the government’s plan to distort the external wind capacity in the United Kingdom by the end of the contract to help create a fossil -free electricity system.
The fourth stage of the huge Hornsea WindfarmIt is located off the coast of Yorkshire, which is expected to use 180 giant turbines to generate enough green electricity to operate the equivalent of 1 million homes, or 2.4 GB of power capacity.
However, the CEO of the company, Rasmus Erboe, said, “A mixture of increasing supply chain costs, high interest rates and increased implementation risk” means that it is unlikely to provide the project value for the company.
This project is the latest that has come out of its path due to the increase in costs, which resulted from high inflation and interest rates, as well as problems in the Earth’s global supply chain in recent years.
Last year, two projects for foreign winds were canceled off the American coast due to fears of high costs, and The beginning of the third project was delayed Qaying the coast of Rod Island and Contecticut for a year, until 2026.
This was followed by a decision from the Swedish energy company VATTENFALL in 2023 to Stop working on Norfolk Boris Peru Bird Pound In the North Sea, which was designed to run the equivalent of 1.5 million British homes, because it is no longer profitable.
On Wednesday, the wind industry faced short -term challenges such as the problems of the supply chain, “organizational developments and the total economy”.
Such problems have raised concerns about the renewable energy targets of the UK government, and the pressure on its auction has accumulated for new renewable energy contracts.
The government plans to Double the wild winds in the United Kingdom, three times its solar power and the wind of wind energy abroad by the end of the contract. It hopes to transfer gas factories to only 5 % of the United Kingdom’s power generation by 2030 to create a clean energy system.
Dara Vias, CEO energy The United Kingdom, which represents the industry, said that the loss “will raise the risks” in the upcoming auction round, due in the summer, and added that it is necessary for the government to double to ensure guarantee [it] It is success.
This should include ensuring that the auction criteria reflect the costs of industry, according to Jane Cooper, CEO of Renewableuk, another group of industry.
After promoting the newsletter
Cooper also called on the government to exclude the introduction of controversial plans to repair the electricity market By providing “pricing regions” Which would “pay the cost of investment further.”
A government spokesman said he still has a “strong pipeline of projects” to provide clean energy by 2030 and will work with Ørsted to obtain Horsa 4 “to return to the right track.”
“Through our mission, we will provide an energy system that gives energy bills for good and enhances energy security in Britain as part of our plan for change.”
For us, Windfarm developers, the economic challenges facing the industry have habted due to the Trump administration pledge to end the development of marine winds “on the first day”. It has released a parked for a major wind project abroad developed by Equinor Governmental Company in Norway.
However, Ørsted said that the long -term view of the external was strong due to the growing demand in the world on electricity and the new focus on “energy security and the ability to withstand costs” provided by renewable energy.
The cancellation of the latter’s Ørsted project comes after a turbulent time for the company, which led to the implementation of the restructuring plan in 2024, while profit payments were canceled for shareholders for 2023-25 fiscal years in an attempt to support its financial resources. Its market value decreased by 80 % since its peak in 2021.
