GWEC | GLOBAL WIND REPORT 2024

GLOBAL WIND ENERGY COUNCIL

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Table of contents
Foreword 2
Executive Summary 9
Wind energy: Meeting the global goal to triple renewables by 2030 17
Chapter 1: Investing in wind to meet the tripling renewables goal 24
Chapter 2: Building the global wind supply chain to meet the
tripling renewables goal 41
Chapter 3: Generating the grid system to meet the tripling renewables goal 64
Chapter 4: Fostering public support for wind energy to
meet the tripling renewables goal 79
Markets to Watch 103
Australia, Azerbaijan, Brazil, China, Egypt, India, Japan, Kenya,
The Philippines, Saudi Arabia, South Korea, the US, Vietnam
Market Status 137
Market Outlook 2024-2028 150
Appendix 159

GLOBAL WIND ENERGY COUNCIL

Global Wind Energy Council Gitobu, Reshmi Ladwa, Janice Cheong, Wangari Korea Wind Energy Industry Association (KWEIA), (IRENA)
Rue de Commerce 31 Muchiri, Ramon Fiestas, Heba Rabie, Kshitij Madan, China Wind Energy Association (CWEA), Thailand •Pavel Miller (SSE)
1000 Brussels, Belgium Amisha Patel, Nadia Weekes Wind Energy Association (ThaiWEA), Mongolian •Wadia Fruergaard, Rina Bohle Zeller (Vestas)
[email protected] Renewable Energy Association, Iran Renewable •George Aluru (ESAK)
Additional Contributions
www.gwec.net Energy Association (IRWEA), Electricity Sector
Asociación Mexicana de Energía Eólica (AMDEE), SER Front cover
Association of Kenya (ESAK), South African Wind
Colombia – Asociación Energías Renovables, Image courtesy of Masdar
Lead Authors Energy Association (SAWEA), Clean Energy Council
Associação Brasileira de Energia Eólica e Novas
Joyce Lee, Feng Zhao - Australia, American Clean Power (ACP), Canadian Published
Tecnologias (ABEEólica), Binh Thuan Wind and Solar
Renewable Energy Association (CanREA), 16 April 2024
Contributors and Editing Energy Association - Vietnam, Camara Eólica
WindEurope.
Ben Backwell, Mark Hutchinson, Navneet Khinda, Argentina, Asociación Peruana de Energías Design
Emerson Clarke, Liming Qiao, Rebecca Williams, Renovables (SPR), Asociación Chilena de Energías We received valuable review and commentary for this lemonbox
Weng Han Tan, Wanliang Liang, Anjali Lathigara, Esther Renovables y Almacenamiento (ACERA), European report from: www.lemonbox.co.uk
Fang, Marcela Ruas, Thang Vinh Bui, Ann Margret Chamber of Commerce Taiwan (Wind Energy •Roland Roesch, Francisco Boshell, Jaidev Dhavle,
Francisco, Thoa Nguyen, Martand Shardul, Jeanette Committee, Japan Wind Power Association (JWPA), Adrian Gonzalez, Juan Pablo Jimenez Navarro

GWEC | GLOBAL WIND REPORT 2024 1

 Foreword

Word from the Chairman

Meeting the challenge of our times current rate, we expect to hit 2 TW that the energy transition is
requires ambition and courage: before 2030. inevitable, who pursue fiscal and
The ambition to be bold and think practical measures designed to
big in the pursuit of a clean energy Nonetheless we must encourage supply chain growth,
future, and the courage to make acknowledge, firstly, that this rate of and who remove barriers to free
the tough choices to fulfil that growth still leaves us far short of trade that – whilst tempting in the
ambition. the tripling target and, secondly, short-term – are only likely to
that our sector has been tested by delay and increase the cost of the
When nearly 200 governments at the tough macroeconomic energy transition.
COP28 in Dubai agreed the environment. Global inflationary Jonathan Cole
historic goal to triple renewable pressures, rising cost of capital and To incentivise new renewable CEO of Corio Generation and
Chair of Global Wind Energy Council
energy capacity, they fragility in the supply chain have energy projects, we need
demonstrated the ambition that will affected our ability to ramp up in regulatory frameworks that
be needed to transition away from many regions. measure the true value of the
fossil fuels, limit the global electrons we deliver, at a fair price, incentivise new projects. Landmark
temperature rise and avert the Given the urgency of the action according to the full spectrum of legislative accomplishments such
worst impacts of climate change. needed, we do not have time to services they provide: In addition as the US Inflation Reduction Act,
retreat and wait for these problems to powering homes and the EU’s Wind Power Package and
Now comes the hard part. The part to go away – we need decisive businesses, the wind farms that China’s Five-Year Plan serve as
where we must take the bold action by our political and GWEC members are building recent exemplars of political
decisions necessary to make this industrial leaders to address the today will decarbonise the statements being met with
goal a reality. big challenges before us. economy, reduce dependence on concrete actions.
volatile fossil fuels, enhance
Looking at this year’s Global Wind This means countries taking steps security of supply, improve energy When you consider everything we
Report, we can see strong to derisk and accelerate price stability, generate jobs and have already achieved, having the
progress by the wind industry in deployment of renewables by career opportunities, stimulate courage of our convictions feels
commissioning huge volumes of prioritising early investment in the economic development and much less like a leap of faith. Wind
renewable energy. 2023 saw the grid and transmission reinvigorate neglected energy has never been more in
highest number of new installations infrastructure and moving swiftly to communities. demand and, with a little resolve
in history for onshore wind (over streamline permitting processes. and determination, I am certain
100 GW) and second highest for Around the world, we are this industry will emerge stronger,
offshore wind (11 GW). We passed It requires political leaders who are beginning to see the positive more resilient and more confident
the symbolic milestone of 1 TW willing to spend political capital by impacts of major policy in its future than it has ever been
installed globally and, at the sending clear signals to the market interventions designed to before.

2 GWEC.NET
 Foreword

Building a confident wind industry

in a 3X renewables world
The wind industry is in would bring us to around 3 TW of Kenya. Supporting these countries
a pivotal moment. cumulative wind energy capacity to push through regulatory
The historic COP28 adoption of a by the end of the decade. complexity and scale up
target to triple renewable energy investment will play a big part in
by 2030 to accelerate the energy It took us over 40 years to reach accelerating wind installations
transition onto a Paris Agreement the 1 TW mark of worldwide beyond 300 GW per year.
trajectory showed the extent to installed wind power. We now have Ben Backwell
which the world is relying on wind just 7 years to install the next 2 TW. However, there are still many parts CEO, Global Wind Energy Council
energy to reach its climate goals. of the world where growth has
While this is possible, it will require been sluggish or non-existent,
Among policymakers and an unprecedented level of focus, particularly in the Global South.
international institutions, there is a determination, collaboration and Policymakers and investors will
strong understanding that the ingenuity to reach the goal. need to work hard to come up with supply chain can grow to the level
world must accelerate installations better solutions for the millions of needed to keep the transition
of readily available technologies Industry growth is speeding up, people in areas like sub-Saharan moving.
– namely wind and solar PV – if the and once again the industry broke Africa to ensure that they too can
world is going to move to a a new annual record in 2023. But so play a role in the energy transition, But there is a strong case for
cleaner, modern and more flexible far, growth has been overly and gain access to clean electricity optimism. Climate diplomacy is
energy system in the timeframe concentrated in the key markets of and sustainable economic growth arguably the single most
required. China, the EU, the US, India and opportunities. collaborative, action orientated,
Brazil. rules-based, multilateral discussion
This places both a unique At present, market frameworks are in the world right now. After 28
opportunity and a unique An unprecedented number of still rewarding investment in fossil COP meetings, we are seeing the
challenge in front of our industry. countries have now established fuels, while companies in world sitting down seriously to
Essentially, as outlined in this year’s ambitious national targets – renewable energy and other key discuss increasing climate action,
Global Wind Report, we need to particularly those with strong transition areas see thin returns preparing for fossil fuel phase out,
accelerate wind energy offshore resources – including and sluggish equity valuations. and pledging to achieve 3X
installations from a level of 117 GW major industrial economies and Concerted effort will be needed to renewables and net zero. The push
in 2023 to at least 320 GW of large emerging markets such as ensure enough finance flows to for 3X is slowly but surely filtering
annual installations by 2030. This Japan, South Korea, Australia, renewables, to remove planning into targets, policy and regulation
tripling of annual wind installations Vietnam, the Philippines and barriers, and to ensure that the as governments look to the means

GWEC | GLOBAL WIND REPORT 2024 3

on hand – essentially wind and Ocean Energy Pathway technical The alternative is a fragmented
solar PV – to meet their climate assistance programme, Women in world and military conflict, and an
commitments. Wind, our work on supply chains inward-looking, more hostile
and other activities. political climate where extremist
The Global Renewables Alliance ideas and false narratives can run
– initiated by GWEC and the peer The shift towards greater urgency wild. In my view, this “dark
global renewable technology and action is hugely positive. But at domino” scenario would have dire
associations to create a combined the same time, we face increased impacts for the transition and
voice – has found massive public economic and social volatility, the renewable energy sector.
and political support for its predominance of geopolitics and a
message of “Double Down, Triple return to widespread military The wind industry can’t fix all
Up, Time 4 Action.” action. These days, as the UN these problems, of course. But it
Secretary General has lamented, can help fix the most important –
Meanwhile, the three main emitting countries seem to turn to force runaway climate change – while
blocs, China, the US and Europe, before thinking of the wider injecting positivity and hope into
are all taking unprecedented action consequences. society’s discussion and providing
to speed up emissions reduction a pathway to a fairer and more
and build green industries, with Governments will need to find the prosperous planet. We can push
massive programs of policy, right balance between national for collaboration across
regulatory and financial support. industrial policy on the one hand, geographies and cultures,
This is already having a big effect, and maintaining open global trade, inclusivity, building new and
with record installations in China, competition and innovation on the unprecedented mega engineering
an approaching installation rush for other. We need to try very hard to projects that are truly awesome –
onshore and offshore in the US and make sure that healthy competition these are some of the things which
positive effect of new regulatory for leadership in the energy we can contribute as we expand
urgency in the key European transition does not turn into rivalry, and mature as a sector.
market of Germany. protectionism, trade wars,
deepened inequity for the Global The challenges are many. But the
GWEC is working hard with South and a race to secure important thing is put fear aside and
governments, stakeholders and materials at the expense of others. take the concrete steps every day
companies to continue working that are needed to overcome them.
through the bottlenecks in International collaboration,
countries around the world – many dialogue and managed Working together, we are confident
highlighted in the Global Wind competition: these will continue to that the wind industry will
Report’s Markets to Watch – be the bedrock of economic contribute to the building of the
through initiatives such as the growth and the energy transition in Confident Green World that we all
Global Offshore Wind Alliance, the the coming period. wish to see.

GWEC.NET
 Foreword

Translating vision into reality power development and manage

unstable market mechanisms (see
Chapter 2).
In the last few years, the world mammoth task demanding
has awakened to the disastrous integrated multi-stakeholder Building a resilient supply chain
impacts of climate change, action with a larger Since every country has a different
leading to global consensus by synchronisation of priorities, effort set of challenges, including
governments, industries and and innovative financing. economic environments and
stakeholders across the value manufacturing ecosystems,
chain on committing to ambitious Amidst the passion for climate governments must champion
climate targets. As we shifted our action, let’s keep reminding domestic-friendly policies and
focus from discussions to ourselves that goal-setting is a systems based on their own
decisions, the global goal to long-term exercise. However, regulatory and geopolitical Girish Tanti
triple renewables by 2030 implementation requires well- scenarios to scale and maintain Vice Chairman, Suzlon Group
secure supply chains for
renewables.
To realise the true potential of global supply chains,
To realise the true potential of
we must leverage regional excellence to uphold a global supply chains, we must
unified purpose of locally made, globally sourced. leverage regional excellence to
uphold a unified purpose of
“locally made, globally sourced.”
emerged as a sustainable course aligned short- and medium-term Arriving at that delicate balance
of action at COP28, promising a decisions specific to countries, of convergence and
triple bottom line of industries and resources. diversification to promote local
environmental, economic and interests, protect against
social benefits. The hour calls for policymakers geopolitical risks and enable the
and industries to work together to ramp-up of renewables should be
In unprecedented unison, more resolve bottlenecks and boost a global priority.
than 130 countries agreed to renewables adoption. This requires
triple renewable energy capacity agility in local policy actions Leveraging the Global South
to at least 11,000 GW by 2030 to centred around project permitting, Thus far, the green energy
phase out fossil fuels and meet the technology suitability, revolution has largely been driven
1.5°C global warming threshold. manufacturing preparedness, by the Global North. However, the
We need a similar collective supply chain development and awakening of the Global South
resolve for the implementation grid infrastructure readiness to presents a momentous
strategies for this goal. This is a support decentralised green proposition of bringing in

GWEC | GLOBAL WIND REPORT 2024 5

 Renewables can help democratise energy
through global trade and innovative climate
action instruments.

enormous demand for clean target (see Chapter 1).

energy to fuel rapidly growing
economies. Countries in the Today, renewables are one of the
Global South also have the cheapest energy sources in the
potential to become the leading world. With consistent and
cost-efficient technology and equitable financing, governments
supply chain partners. have the opportunity to revitalise
their economies with
At present, countries face the manufacturing, power generation
challenges of balancing global and green jobs, and also meet
versus local supply chains, as their energy security needs in the
well as the speed versus the process.
price at which to develop
renewables. Renewable energy is a great
equaliser for countries less
Green financing for tripling equipped to contribute to climate
renewables action, helping build competitive
During the last five years, economies through distributed
investments in renewables have resources and decentralised
outpaced those in other power generation. A catalyst for
sectors, reaching nearly $700 economic growth, renewables can
billion, according to the IEA. help democratise energy through
However, global investments in global trade and innovative
renewables, grid and storage climate action instruments,
infrastructure need to increase to thereby uniting a fragmented
around $2 trillion per year to world and offering an equitable,
realise the tripling renewables healthier future for all.

GWEC.NET
 Foreword

The world must now unite around action

COP28 concluded with the historic offshore wind projects in the world, similar trend in new renewable
UAE Consensus, driving forward a as well as a €15 billion strategic energy capacity in general, where
global commitment on climate partnership agreement with a small number of nations are
action. With this clear mandate, the Iberdrola to evaluate the joint responsible for most new
world must now collectively unite development of offshore wind in installations, predicating an
around action, accelerating the the UK and other key markets like unequal energy transition.
energy transition by delivering the US and Germany.
clean energy solutions that support Investment must accelerate, supply
the tripling of global renewable Closer to home, Masdar chains need to be strengthened,
capacity. inaugurated the UAE Wind trade barriers must be reduced, Mohamed Jameel Al Ramahi
Program, bringing utility-scale regulatory obstacles like licensing, CEO, Masdar
Wind energy is a critical wind to the UAE for the first time permitting and auction design for
component in reaching these and leveraging innovative, state-of- both seabed rights and revenues
ambitions, and it is against that the-art, low wind speed must be addressed, grid
backdrop that GWEC’s Global
Wind Report 2024 provides an
important review of the progress It is clear that wind is continuing to generate great
that has been made in the global
wind sector. With 117 GW added momentum in every corner of the globe.
last year, installed wind power
capacity worldwide has surpassed
1 TW, equivalent to the entire fleet technologies that will pave the way infrastructure needs to be
of clean and conventional power of for future projects in other low expanded and overall collaboration
the US. Progress is being made wind speed geographies. should increase so that industry
and there is much to be proud of. can scale up at pace. Financing,
It is clear that wind is continuing to particularly of projects in the
In line with the report’s findings, generate great momentum in Global South, must be a priority,
2023 was a record year for every corner of the globe. Yet, as supporting vulnerable
Masdar’s growth in the global wind this year’s report outlines, the communities, generating economic
sector as well. It included an £11 current trajectory in wind energy is opportunities, and in turn,
billion landmark agreement with not sufficient if we are to triple delivering social impact.
RWE to co-develop the 3 GW renewable energy capacity to
Dogger Bank South Windfarm in 11,000 GW by 2030. The Global This is another area that Masdar is
the UK, one of the largest planned Wind Report 2024 highlights a playing a leading role in through

GWEC | GLOBAL WIND REPORT 2024 7

 Strap

our platform Infinity Power, the 1 TW milestone in 2023 is

Financing, particularly of projects in the Global largest pure-play renewable required. With global alignment
energy company on the African under the UAE Consensus, we at
South, must be a priority, supporting vulnerable continent with wind projects Masdar are confident that nations
across South Africa, Egypt and and energy leaders around the
communities, generating economic opportunities, Senegal. world will put into practice the
and in turn, delivering social impact. policies, regulation and
To get to where we need to go, the investments needed to unlock the
same resilience and full potential of clean energy and
determination that has resulted in help drive the energy transition
wind power capacity passing the forward.

8 GWEC.NET
 Strap

EXECUTIVE SUMMARY

GWEC | GLOBAL WIND REPORT 2024 9

 Executive Summary

The Story: Wind energy and the global

goal to triple renewables by 2030
When the gavel fell at COP28 at to 1.5°C. Wind energy was also significantly contribute to this
the end of 2023, a historic recognised in the final decision landmark goal. There is rising
milestone was reached: Nearly 200 text as a key climate change political ambition on the global
governments agreed on the need mitigation technology, which has energy transition, as well as
to triple renewable energy become increasingly cost-effective recognition at the highest
capacity globally and double and available. diplomatic and institutional levels
Joyce Lee
Head of Policy and Projects, energy efficiency improvements of the urgency to close the “say/
Global Wind Energy Council by 2030, to get on-track for a The last year gives cause for do gap” when it comes to
pathway that limits global warming hope that wind energy can implementing renewable energy
targets. In 2023, a record-high 117
Wind energy installations need to triple by 2030, but face competing pressures GW of new wind power was
on growth in this crucial period installed worldwide, representing
a 50% hike from the previous
Target for 3xRE to maintain 1.5C pathway year, which reflects the resilience
350
● Political consensus on the energy transition 320 of the industry even as it faced
with the 3xRE goal prolonged supply chain and
300 Value proposition of wind against fossil fuels
macroeconomic difficulties.
●

continues to strengthen
● Rapidly growing ambition for offshore wind, and
250 rising RE demand from industry
● Strong appetite, especially in private sector capital, The shift of clean energy into the
to invest in wind heart of national industrial policy
Technology acceleration in storage and flexibility
200 for major economies, combined
●

for system integration of RE

● Permitting issues slow down projects with gathering momentum in
globally and increase their costs
150
● Grids were designed for a different era and need
offshore wind and promising
117 urgent investment ambition among emerging markets
Rising cost of capital and inadequate
and developing economies
●
100 finance for projects in EMDEs
● Supply chains and workforce constraints (EMDEs), has prompted a more
will grow more acute
50 ● Social acceptance and land rights issues optimistic growth outlook from
will intensify as wind expands
GWEC for total new wind additions
6.5
0 through 2030 – increased by 107
// // //
2001 2023 2030 2050 GW, compared to last year’s
Source: GWEC Market Intelligence. outlook.
Lorem ipsum

10 GWEC.NET
But the road to tripling global fissures have resulted in a fractious role in the tripling renewables
renewables in this decade is far public discourse on building goal, or get as close to it as
steeper, to say the least, and lined resilient global clean energy possible. How the wind industry
with daunting challenges. Global industries, and dimmed future acts and advocates on increasingly
wind growth needs to rapidly forecasts for world trade growth.1 complex issues, from global trade
accelerate, with annual wind of clean energy to interactions with
installations roughly tripling to at Like other industries, wind energy communities hosting projects, will
least 320 GW over the course of is still on the road to recovery from determine whether we ultimately
the decade. This pace of the reverberating impacts of deliver a just and equitable
installation raises questions across COVID-19 and the invasion of transition.
the areas of investment and Ukraine. This year, there are 2
financing, supply chain, billion people expected to go to Global Wind Report 2024
infrastructure buildout, land and the polls in presidential or examines four areas – investment,
seabed availability, social legislative/parliamentary elections supply chains, system
acceptance and more. in more than 60 countries, which infrastructure and public
could send further shockwaves – consensus – which will set the
There are plenty of promising some positive, and some less so – conditions for wind energy growth
tailwinds, from strengthening across the renewables sector. to take off through 2030 in pursuit
demand signals for renewable of the tripling renewables goal.
power to technology acceleration Navigating these competing and While not an exhaustive list, GWEC
that paves the way for large-scale multidimensional pressures on considers these domains as critical
system integration. At the same growth is an unwieldy task, but for meaningful engagement to
time, the global wind industry faces vital to keeping the narrowing mitigate the risks of an unstable
downward growth pressure from 1.5°C window alive. A difference of and disorderly transition.
policy and regulatory areas like a few percentage points of wind
permitting complexities and energy growth could make a This year’s report also delves into
timelines to grid bottlenecks to material difference to the global the potential pinch points that
land rights issues around the world. warming trajectory – and that delta accompany the present-day
represents cleaner and more technological era: a rapid
Widening wealth gaps between secure energy systems, as well as innovation cycle in wind
the Global North and South have positive transformation for technology which undermines
been exacerbated by rising countless lives and communities. business profitability and risks
inflation and cost of capital. Trade product quality; interest groups
distortions and geopolitical Facing these choppy waters ahead, actively using technology and
it will take courage, conviction and social media to foment
1. IMF, World Economic Outlook Update, January 2024:
Moderating Inflation and Steady Growth Open Path to Soft
radical collaboration for wind disinformation on climate change
Landing, 2024. energy to achieve its anticipated and renewables; robotics, artificial

GWEC | GLOBAL WIND REPORT 2024

 Executive Summary

intelligence (AI) and automation

introducing further disruptions to
labour and workforce planning;
and a digitalisation gap between
countries which impacts their
capacity to allocate land, permit
projects and operate smart,
modern grids.

Each section includes a list of

recommendations on improving
the conditions for wind growth.
The common thread among these
recommendations is deeper and
more robust forms of collaboration goal to triple renewables by 2. Growth at scale comes with pursuing supply chain
between the wind industry, 2030: stable and ambitious policy diversification and strategic
policymakers, investors and environments that offer onshoring, while maintaining
communities, from enhanced 1. Meaningful action is needed reasonable returns on the global interlinkages of the
cross-sector dialogue at the to mobilise larger volumes of investment: Recognition of the supply chain, so as not to
global level to embracing more investment into wind energy: wider societal and interrupt/delay project
flexible expectations at the This will need an “all hands on socioeconomic net benefits of deployment or the wider
community level. deck” approach to shift market wind energy can help to drive energy transition.
design into models that uptake of the technology, foster
Finally, the report builds on the incentivise large-scale more sustainable remuneration 4. Trade policy should foster
need to ensure a significant and renewable growth and, schemes and secure higher competitive industries, not
beneficial role for the Global South especially in the case of project realisation rates. push higher costs onto
on the road to the tripling EMDEs, to enhance public/ end-users: Rather than
renewables goal. As such, we have private partnerships to mobilise 3. Collaborate to build a secure pursuing defensive
expanded the Markets to Watch investment. Without deliberate global supply chain with mechanisms which could
section, showcasing the growth realignment of investment with healthy, managed enhance trade barriers,
opportunities for wind energy from the principles of equity and competition: Governments can governments should focus on
Egypt to the Philippines. fairness, reflected in a balanced address domestic policy and incentivising strategic segments
North-South distribution of regulatory barriers to support of the domestic industry,
Here are the top 12 takeaways capital, benefits, knowledge confidence in future supply creating a more attractive
from this year’s Global Wind transfer and technology, the chain investments. market environment by
Report on the role of wind goal of tripling renewables will Policymakers should also adopt ensuring adequate pricing and
energy in achieving the global not materialise. a balanced approach between returns, making competitive

12 GWEC.NET
 Executive Summary

finance available and removing frameworks on cybersecurity will require early, extensive and
bureaucratic barriers. and data-sharing. effective engagement and a
shared understanding of what
5. New production models are 7. Close the gap on grids: Grids that will mean for communities,
needed to industrialise and must become a national and nature and users of land/sea
decelerate the turbine cross-cutting policy priority for spaces. Policymakers, industry
platform race on size: countries to meet their energy and communities can
Cooperation amongst industry security, climate and economic collaborate on a number of
should shift into multilateral growth goals. This will require actions, from proactive
technical partnerships and clearer targets for grid dialogues to establishing
taskforces which focus on investment and system centralised permitting
innovation, standardisation and flexibility, anticipatory funding authorities.
ESG assurance. The transfer of and investment in buildout, as
knowledge and technology well as public support for grid 10. Community engagement is are required that push back
from the North to the South is expansion. Cross-border grid more critical than ever: against cynicism and turn the
crucial for a just transition, and integration also needs to be in Meaningful community tide in favour of a renewable
will require wide-ranging the toolbox for implementing engagement and respect for energy-powered world.
dialogue and agreements on the tripling renewables goal indigenous rights are of vital
“rules of the road” and fair and distributing its benefits. importance for the successful 12. The global wind industry
partnerships. expansion of wind energy, while must fulfil its role in
8. Scale modern and flexible preserving cultural heritage delivering a just and
6. Ensure the advantages of AI power systems: Policymakers and traditional ways of life. equitable transition: Scaling
and machine learning should prepare to utilise Participatory and inclusive wind energy requires
outweigh the drawbacks: AI storage, demand-side response engagement with impacted socioeconomic cohesion
can be harnessed for supply and other flexibility solutions. communities over wind farm around the transition agenda.
chain efficiencies and siting Otherwise, disjointed efforts to lifetimes at project level is The industry can contribute by
optimisation, among other build out renewables while important to safeguard growth fostering a diverse, equitable
uses, but will impact workforce underinvesting in grid and at sector level. and inclusive workforce,
planning in the transition and flexibility infrastructure could collaborating with governments
carries attendant risks. lead to power system 11. Guard against misinformation on facilitating pathways for
Industry and authorities inefficiencies and wider gaps in and disinformation that sow workers from carbon-intensive
should collaborate on clean energy access, ultimately doubt in wind and renewable industries, and working with
understanding the undermining the transition. energy: Misinformation can stakeholders on strong
opportunities and risks reduce trust in the wind industry, governance and decent work
presented to the clean energy 9. Action to accelerate at a time when the world needs across the wind value chain,
sector, including good permitting of wind projects: an accelerated roll-out of including in upstream mining
practice and risk management The expansion of wind energy renewables. Effective strategies and production.

GWEC | GLOBAL WIND REPORT 2024 13

 Executive Summary

The Data: 2023 was the wind and Latin America had record years
with more than 75 GW and 6 GW of
onshore wind capacity added,
industry’s best year respectively, mainly thanks to
dramatic growth in China and Brazil.

The wind industry experienced its In the onshore wind market, 106 New additions in Europe and
most successful year on record in GW was fed into the grid last year, Africa & Middle East did not
2023, with installations increasing representing YoY growth of 54%. surpass last year’s record.
by 50% year on year (YoY). This milestone marks the first time However, both two regions still
Despite the world being fully open that over than 100 GW of new experienced their second-best
following the global health crisis onshore wind capacity was years in terms of new onshore
Feng Zhao sparked by COVID-19, 2023 installed worldwide within a single wind installations.
Head of Strategy and remained an unusual year due to year. At the country level, China
Market Intelligence, GWEC
the challenging macroeconomic and the US remained the world’s Total onshore wind additions in
environment, rising and ongoing two largest markets for onshore North America dropped to 8.1 GW
hostilities, the Red Sea crisis and wind additions, followed by Brazil, last year, 16% lower than 2022. The
prolonged supply chain Germany and India. Together, the decline was driven primarily by
disruptions stemming back to the top five markets made up 82% of the slowdown of onshore wind
time of Russia’s invasion of Ukraine. global new installations in 2023, growth in the world’s second-
collectively 9% higher than the largest wind power market – the
Connecting 117 GW of wind previous year. US.
power capacity to the electricity
grid in a single year not only After two years of relatively ‘low’ In the offshore market, 10.8 GW of
demonstrates the remarkable growth, onshore wind installations in new offshore wind was
resilience and adaptability of the China bounced back in 2023 with commissioned in 2023, bringing
wind industry but also shows that more than 69 GW commissioned, a total global offshore wind capacity
the world is moving in the right new record. In the US, despite a to 75.2 GW. Offshore wind
direction in combating climate last-quarter rush, with developers additions were 24% higher than in
change. installing more new wind capacity 2022, making 2023 the second-
in Q4 2023 than in the previous highest year for new offshore wind
Market status three quarters combined, only 6.4 capacity.
Thanks to the 117 GW of new wind GW of onshore wind capacity was
power installations, global added for the entire year, the lowest China led the world in annual
cumulative wind power capacity level since 2014. offshore wind development for the
passed the first 1 TW milestone in sixth year in a row with 6.3 GW
2023, showing YoY growth of 13%. At the regional level, Asia Pacific commissioned in 2023, making up

14 GWEC.NET
58% of global additions and other three markets that make up level of success in the next five
bringing its total offshore wind the top five, as in 2022. years:
installations to 38 GW, 3.7 GW
(11%) higher than Europe. Although Europe relinquished its Europe is accelerating
l 

Elsewhere in the APAC region, title as the world’s largest offshore development of renewables to
three markets commissioned new wind market in 2022, it remains the achieve energy security in the
offshore wind capacity last year: global leader in floating wind. The aftermath of Russia’s invasion of
Taiwan (China) (692 MW), Japan region commissioned 37 MW of Ukraine. The continent has
(62 MW) and South Korea (4 MW). floating wind capacity last year, started turning its ambitious
making up 79% of floating wind targets into actions from 2023.
Thanks to strong growth in the additions in 2023 and bringing the
Netherlands, Europe had a record region’s total floating wind capacity The US has implemented what
l 

year in 2023, with 3.8 GW of new to 208 MW, equal to 88% of global has been called the largest
offshore wind capacity installations. investment in climate action the
commissioned across six markets. world has ever seen – the Inflation
This brought Europe’s total Market Outlook Reduction Act (IRA), helping to,
offshore wind capacity to 34 GW The inclusion of a global goal of not only, deliver new clean power
by the end of 2023, 43% of which tripling renewable energy by 2030 over 2023-2032, but also to create
was in the UK and 24% in Germany. in the final COP28 text is a local supply chain, jobs and
unprecedented and historic for society-wide benefits.
The US had two utility-scale wind and other renewable energy
commercial offshore wind projects technologies. As a result, the wind Clean energy has become the
l 

– Vineyard Wind 1 and South Fork industry is becoming more top driver of China’s economic
Wind – under construction last optimistic about its short-term and growth. Driven by the ‘30-60’
year, but no offshore capacity was long-term growth, and more pledge, the Chinese government
fully commissioned in 2023. confident about its role in has set the target that non-fossil
Nevertheless, the US remains the achieving the tripling target. energy sources will account for
only market with offshore wind in over 80% of total energy
operation outside of Europe and With a favourable political consumption by 2060.
APAC. environment across the globe,
GWEC Market Intelligence After a turbulent 2023,
l 

In total offshore wind installations, believes that 791 GW of new governments and developers
China took over the crown from the capacity is likely to be added in the have reaffirmed their
UK in 2021 and further consolidated next five years under current commitments to develop offshore
its global market share in the past policies. This equals 158 GW of wind. Floating wind technology,
two years. Germany, the new installations each year until as well as Power-to-X solutions,
Netherlands and Denmark are the 2028. Five pillars will underpin this will further unlock offshore

GWEC | GLOBAL WIND REPORT 2024

 wind’s potential in supporting the of the forecast period, annual
global energy transition. installations outside China and
Europe are likely to make up more
Growth in emerging markets
l  than 20% of total additions.
from Southeast and Central Asia
to MENA countries is expected GWEC Market Intelligence
to gain momentum from the believes that the growth momentum
middle of this decade. will be retained beyond 2028.
Compared with the 2030 global
The compound annual growth rate outlook released alongside last
(CAGR) for onshore wind in the year’s Global Wind Report, GWEC
next five years is 6.6%. We expect Market Intelligence has increased
average annual installations of 130 its forecast for total wind power
GW. In total, 653 GW is likely to be capacity additions for 2024-2030 by
added in 2024-2028. Growth in 107 GW (YoY growth of 10%),
China, Europe and the US will primarily driven by the upgraded
remain the backbone of global outlook in China and Europe.
onshore wind development in the
next five years. Altogether, they are GWEC forecasts that the milestone
expected to make up more than of a second TW is likely to be
80% of the total capacity to be built passed by the end of 2029, one year
in 2024-2028. ahead of our previous year’s
projection – provided the
The CAGR for offshore wind in the anticipated growth materialises in
next five years is 28%. In total, 138 the five key wind markets
GW of offshore wind capacity is mentioned above. However, even
expected to be added worldwide in this growth is not rapid enough to
2024-2028. Annual offshore wind enable the world to achieve its Paris
additions are likely to triple by 2028 Agreement targets, and will leave a
from 2023 levels, bringing its share sizeable gap in the wind energy
of new global installations from capacity required by 2030 to stay on
today’s 9% to 20% by 2028. China track for the IEA’s Net Zero by 2050
and Europe will continue dominating pathway. The areas of permitting,
the growth in 2024-2025. However, supply chain, finance and grids will
the US and emerging markets in remain key for forecast growth to
APAC will start gaining sizable materialise, and to ramp up growth
market share from 2026. By the end beyond this for net zero.

16 GWEC.NET
WIND ENERGY: MEETING THE GLOBAL GOAL TO
TRIPLE RENEWABLES BY 2030
 Introduction

Introduction This will fall notably short of the

volume of cumulative wind energy
installations required globally to
So how do we get there? This
report examines four areas –
investment, supply chains, system
Where we are and where meet the goal of tripling infrastructure and public
we need to go renewable capacity. consensus – which will set the
2023 was a record year for conditions for meeting the goal of
renewables, with new installations International energy agencies and tripling renewable energy capacity
of 510 GW – an increase of nearly net zero roadmaps agree on the by 2030. While not an exhaustive
50% compared to the previous primary role of wind energy to list, GWEC considers these
year.1 It was also a historic year meet this goal, though the figures domains as critical for meaningful
for wind installations, as the world vary slightly. IRENA’s World engagement and reform.
added 106 GW of onshore wind Energy Transitions Outlook
and 10.8 GW of offshore wind. foresees 3,040 GW of cumulative The global wind industry and
This brought the industry to onshore wind by 2030 and 494 policymakers must urgently
record-high growth, even while GW of offshore wind by 2030, or collaborate (and in the case of
facing notable challenges and about 3.5 TW of total wind public consensus, also establish
headwinds around permitting installed by 2030.3 The IEA’s Net better ways of working with
timelines, grid availability and a Zero by 2050 Scenario (2023) communities) to resolve the
volatile macroeconomic calls for 320 GW of wind bottlenecks to make progress in
environment.2 installations in 2030, and a total of each of these areas. Only then will
2.75 TW of global wind capacity we be able to scale wind
However, even the pace set in this by that time.4 deployment at the necessary
record year for renewables will not pace, creating a sustainable
be enough to get the world While the growth projections for long-term pipeline of best-in-
on-track for a pathway that limits wind differ, the conclusion is the class projects that can meet
global warming to 1.5°C, nor to same: Global wind growth must global climate goals. This will also
reach the global goal to triple rapidly accelerate to meet 2030 be a “win-win” for countries and
renewable energy capacity to targets. This will require annual communities by lowering energy
11,000 GW by 2030, as agreed by wind installations to more than prices, stimulating investment,
nearly 200 countries at COP28 triple from current levels of 117 economic growth and job
(see “How did countries commit to GW to at least 320 GW over the creation, and supporting energy
“Double Down, Triple Up” at course of the decade. security.
COP28?” below).

By 2030, GWEC forecasts we are 1. IEA, Renewables 2023.

2. See GWEC’s Global Wind Report 2023 and Global Offshore Wind Report 2023 for further detail on these challenges.
set to reach 2 TW of installed 3. IRENA, World Energy Transitions Outlook 2023: 1.5°C Pathway, 2023.
capacity under current policies. 4. IEA, Net Zero Roadmap: A Global Pathway to Keep the 1.5 °C Goal in Reach, 2023.

18 GWEC.NET
 Introduction

How did countries commit

to “Double Down, Triple Up”
at COP28?

The final outcome of the Global

Stocktake (GST) process at COP28,
which served as the cover text for the
conference, called on Parties to COP
to contribute to tripling renewable
energy capacity globally and
doubling the global average annual
rate of energy efficiency
improvements by 2030. This call,
contained in Paragraph 28,
recognised the role that tripling
renewable energy plays in achieving
the “deep, rapid and sustained
reductions in greenhouse gas (GHG)
emissions in line with 1.5°C
pathways.” 132 countries signed up to the sideline Global Renewables and Energy Efficiency Pledge at COP28

While the text itself is non-binding, it

is still politically significant as Article renewable energy targets and The 132 signatories committed to Signatories also recognised some
14 of the legally binding Paris timelines. working together in this effort, key enabling actions drawn largely
Agreement outlines how the GST accounting for “different starting from the report, “Tripling renewable
outcome should inform Parties in By the time COP28 came to a close, points and national circumstances,” power and doubling energy
updating and enhancing their action 132 countries also signed up to the and to take comprehensive domestic efficiency by 2030: Crucial steps
on climate, including in international voluntary sideline Global Renewables action to contribute to achieving the towards 1.5°C,” published by COP28,
cooperation for climate action. Article and Energy Efficiency Pledge. This tripling target. This included IRENA and the Global Renewables
4 of the Paris Agreement specifies pledge recognised that global collaboration in key areas like Alliance last year. These enablers
that this should include updates to renewable energy capacity must resilient value chains, expanding include:
countries’ nationally determined triple to at least 11,000 GW by 2030, financial support and reducing cost
contributions (NDCs) which are and energy efficiency improvements of capital for renewable energy in Accelerate permitting of renewable
l 

submitted every five years to must double every year until 2030, to developing countries, and projects and related infrastructure;
communicate domestic climate limit global warming in accordance accelerating cross-border grid
actions, often including specific with the Paris Agreement. connections. Develop and expand grid
l 

GWEC | GLOBAL WIND REPORT 2024 19

 Introduction

connections, and improve energy l Albania l Dominican Republic l Maldives l Singapore

system integration; l Andorra (the) l Mali l Slovakia
l Angola l El Salvador l aMalta l Slovenia

Provide clarity on market design

l  l Antigua and l Estonia l Mexico l Somalia

and incentive schemes and Barbuda l Eswatini l Micronesia l Republic of Korea

strengthen market conditions and l Argentina l Ethiopia l Moldova (ROK)

investment frameworks to facilitate l Armenia l Fiji l Monaco l Spain

investments in renewables and l Australia l European Union l Montenegro l Sweden

energy efficiency; l Austria l Finland l Morocco l Switzerland

l Azerbaijan l France l Mozambique l Syria

Promote energy efficiency,

l  l Bahamas (the) l Gambia (the) l Namibia l Tajikistan

electrification and energy demand l Bangladesh l Georgia l Nauru l Thailand

management in all relevant sectors; l Barbados l Germany l Netherlands l Togo

l Belgium l Ghana l New Zealand l Tunisia

Raise public awareness and

l  l Belize l Greece l Nicaragua l UAE

encourage behavioural change; l Benin l Grenada l Nigeria l Ukraine

l Bhutan l Guatemala l Niue l United Kingdom

Encourage increased and

l  l Bosnia Herzegovina l Guinea l North Macedonia l United States

meaningful, multiple-source private l Brazil l Hungary l Norway of America

and public investments, particularly l Brunei Darussalam l Iceland l Oman l Uruguay

for developing countries; l Bulgaria l Ireland l Palau l Uzbekistan

l Burkina Faso l Italy l Panamá l Vanuatu

Enhance and scale new

l  l Burundi l Jamaica l Papua New Guinea l Yemen

technological solutions, including l Cabo Verde l Japan l Paraguay l Zambia

through support in research, l Canada l Jordan l Peru l Zimbabwe

development and innovation. l Chad l Kenya l The Philippines

l Chile l Kiribati l Poland

Finally, signatories committed to l Colombia l Kosovo l Portugal

reviewing progress towards this l Comoros (the) l Kyrgyzstan l Romania

pledge annually until 2030. The l Costa Rica l Latvia l Rwanda

countries which have committed to l Cote d'Ivoire l Lebanon l San Marino

tripling renewable energy in this l Croatia l Lesotho l Saint Vincent and the

pledge, as of December 2023, are: l Cuba l Liechtenstein Grenadines

l Cyprus l Lithuania l Senegal

l Czechia l Luxembourg l Serbia

l Denmark l Malawi l Seychelles

l Djibouti l Malaysia l Sierra Leone

20 GWEC.NET
 Introduction

Multidimensional challenges on increasing alignment among Wind energy installations need to triple by 2030, but face competing pressures on growth in
the road to net zero policymakers in pursuing this crucial period
classrooms to climate forums at electrification, sector-coupling
the highest international level, the and green industrialisation
Target for 3xRE to maintain 1.5C pathway
transition to clean energy which is programmes to decarbonise their 350
underway worldwide has been economies. ● Political consensus on the energy transition 320
called “inevitable” or with the 3xRE goal
300 Value proposition of wind against fossil fuels
“unstoppable.” Certainly, we have But the road ahead is a turbulent ●

continues to strengthen
come further than ever before, and one. The global wind industry is ● Rapidly growing ambition for offshore wind, and
the pace of change seems to be still on the road to recovery from the 250 rising RE demand from industry
Strong appetite, especially in private sector capital,
accelerating. reverberating impacts of COVID-19
●

to invest in wind
related disruptions. There are 2 Technology acceleration in storage and flexibility
200
●

It took nearly three decades for the billion people expected to go to the for system integration of RE
countries of the world to reach a polls in presidential or legislative/ ●Permitting issues slow down projects
globally and increase their costs
historic agreement that coal and parliamentary elections in more 150
● Grids were designed for a different era and need
fossil fuel subsidies needed to be than 60 countries around the world 117 urgent investment
phased out to combat harmful in 2024.6 100
● Rising cost of capital and inadequate

finance for projects in EMDEs

climate change, as noted in the ● Supply chains and workforce constraints

COP26 cover text. Just two years Not to mention the widening will grow more acute
later, countries agreed that wind wealth gaps between the Global 50 ● Social acceptance and land rights issues

will intensify as wind expands

power, solar and storage were the North and South exacerbated by
6.5
key mitigation technologies to rising inflation and cost of capital, 0
// // //
keep 1.5°C within reach (see the prospect of heightened trade 2001 2023 2030 2050
Chapter 1, “On the road to Baku barriers and fragmented supply
and Belém: Looking ahead to chains, and fractious public Lorem ipsum
Source: GWEC Market Intelligence.
COP29 and COP30”). discourse on the transition. Trade
distortions and geopolitical
Major tipping points for change fissures have resulted in lower- business profitability and risks disruptions to labour and
and exponential growth in the than-average world trade growth product quality; interest groups workforce planning; and a
adoption of clean technologies forecasts ahead, as well as a actively using technology and digitalisation gap between
have been identified across the “resilient but slow” global growth social media to foment countries which impacts their
highest-emitting sectors, from picture, according to the IMF.7 disinformation on climate change capacity to allocate land, permit
road transport to heavy industry.5 and renewables, robotics, AI and projects and operate smart,
This has been spurred by the The present-day technological era automation introducing further modern grids.
widening availability of cost- also brings its own challenges: a
effective, scalable wind and rapid innovation cycle in wind 5. https://www.systemiq.earth/breakthrough-effect/
6. Anchor Change, Election Cycle Calendar, 2024; https://www.weforum.org/agenda/2023/12/2024-elections-around-world/
renewable energy, as well as technology which undermines 7. IMF, World Economic Outlook Update, January 2024: Moderating Inflation and Steady Growth Open Path to Soft Landing, 2024.

GWEC | GLOBAL WIND REPORT 2024 21

Strap

A 2024 survey of GWEC’s wind driven by factors like growing availability are expected to This year’s Global Wind Report
and renewable industry renewable energy ambition, emerge in the medium to long 2024 explores some of the growth
association members around the increasing competitiveness of term. pressures facing wind energy,
world canvassed perceptions of wind vis-à-vis fossil fuels, focusing on the vital areas of
short-term and long-term strengthening public consensus on Compared with survey results in market economics and investment,
challenges to wind growth across the transition, continued the Global Wind Report 2022, supply chains, grids/storage
areas like permitting timelines and technology advancement and there are persistent challenges in infrastructure and public
grid bottlenecks. The outcome wider recognition of the need to competitiveness with gas, consensus for the transition. As we
shows that the global wind undertake market design reforms permitting timelines, land use and embark on the march towards the
industry is generally more as the transition progresses. land rights issues, as well as grid tripling renewables goal, the
optimistic about long-term growth availability. Optimism in short- global wind industry must
prospects, and perceives the The exceptions, where challenges term challenges has grown in the collaborate with stakeholders
shorter-term challenges within the are perceived to intensify over areas of circularity and storage across the energy transition to
next five years as more acute. time, are in the supply chain, technology, green hydrogen overcome these challenges and
where bottlenecks in production opportunities and system seize the growth opportunities
Long-term optimism on growth is capacity and skilled workforce flexibility solutions. ahead.

GWEC | GLOBAL WIND REPORT 2024 GWEC.NET

 Introduction

Transversal challenges to wind energy’s growth in the short and long term
System Design Coal phaseout: The pace of countries exiting and retiring coal-based generation.
Proposition versus gas: The enabling policy environment for wind energy versus natural
gas/LNG, based on market and socioeconomic value.
Coal phaseout
Policy ambition: The visibility and predictability of countries’ wind energy growth targets,
Just transition and inclusion Proposition versus gas and the reflection in transparent and long-term procurement schemes and enabling
Workforce System Design market design.

Skilled workforce Policy ambition Price stability: The shift away from a "lowest cost approach" to wind procurement via
revenue stabilisation and other mechanisms, and looking towards a system value
framework.
Society Permitting timelines: The ease of obtaining the necessary permits, licenses and approvals
Energy access Adopting system value for wind project deployment, including legal challenges.
Social acceptance: The scale of support versus opposition encountered by wind projects
Infrastructure in host communities.
Public consensus: Public education and awareness about climate change and the needs
Grid and transmission 0 Permitting timelines of the energy transition, including the impact of misinformation on social and political
support for wind energy.
Land use: Availability of land and seabed for wind energy projects.
Supply Chain Supply chain security: The cost-effective and accessible supply of materials, minerals,
Integration and flexibility
metals and other inputs to the wind energy supply chain, as well as the efficient
Social acceptance
organisation of production capacity on a global basis, amid potential trade barriers and
geopolitical factors.
Technology Society
Circularity: The reuse, repurposing, recyclability and recovery of wind farm components
Storage and green hydrogen
Public consensus
including wind turbines, and the reduction of waste and environmental impacts
generated in the wind project lifecycle in line with a circular economy approach.
Technology Storage and green hydrogen: The pace of cost reduction and commercialisation of
Circularity Land use enabling storage and green hydrogen technologies, which will boost demand for wind
energy.
Supply chain costs
Integration and flexibility: The pace of cost reduction and integration of enabling
Supply Chain balancing and flexibility technologies, such as demand-side response tools, which will
enable large-scale integration of wind energy.
Infrastructure Grid and transmission: The pace and scale of grid reinforcement, buildout and
Short Term (next 5 years) Long Term (10 years and beyond) modernisation, ensuring sufficient grid availability to increase wind deployment.
Energy access: The expansion of infrastructure to enable universal clean energy access
Short term (within next 5 years) and long term (more than 10 years ahead) challenges which could slow down and electrification of power and other sectors.
deployment of wind energy. Nodes closer to the outer circle are considered more severe challenges, while nodes closer Workforce Skilled workforce: The availability of a ready and able workforce with the necessary
to the centre are considered low or moderate challenges training and skills for the wind industry.
Just transition and inclusion: The socioeconomic welfare of stakeholders concerned with
Source: GWEC Market Intelligence and a survey of GWEC’s national and regional wind and renewable energy industry association the energy transition, and the development of a diverse and inclusive workforce which
members, Q1 2024. This graphic is not inclusive of all challenges and factors impacting the growth of wind energy in different markets, and can harness all talents to grow the wind industry.
is meant to be used as a general guide to transversal issues.

GWEC | GLOBAL WIND REPORT 2024 23

CHAPTER 1: INVESTING IN WIND TO MEET
THE TRIPLING RENEWABLES GOAL
 Chapter 1: Economics and investment

Investing in wind to meet the large, centralised power plants.

These systems are no longer
suitable in a world with more
tripling renewables goal decentralised power generation,
which will require additional
investments for buildout,
The wind industry continues to are discussed below: digitalisation and modernisation.
face challenges regarding revenue The IEA notes that annual grid
stability and supply chain Major policy and regulation investment globally has been
profitability around the world. This challenges stagnant for several years and
has led to slower growth and Permitting issues globally slow needs to double within this decade
delayed investment decisions in down project development and to more than $600 billion per year
the last three years – as well as increase project costs – this is to meet net zero goals.9
some notable contract well understood and is being
renegotiations or cancellations for addressed in many countries, Constrained supply chains
a few large-scale offshore wind albeit still too slowly. Land/seabed Recent increases in commodity,
projects in 2023.8a rights for both onshore and labour and logistics costs have
offshore wind can be a big blocker put pressure on the supply chain
These challenges are symptomatic on environmental, social and (discussed further in Chapter 2).
of policy and financing spatial planning grounds, whereas At the same time, the global wind
environments which are not emerging markets and developing supply chain must expand to meet
fit-for-purpose if we are working economies (EMDEs) may have the triple renewables pledge – this
towards a 1.5°C pathway where fewer resources to ramp up the will require significant additional
wind is to generate one-fifth of the allocation of land for renewable investment, while many supply
world’s electricity by 2030 and energy and avoid conflicts with chain companies, OEMs in capacity available to achieve
one-third of electricity by 2050.8 other interests while doing so. particular, remain financially economies of scale in the supply
This chapter of the report challenged in a post-COVID 19 chain, disrupts planning for
discusses how to build the Repowering offers a shorter environment. investment in local industries,
investment environment for pathway to additional capacity. But production capacity and human
accelerating wind energy it is clear that to achieve climate It is certain that the stop/start capital. These factors also increase
deployment in this decade. goals, the wind industry needs nature of auction processes in the variability of demand, leading to
more volume, and quality volume, many countries, the limited focus volatility in pricing and lumpy
Speedbumps, but not on offer and that requires land and of these auction systems to support growth pictures. Without clearer
roadblocks, ahead seabed. project realisation (for example, vision and collaboration on the
The world urgently needs more through the use of uncapped
renewables, but there are many Grids were designed for a negative bidding in offshore wind) 8a. BloombergNEF, Offshore Wind Investment Hit All-Time High in 2023, 2024.
8. According to the IEA’s Net Zero Emissions by 2050 Scenario (2023).
speedbumps ahead. A few of these different era that drew power from as well as insufficient volumes of 9. IEA, Electricity Grids and Secure Energy Transitions, 2023.

GWEC | GLOBAL WIND REPORT 2024 25

 Chapter 1: Economics and investment

scale of the supply chain needed, While interest rates globally are investments, but many EMDEs last two years due to confluent
many actors will understandably stabilising, access to low-cost either cannot, or do not want to, global crises, from the invasion of
hold back investment in future financing remains critical for implement cost-covering prices Ukraine to high energy prices to
capacity. large-scale clean energy for electricity, even if it means the spiking national debt.13 Add to this
projects that carry high up-front grid is more stable, demand is the relatively higher up-front
The economics of wind power investments and zero fuel costs met, and economic growth can be CAPEX required for renewables
Coal is almost impossible to (as opposed to traditional accelerated. Some high-CAPEX and storage infrastructure, and the
finance now, and gas- and generation assets like coal or gas, renewable technologies, such as investment case for renewable
LNG-fired plants are facing which have lower up-front costs but offshore wind, are ultimately projects in developing countries is
increasing pressure on high operating/fuel costs). Since cost-competitive with fossil fuel hit hard by risk ratings and the
approvals and investment most project analysis is done on a generation but will require more high cost of capital.
decisions. For instance, the discounted cash flow basis, higher expenditure in the early stages of
Biden administration in the US interest rates hit clean energy market development. This is From Mexico to Vietnam to India,
recently announced a projects harder than fossil projects. particularly due to significant the risk perceptions for wind
“temporary pause” on pending up-front concession payments, projects in EMDEs centre around
and future applications to export As the transition progresses, it is fees and costs related to the use regulatory risk, land use,
LNG from US plants, supposedly likely that markets will see of seabed. creditworthiness and financial
in response to climate activists increased volatility of viability of offtakers, transmission
and climate-oriented voter commodities such as oil, gas, Elevated cost of financing and availability, currency stability,
blocs.10 lithium, nickel, iron and other commodity price volatility further dispute resolution and other
resources. The phase-out of fossil underscore the importance of factors. Stacked up, these risks
However, many EMDEs are fuels and the simultaneous investment certainty. And in terms contribute to higher cost of capital
growing fast and need more power ramp-up of renewable generation of market design, the prospect of for renewable energy investments.
generation to meet the needs of and demand for a number of price cannibalisation as
their economies – which leaves transition materials, from copper penetration rates of renewable During the period of lower-cost
them struggling with the choices to neodymium, will lead to a energy in a power market grow financing from 2019-2021,
from the world’s legacy energy turbulent supply-demand could jeopardise profitability for financing rates for onshore wind
system and its future one. Recent situation which will be reflected existing and future renewable projects in industrialised countries
cost inflation and interest rate rises, in comparative costs of wind projects.12 hovered around 3-7% and often
while reversing or slowing versus fossil fuels. exceeded 10% in EMDEs –
somewhat in the second half of last Access to capital in EMDEs making a huge difference in
year, have added further strain to Increased electricity prices could Globally, foreign direct returns for CAPEX-intensive
the buildout of renewables and help fund much of the needed investment (FDI) has fallen in the projects like onshore and offshore
grids, though the cost-
competitiveness of renewables 10. https://www.reuters.com/business/energy/biden-pauses-approval-new-lng-export-projects-win-climate-activists-2024-01-26/
versus fossil fuels is only 11. IRENA, Renewable power generation costs in 2022, 2023.
12. Cornwall Insight, Wholesale price “cannibalisation effect” puts economics of renewables at risk, 2018.
strengthening.11 13. Global FDI fell 12% in 2022, with particular declines to least developed countries. See: UNCTAD, World Investment Report 2023.

26 GWEC.NET
 Chapter 1: Economics and investment

Annual energy transition investment in EMDEs required for net zero to 2035 largely targeted a handful of otherwise be left behind – and the
countries.18 Least developed savings are vast. The IEA
countries (LDCs) and small island calculates that narrowing the gap
1.8
developing states (SIDS) are of cost of capital between EMDEs
Trillion USD (2022, MER)

among the groups which have and advanced economies by just

Middle East and Eurasia seen the least investment activity in one percentage point would
1.2
renewables. reduce annual investment needs in
Latin America
a net zero scenario by $150 billion
6x
Given the enormous volumes of globally.
Africa capital required for EMDEs, most
0.6 growth will come from private Blended finance and
India and other Asia sources, although the mobilisation partnerships will be increasingly
and strategic targeting of public important – UNCTAD has found
SE Asia funding are also crucial. Excluding that adding multilateral
2023e 2026-30 2031-35 2031-35
China, annual investment in clean development banks (MDBs) to
energy for EMDEs needs to scale energy investments in developing
from roughly $270 billion today to countries will lower the spread on
Clean power Grids and storage Energy efficiency and end use Low-emission fuels
more than $1.6 trillion over the debt finance by 10%, while further
next decade, according to the IEA, combining this with government
Source: IEA, Reducing the Cost of Capital, 2024. to meet a net zero scenario. participation via public-private
Approximately half of that partnerships reduces the spread
wind.14 By 2023, financing costs countries for Sustainable investment would benefit by 40%.20
increased, with global weighted Development Goal (SDG) activity, renewable energy generation,
average cost of capital (WACC) for from energy to water and sanitation grids and storage.19 In offshore wind, the World Bank has
new wind projects coming in at projects, which has grown from found that applying concessional
6.4%.15 In developing countries, $2.5 trillion in 2015 to $4 trillion by The way capital markets assess public debt to the electrical export
WACC for solar and wind projects 2023.17 risk in EMDEs can be too risk- system of a 1 GW project, and
can be double or even triple the averse, but there is no clear view covering the offshore wind farm
rates compared to mature As a result, sub-regions of the into how to realign the risk with a blend of 40% concessional
renewable energy markets.16 world have largely been perceptions of capital markets
excluded from the benefits of the (which tend to be very 14. IRENA, The cost of financing for renewable power, 2023; https://www.
Environmental, Social, Governance energy transition to date: Only 2% conservative, particularly among climatechangenews.com/2023/10/30/to-triple-renewable-energy-the-
global-south-needs-finance/
(ESG) standards and sustainability of global investment in renewables lenders). Still, it is vital to urgently 15. https://about.bnef.com/blog/cost-of-clean-energy-technologies-drop-as-
principles are increasingly in the last two decades were made lower the cost of capital for expensive-debt-offset-by-cooling-commodity-prices/
16. IEA, Renewables 2023.
mainstreamed in capital markets. in Africa, despite its vast technical renewable energy projects in 17. UNCTAD, World Investment Report 2023.
But there is a widening gap in wind and solar resources, and EMDEs and accelerate the 18. IRENA, Renewable Energy Market Analysis: Africa and its Regions, 2022.
19. I EA, Reducing the Cost of Capital, 2024.
investment flows to developing even then, investment activity transition for countries that may 20. U NCTAD, World Investment Report 2023.

GWEC | GLOBAL WIND REPORT 2024 27

 Chapter 1: Economics and investment

Impact of blended concessional finance on example offshore wind farm in EMDE finance, 10% grant finance and 50%
private debt, would dramatically
decrease the Levelised Cost of
Offshore wind farm Electrical export system Electricity (LCOE) of a project from
Wind turbines
around $108/MWh to $70/MWh.21
Foundations This is not a straightforward formula,
Inter-array cables as LCOE reflects multiple different
factors of the project investment
Offshore substation
environment. But these findings
Offshore export cable indicate that offshore wind backed
Onshore export cable with blended finance in a
developing country can compete
Onshore substation
with the cost of thermal generation
on a long-term basis.
5% 1%
9% 48% 24% 4% 6% 3% There is acute pressure to ensure
Typical CapEx breakdwon the energy transition fairly
DevEx
for a 1GW offshore wind farm distributes dividends and
opportunities for growth. But the
pace of the transition in
Electrical
Offshore wind farm comparison to climate mitigation
export system
targets, along with the uncertainty
ahead (for example, uncertainty
LCOE about when total oil demand will
Financing Scenarios US$2,450m US$480m (US$/MWh)
peak and decline), complicates
private private
Developer responsible planning for EMDEs in areas like
108
for all financing infrastructure buildout and
US$2,450m US$480m
workforce development.
private concessional
Concessional financing of A transition that fails to address a
94
electrical export system
widening wealth gap or prepare
US$245m US$1,378m US$8278m US$480m for the coming displacement of
grant private concessional (blend) concessional labour risks disorderly and
Blended concessional
finance and 10% grant 70 protracted renewable energy

21. World Bank Group, The Role of Concessional Climate

Finance in Accelerating the Deployment of Offshore
Source: World Bank Group, World Bank and ESMAP, Reducing the Cost of Capital, 2024. Wind in Emerging Markets, 2023

28 GWEC.NET
 Chapter 1: Economics and investment

On the road to Baku and Belém: Looking ahead to COP29 and COP30
In December 2023, following a year policymakers signed by more than package after the gavel came down, flows to developing countries,
of diplomatic manoeuvring and 300 industry, civil society and noting that it failed to deliver superseding the existing pledge of
global campaigning, nearly 200 intergovernmental actors, sufficient commitments to phase out $100 billion delivered from developed
countries adopted the final decision representing a total of $12+ trillion in fossil fuels as well as financing for countries on an annual basis. The new
text of COP28. The world’s largest market value, as well as the developing countries for climate quantum, and whether there may be
climate conference achieved a publication of a report on the enablers change adaptation and mitigation. sub-targets for types of funding or
number of historic outcomes: a to reach the tripling renewables goal Nonetheless, COP28 gave the targets for funding, is yet to be
conclusion of the first GST process co-authored by the GRA, the COP28 renewables industry and the wider determined. The IEA has noted that
by the UNFCCC which assessed Presidency and the International global community a powerful signal emerging markets and developing
collective progress towards the Paris Renewable Energy Agency (IRENA). to rapidly accelerate renewable economies (EMDEs) excluding China
Agreement; a decision to energy within this decade to keep a only account for less than 15% of total
operationalise the Loss and Damage As a result of a huge diplomatic and 1.5°C pathway within reach. clean energy investment; current
Fund, designating the World Bank as multi-stakeholder effort, the final investment in clean energy in these
interim trustee and host of the fund decision of COP28 recognised the Looking ahead to COP29 in Baku economies will need to grow sixfold
for the first four-year period; and a need for “deep, rapid and sustained” and COP30 in Belém, the three to $1.6 trillion annually by the early
first mention in the final decision text reductions in GHG emissions, and COP Presidencies have already 2030s to get on-track for 1.5°C. This
of “wind power and solar power and called on countries around the world formed a Troika to work on a leaves a vast gap to be filled by the
storage” as mitigation technologies to contribute to the global effort to roadmap to “Mission 1.5°C.” It is NCQG, as well as other commitments
that have become increasingly triple renewable energy capacity by expected that enhancing which can de-risk and lower capital
available and cost-effective. 2030. This was a milestone cooperation across three costs for EMDEs.
achievement for the renewable energy Presidencies will maintain
For the year leading up to COP28, the industry, enhancing the recognition of momentum and urgency on the Beyond the “Finance COP” in Baku,
Global Renewables Alliance (GRA, an wind power as a key solution to climate agenda, and in particular COP30 in Belém is shaping up as an
umbrella association for the global mitigating climate change. For wind, focus on climate finance and “Nature and Implementation COP”
industry associations for wind power, the tripling renewables goal translates mobilising more ambitious NDCs, taking place during the year of
solar power, hydropower, geothermal, into roughly tripling the annual wind or countries’ national commitments updated NDCs and the UNFCCC’s
green hydrogen and long-duration installations from 2023 levels to 2030. to climate action. The next round of first synthesis report on Paris
energy storage, co-founded by NDCs is due in February 2025, with Agreement implementation. Given
GWEC) ran an international It should be noted that the final increased pressure on countries to the setting in the Amazon, it will likely
campaign to “Double Down, Triple decision text of COP28 is non- submit their climate plans ahead of have a strong focus on nature
Up,” aiming to secure a global goal to binding, and the “UAE Consensus” COP29 in November this year. protection, nature restoration and
triple renewable energy capacity and had notable shortfalls in finance and climate change adaptation issues,
double energy efficiency means of support for developing In Baku, countries will convene to including encouragement of
improvement rates by 2030. This countries. The Alliance of Small agree on a New Collective Quantified countries to submit and implement
campaign included an open letter to Island States (AOSIS) rejected the Goal (NCQG) on climate finance National Adaptation Plans.

GWEC | GLOBAL WIND REPORT 2024 29

 Chapter 1: Economics and investment

development, ultimately pushing Renewables outpace other investment in power sector technologies over the last 5 years
the global goal of tripling
renewable energy capacity farther 700
away.
600
There is no turning back
The speedbumps ahead to the
500
tripling renewables goal ahead are
formidable, but there is no turning

Billion USD (2022)

back now. 400

The volatility in fossil fuel markets 300

seen in the last few years is a

reminder to governments of the 200
energy security and
macroeconomic risks associated 100
with continuing reliance on fossil
fuels – including the risks posed to 0
attendant supply chains and 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023 2019 2020 2021 2022 2023
Renewables Fossil Grids and storage
industrial activity in a country. The Nuclear

demands for green power offtake

in the public and private sectors Source: IEA, World Energy Investment 2023
– including targets to decarbonise
industrial activity and benchmarks than half of lending activity into these plants may not be able to projected to continue to rise from
for emissions intensity that grow coal, and led to decommissioned pay back their debt. their nadir of $7 trillion in 2022, or
stricter with time – further weaken and retired coal plants over the last about 7% of total global GDP. 23
the investment case for long-term decade.22 Global investment figures across More than four-fifths of current
thermal generation. the renewables, fossil, grids/ fossil fuel subsidies are non-
Gas- and LNG-fired power plants, storage and nuclear power sectors explicit, such as undercharging for
While coal currently provides while framed in many discussions over the last five years show that environmental costs like local air
more than one-third of the world’s as a transition fuel, are facing renewable energy has seen >20% pollution and foregone
electricity, many (though not all) scrutiny from lenders. Investors are growth since 2019. In contrast, consumption tax revenue. These
banks are pulling out of coal increasingly concerned that 12-15 investment in fossil fuels has been subsidies are expected to increase
finance. The divestment policies years after this generation comes flat or even slightly declining.
22. B
 oris Vallée and Daniel Green, Can Finance Save the
adopted by banks – and online (roughly around 2040, World? Measurement and Effects of Coal Divestment
strengthened by the 2015 Paris assuming a 3-year construction And yet, in the public sector, Policies by Banks, 2022.
23. B
 lack, Liu, Parry and Vernon, IMF Fossil Fuel Subsidies
Agreement – have impacted more period after financing is closed), global fossil fuel subsidies are Data: 2023 Update, Working Paper, 2023.

30 GWEC.NET
 Chapter 1: Economics and investment

to meet the consumption needs of will not play a significant role in Market shares for clean and fossil energy in the mid-transition period
EMDEs, particularly in the Asia meeting the tripling renewables
Pacific region where China goal.
provides the greatest volume of High-carbon
fossil fuel subsidies and the region The wind industry in the capital

as a whole accounts for half the mid-transition period

global total. The transition is underway, and
there is no going back to an
Substantive energy subsidy economy fuelled mainly by fossil
reform in the public sector can energy. However, careful
help shift capital into areas where a consideration must be given to how Uncertain/unstable

Market Share
Standard assets
mid-transition period Unstable demand
formidable finance gap exists to this transition proceeds, whether as
Oversupply/undersupply
meet the tripling renewables goal, an orderly process, a disorderly Volatile oil/gas markets
such as modernising and one or something in-between.
expanding grid infrastructure,
supporting governments to create An IMF working paper identifies
legal, policy and regulatory regimes our current period as one
for the transition and building characterised by uncertainty, as
capacity in education and workforce markets wrestle with waning
training for the future energy interest in traditional fossil Low-carbon
capital
system. Subsidy reform will need to investments (such as gas fields,
be part of the toolbox for creating power plants, regasification
the conditions for massive facilities, etc.) due to concern about 2010 2020 2030 2040 2050
investment into renewable energy, future liabilities. Simultaneously this
particularly in developing countries. uncertainty is interacting with rising Source: Espagne, Oman, Mercure, Svartzman, Volz, Politt, Semieniu, Campiglio, IMF Working Paper, Cross-border risks
of a global economy in mid-transition, 2023.
optimism regarding future demand
Still, for an increasing number of for clean energy (including wind
private investors, the most viable and solar projects, storage, electric excesses or shortfalls in supply of industry is on a significant scale-
options today are wind, solar vehicle charging stations, etc.).24 both renewable and fossil up journey to ensureit can meet
energy, storage (including generation, cross-border price demand amid a volatile macro
batteries, pumped storage and The instability of this period, volatility exacerbated by climate environment. Decarbonisation
other varieties), hydropower, as which could be prolonged damages, stranded fossil assets benchmarks for materials like
well as extensions to the lifetimes depending on our ability to and unconnected clean energy steel and cement, along with the
of nuclear and fossil plants. Green navigate and manage the risks, assets, as well as uncertain
hydrogen and other new will be characterised by decision- demand signals. 24. E
 spagne, Oman, Mercure, Svartzman, Volz, Politt,
technologies may also be viable making under dynamic macro Semieniu, Campiglio, IMF Working Paper,
Cross-border risks of a global economy in
for the post-2030 period, though conditions. There may be For instance, the global wind mid-transition, 2023.

GWEC | GLOBAL WIND REPORT 2024 31

 Chapter 1: Economics and investment

critical minerals like copper which negative (as in the UK26) electricity More than 60 countries heading to the polls in 2024 – many among the top
will need to be mined in potentially demand growth, renewable energy emitters globally
fragile jurisdictions, exert further and storage installations typically
pressures on the wind supply displace power generated from
chain. existing fossil plants, or help to
meet relatively low demand growth
It is a reality that some fossil fuels from sources like data centres and
will be used to deliver clean electric vehicles. Developed
energy for some time, whether in countries are also better
the context of existing worldwide positioned to invest in grid
shipping and logistics networks or planning and buildout, although
the production of epoxy resins that this is not happening fast enough.
coat wind turbine blades.
Fossil fuel plant closures have
The risks of the mid-transition been delayed – significantly in
period are particularly some cases, as evidenced by the
pronounced for EMDEs, which recent spate of coal plant
tend to experience faster approvals in China. These delays
Light teal = Countries with presidential/legislative elections in 2024
economic growth than developed are largely attributed to EMDEs Dark teal = Countries among the top 20 emitters worldwide with presidential/legislative elections in 2024
countries, and need larger struggling to scale up clean Source: Statista “Distribution of carbon dioxide emissions worldwide in 2022, by select country”, Anchor Change 2023.
volumes of new power generation energy quickly enough to meet
capacity to meet this demand. This electricity demand for their become fodder for politicisation. action. These countries include:
requires larger relative economic growth trajectories. In However, on the flipside, political Germany, India, Indonesia, Iran,
percentages of GDP than in industrialised countries, change could foster greater Italy, Mexico, Poland, Russia, South
developed countries. For example, shutdowns of fossil generation support for the energy transition. Africa, South Korea and the US.
a 5% increase in power demand in have created employment
Vietnam requires a larger dislocation and community In 2024, nearly half of the world’s The results of many of these
percentage of GDP than the same impacts. It is crucial that population will head to the polls to elections will sway energy
power demand increase in a shutdowns are well managed to vote in presidential or legislative/ transition policy and reset
developed country. maintain a public consensus on parliamentary elections in more renewable energy ambition –
the speed and scale of the than 60 countries around the while we are unlikely to see overt
In many developed countries with transition and to mitigate world, including the European U-turns, oppositional swings in
slower (as in the US25) or even oppositional forces. Union. Of these countries with office could slow down or speed
elections this year, 11 are among up progress towards the tripling
25. https://www.eia.gov/outlooks/aeo/narrative/electricity/sub-topic-01.php The physical/economic disruption the top 20 emitters globally, renewables goal. For instance, we
26. https://assets.publishing.service.gov.uk/
media/6581b11eed3c3400133bfbb1/Electricity_generation_and_supply_in_
and dislocation caused by the making this a banner year for the could see a redistribution of
Scotland__Wales__Northern_Ireland__and_England__2018_to_2022.pdf expansion of wind energy could prospects of international climate renewables versus nuclear energy

32 GWEC.NET
 Chapter 1: Economics and investment

in South Korea, or an isolationist from commercial development

approach to clean technology finance loans, while less than 4%
trade in the US, depending on comprises grants which have
election outcomes. mostly been earmarked to
specific projects.28 It is expected
Delivering the energy transition that the plan will help to mobilise
in EMDEs a further $7.5 billion from the
An estimated $2 trillion per year private sector, coordinated by
will be needed for the new GFANZ.29
renewable energy, grid and
storage infrastructure through the Climate finance is challenged by
end of this decade to meet the political realities. Domestic
goal of tripling renewables.27 There political pressures and a sombre
are many proposals for the economic outlook in many
industrialised countries developed countries make such
responsible for most historical massive transfers of capital
carbon emissions to contribute the challenging. COP28 was able to
lion’s share of climate finance, mobilise a commitment of $700
whether in grants or million to the new loss and damage
recapitalisation of MDBs. fund – a drop in the bucket of what
is needed. Environmental Mottley, which calls for, inter alia: accelerate private investment in
Many EMDEs are seeking a organisation 350.org has called for emergency liquidity from the IMF; climate mitigation and post-
substantial quantum of grant as much as $200 billion in grants temporary suspension of interest disaster reconstruction.31
funding to be included in the per year transferred from surcharges to client countries;
“blended finance” packages industrialised countries to benefit expansion of available MDB MDBs are responding to pressure
offered by MDBs, Just Energy renewable energy in developing lending pools by $1 trillion; to reform, but not quickly
Transition Partnerships (JETPs) countries.30 prioritising SDGs and climate enough. The World Bank is
and bodies like the Global resilience in concessional lending eliminating its statutory lending
Financial Alliance for Net Zero MDB reform is high on the list of programmes; and a new limit, and simplifying its business
(GFANZ). But grants are still a priorities for the global climate insurance of $650 billion in guarantee products for renewable
minority share of donor finance. agenda, given that public funding special drawing rights (SDRs) or energy in a bid to triple its annual
The Resource Mobilization Plan in renewables in EMDEs could be other instruments that can guarantee issuance to $20 billion
unveiled in late 2023 for Vietnam’s strategically leveraged to crowd
27. https://climateanalytics.org/press-releases/2-trillion-a-year-needed-to-triple-global-renewables-by-2030-double-current-investment
JETP, for example, comprises in private finance. The calls for 28. https://www.vietnam-briefing.com/news/vietnams-just-energy-transition-partnership-resource-mobilization-plan-unpacked.html/
around $8 billion in investment in reform include the 2022 29. https://www.gov.uk/government/news/international-agreement-to-support-vietnams-ambitious-climate-and-energy-goals
30. https://www.theguardian.com/environment/2023/dec/06/700m-pledged-to-loss-and-damage-fund-cop28-covers-less-than-02-percent-
the country’s energy transition – Bridgetown Initiative promoted by needed; https://350.org/press-release/powering-up-for-climate-justice-350-org-launches-report-on-global-renewable-energy-target/
about half of this volume comes Barbadian Prime Minister Mia 31. https://pmo.gov.bb/wp-content/uploads/2022/10/The-2022-Bridgetown-Initiative.pdf

GWEC | GLOBAL WIND REPORT 2024 33

 Chapter 1: Economics and investment

Case Study: Financing offshore wind in EMDEs In this context, concessional private investment and finance,
Provided by: The Global Offshore resulted in a notable surge in the finance has a key role to play, like blended finance solutions and
Wind Alliance (GOWA) cost of borrowing. together with targeted efforts to guarantees. GOWA has further
ensure bankability and stable discussed development banks
Projections show that offshore EMDEs with a weaker frameworks to attract investments providing more support to local
wind can deliver one-third of the macroeconomic risk profile are and create a pipeline of projects, financing at preferential rates
required global power sector disproportionately impacted by the which is key in driving down costs. whenever possible.
emissions reductions for a net global rise in financing costs. They
zero world by 2050. To achieve further face additional challenges in However, at the macro level, the Discussions have also highlighted
that, the world will need 2,000 GW the up-front capital intensity of developing country requirement of that non-financial barriers hinder
of offshore wind by 2050, offshore wind. While in regions with funding remains far from being the bankability of projects, resulting
according to IRENA’s World mature offshore wind markets like met. Grants and concessional in a misalignment between viable
Energy Transitions Outlook. Europe, intense competition and loans accounted for less than 1% projects and available capital. The
widespread deployment have of global renewables financing last these include lack of policy clarity,
The World Bank estimates that driven down prices, experience has year. onerous or unclear permitting
there is over 71,000 GW of shown that early adopters of requirements as factors which
offshore wind technical potential offshore wind have faced initial Policy discussions convened by impede the “bankability” of a
globally. EMDEs such as Vietnam, challenges such as higher GOWA have indicated that project.
the Philippines, India, Turkey, transaction and delivery costs. governments can play a role in
Azerbaijan, Romania, South Africa, encouraging the financial sector to Therefore, policymakers and
Colombia and Brazil, to name a The larger scale of offshore wind develop strategies and targets that stakeholders are encouraged to
few, offer significant potential for projects presents hurdles, align their financial portfolios with work collaboratively to establish a
offshore wind development. prompting private sector national climate commitments over conducive environment that fosters
However, the challenges involved stakeholders to emphasise certain time. As an example, national offshore wind growth and
in delivering the potential look volume thresholds and for the development banks can establish recognises its true value in our
different depending on where you market to demonstrate a sustained ambitious climate-related lending transition to a sustainable energy
are in the world. pipeline to justify the requisite targets, particularly in the offshore future.
infrastructure investment, wind sector. Flexible actions
In the Global North, governments including ports and associated including indexation of revenue The Global Offshore Wind Alliance (GOWA) acts as a
are focused on devising effective facilities. To attract private streams, a Feed-in Premium or diplomatic global driving force for an ambitious uptake of
offshore wind and contribute to achieving a total offshore
policy measures to stimulate investors, it is essential to ensure Contracts for Difference (CfD) wind capacity of a minimum of 380 GW by 2030 and an
private investment. This challenge profitability, given the substantial mechanism have also been raised. installed capacity increase of at least 70 GW per year
from 2030. Recognising the importance of fostering
is largely focused on managing costs involved. Hence, maintaining collaboration among financial institutions, corporations
the cost of finance rather than its a focus on the financial viability A key focus has been on the and governments to expedite the required expansion of
offshore wind, GOWA has been convening
availability. For instance, the recent and bankability of projects provision of MDB-backed de- multistakeholder discussions focused on financing for
increase in interest rates has becomes imperative. risking mechanisms to encourage offshore wind in EMDEs.

34 GWEC.NET
 Chapter 1: Economics and investment

by 2030.32 The European Bank for reallocation for the energy pipelines of wind and investments in EMDEs.
Reconstruction and Development transition in specific countries renewable energy capacity for Strategically targeting enabling
(EBRD) removed its statutory and regions of the world. allocation. infrastructure, such as by having
lending limit in 2023, while the public finance back the buildout
African Development Bank has Reaching the tripling renewables l Integrate the perspectives of
 of electricity export or
proposed using SDR rechannelling goal in an orderly manner will demand-side voices, such as transmission systems, can help
to fund hybrid capital. The Asian require meaningful action in corporate clean energy buyer to crowd in private capital for
Development Bank launched its building finance and investment to clubs like the Asia Clean Energy renewable generation. Working
Innovative Finance Facility for scale wind energy. This will need Coalition (ACEC) and the with the wind industry, MDBs
Climate in Asia and the Pacific in an “all hands on deck” approach to Climate Group/RE100. These can also enhance technical
2023 and is aiming to raise $100 shift market design into models groups can work with domestic assistance on legal, policy and
billion in new funding over the next that incentivise large-scale industries to ramp up ambition regulatory frameworks for
decade.33 renewable growth and, especially for renewable power and renewable energy to reduce the
in the case of EMDEs, to enhance collectively strengthen the perceived risks that lead to
Reforms are certainly underway, public/private partnerships to demand signals for wind and higher cost of capital.
but implementation and capital mobilise investment. solar additions, in addition to
mobilisation must drastically creating viable market l International finance


accelerate to keep pace with the GWEC makes the following opportunities for offtake. institutions should implement
investment needs for renewables recommendations for improving guarantee and credit
by 2030. the investment environment for l Enhance inclusive dialogue
 enhancement mechanisms for
wind energy: and trust-building clean energy offtake
mechanisms on climate agreements and supply chain
l Strengthen policy and
 finance at international level, investments, particularly in
Recommendations for financing the regulatory frameworks to using platforms under the G20, EMDEs. This approach can help
next era of wind growth make project timelines and UNFCCC and MDBs to ensure to mitigate some of the present
Without deliberate realignment of approvals more certain, as a support and financing facilities risks such as offtaker
investment with the principles of means of reducing investment are in place for scaling wind creditworthiness, currency
equity and fairness, reflected in a risk. This includes permitting industry infrastructure and fluctuation risk and revenue
balanced North-South frameworks which can simplify supply chains, and for stability.
distribution of capital, benefits, and accelerate the consenting developing countries to
knowledge transfer and process, prompting project accelerate renewables growth. Capturing the value
technology, the goal of tripling realisation through auctions by of wind energy
renewables will not materialise. stopping “race to the bottom” l Accelerate MDB reform to
 It took the wind industry over four
Or worse, uncoordinated mechanisms, shortening grid enable different forms of
investment may foster conflict connection queues and donor finance to be more
32. https://www.worldbank.org/en/news/press-release/2024/02/27/
and uncertainty during the creating consistent, large- effectively and efficiently world-bank-group-prepares-major-overhaul-to-guarantee-business.
process of a grand capital volume and long-term funnelled to clean energy 33. https://www.cgdev.org/blog/introducing-mdb-reform-tracker.

GWEC | GLOBAL WIND REPORT 2024 35

 Chapter 1: Economics and investment

decades to pass the 1 TW policy tools being deployed for most competitive bids by price or
milestone of global installations in these aims, from stringent pre- the best price-quality ratio. In the
2023. This progress was largely qualification stages to long-term offshore wind sector, seabed
driven by an attractive cost profile industrial strategies; though leasing auctions are sometimes
that makes wind generation more unfortunately, even the most separate from the offtake auction.
favourable than fossil fuels in many mature offshore wind markets are Depending on market conditions
parts of the world.34 However, with applying negative. and maturity, some seabed leasing
the goal of tripling renewables, the tenders may prioritise the highest
global wind fleet is now faced with Many countries are also exploring bids, while others incorporate NPC.
the challenge of expanding by at non-price criteria (NPC) – also
least 2.75 times within the next called qualitative or award criteria While NPC can bring about
seven years. – in auctions to capture additional value creation from wind
socioeconomic and environmental energy, it also introduces a layer of
Accelerating the speed of value from wind capacity. It is vital complexity to the evaluation
deployment will be challenged by that NPC are considered with the process. Given that onshore wind
current policy and regulation, from broader investment picture for projects typically operate on a
overly long permitting timelines wind energy in mind, as well as the smaller scale with shorter
and slow grid/infrastructure pace of growth required to meet construction timelines compared to
build-out to a least-cost approach climate goals. offshore wind, it is more effective
that risks fostering a “race to the to apply NPC in the offshore wind
bottom” in wind procurement. Non-price criteria: sector. Offshore wind projects
Auctions in many places compel A cautious approach benefit from larger scales and
developers to compete for small Typically, auctions begin with the longer planning timelines, allowing
volumes of capacity by submitting notification of a pre-qualification for better preparation to deliver
extremely low or even negative stage, which sets out technical NPC effectively, though not where
bids. In uncapped seabed leasing specifications and minimum-level auctions are using negative
tenders for offshore wind sites, competencies required for bidding.
developers face conditions that can participation. Common criteria for
generate unreasonably high bids, this pre-qualification stage include: Guardrails and guidelines for NPC
distorting CAPEX calculations. experience and track record; legal in the wind sector
requirements; financial NPC expands the scope of
It is important that governments competence; good conduct; and auctions by procuring projects that
look beyond price in energy geographic specifications.35
auction schemes to promote the 34. BloombergNEF, 2H 2023 LCOE Update, 2023.
realisation of high-quality projects The next stage encompasses 35. S
 oysal, Emilie Rosenlund, Auctions for Renewable
and maximise the benefits of wind bidding, evaluation and selection. Energy Support: Effective use and efficient
implementation options (AURES), Policy Memo 2:
energy buildout. There are various Contracts may be based on the Pre-qualifications and penalties, 2016.

36 GWEC.NET
 Chapter 1: Economics and investment

are efficient in pricing and deliver Auction stages and potential application of NPC
additional value. For instance, the
EU Net Zero Industry Act directs Onshore wind auction Offshore wind auction
authorities contracting net zero Earlier appliaction of NPCs is preferred for markets with
technologies to procure based on a two-stage auction particularly at seabed leasing stage
the best price-quality ratio,
considering objective, transparent Pre-Qualification Pre-Qualification Offtake Seabed Lease Offtake
and non-discriminatory criteria Stage Stage Bidding Stage Bidding Stage BIdding Stage
Ensure project Ensure project Foster effective price Allocate seabed rights Award offtake
that covers environmental feasibility and feasibility and discovery through a based on price and contract through a
sustainability, innovation, system quality bids quality bids competitive process project value competitive
integration and resilience.36 Sets out technical Sets out technical Qualified bidders Sets out technical price-based process
specifications and specifications and enter a primarily specifications and Qualified bidders
minimum-leve minimum-leve price-based minimum-level holding seabed rights
There is no universal template, and competencies required competencies required competition for competencies required enter a primarily
regulators must consider NPC for participation in a for participation in a capacity and offtake for participation in a price-based
through the wider lens of market auction. auction. agreements. auction. competition for offtake
agreements
conditions and the urgency to
scale wind installations. In many
Supply Chain and Industrial Strategy
cases, NPC will carry additional Unlock supply chain investment and capture long-term local value creation
costs which should be reflected in It is most effective to foster supply chain development through a wider industrial growth strategy, created in collaboration between government and industry, and
auction pricing.37 aligned with anticipated schedules and volumes for procurement over a long term. This process of consultation, coordination and forward-planning provides
visibility and certainty to investors and the wind value chain, unlocking investment and value creation over a long horizon. An industrial growth strategy should
build on existing competitive advantages, drive innovation and complement auction design and criteria.
In general, NPC can be
categorised into three primary Source: GWEC, Position Paper: A global wind energy industry perspective on integrating non-price criteria in auction frameworks, 2024.
areas:38
NPC’s three primary areas
Governments should adopt a Sustainability System Integration Social Impact
cautious approach, carefully l Environmental and ecological l Integratingdifferent l Enhanced community and
weighing the effectiveness of sensitivity in construction, technologies (such as storage, stakeholder engagement
achieving political, economic or operation and decommissioning interconnections, transmission or
l Enhanced
ancillary services) to boost community 36. The EU Net Zero Industry Act has been provisionally
social objectives through auction l Nature-positive
approaches to welfare agreed at the time of the report’s writing. “Resilience”
overall value
criteria against the potential enhance biodiversity and
l Provision
of infrastructure
accounts for the proportion of products originating
ecosystem health from a single source of supply. See: https://eur-lex.
impacts on project economics. and public facilities europa.eu/legal-content/EN/TXT/
Authorities should carefully assess l Limiting emissions intensity of HTML/?uri=CELEX:52023PC0161
projects 37. This is the reason why NPC should not be applied in an
if the introduction of NPC would auction framework using negative bidding
slow-down the build-out of l Enhancing circularity, mechanisms.
recyclability and 38. G WEC, Position Paper: A global wind energy industry
renewables and inflate the cost of decarbonisation perspective on integrating non-price criteria in auction
the energy transition. frameworks, 2024.

GWEC | GLOBAL WIND REPORT 2024 37

 Chapter 1: Economics and investment

Case Study: Strict local content requirements in Taiwan (China) lead to higher costs
Taiwan (China) has emerged as emergent offshore wind sector is for bonus points. Bidders were requirements, according to
one of the early movers of expressed in a few ways. A supply required to locally procure the key BloombergNEF. The
offshore wind in Asia. Its offshore chain plan must be provided in development items for at least 60% implementation of more
wind ambitions are widely project applications for an of the proposed capacity. This stringent LCRs in the market’s
recognised, driven by ambitions establishment permit; fines or created constraints around vessels, growing offshore wind sector
to become a ’green economy’ punitive measures on the feed-in- marine engineering and other reflect the proportional
and a relatively open investment tariff (FIT) are imposed for missed segments, resulting in higher costs relationship between local
environment. Installed capacity delivery or delays on the plan. In for offshore wind procurement and content and offshore wind costs.
targets of 5.7 GW by 2025 and a the 2022 tender of the Round 3 delayed projects. To achieve long-term cost
further 15 GW by 2035 have Zonal Development Phase, the reduction and a regionally
sent a strong market signal, Industrial Development Bureau As a result of relatively strict competitive supply chain,
requiring a steady buildout of also qualified 25 items as key for LCRs, the levelised offshore wind especially in an early-stage wind
roughly 1 GW/year to reach the development (including wind tariffs achieved in Taiwan (China) market, policymakers should
long-term goal. turbine components, engineering were nearly double those of consider flexible and practical
services and power facilities), and subsequent auction rounds localisation approaches which
Localisation policy in the market’s a longer list of items that qualified which eased localisation reflect market conditions.

38 GWEC.NET
 Chapter 1: Economics and investment

When considering the application be harmonised with existing milestone deliverables incrementally
of NPC in tender schemes, GWEC frameworks and protocols as far ramping up installed capacity and
recommends the following as possible; supply chain development, while
guardrails: driving costs down. A consultative
For offshore wind, NPC is most
l  process between government and
General principles for wind effective at the seabed leasing industry is pivotal for creating an
energy procurement stage (as applicable). effective industrial strategy, taking
l Establish supportive pricing, into consideration the unique market
such as CfDs, and an enabling Evaluation of NPC conditions in each country and the
policy and regulatory l NPC should be measurable, wider investment picture for the
environment; verifiable, comparable and supply chain.
quantifiable, if possible, without
Deliverability, track record and
l  restricting flexibility in bidding;
financial capability should be
elements of pre-qualification NPC require enhanced
l  Recommendations to maximise
requirements for participation in transparency in the evaluation value from wind energy
the tender; and scoring process for The urgency of the global goal to
tenders. triple renewable energy capacity
Account for market maturity and
l  by 2030 demands a shift beyond
conditions; Industrial policy should adopt a cost in wind energy development.
broader, responsive and flexible Recognition of the wider societal
If introducing NPC, provide an
l  approach and socioeconomic net benefits of
‘on-ramp’ transition period to Focusing NPC on industrial wind energy can help to drive
facilitate industry collaboration. development or local content uptake of the technology and
requirements (LCRs) restricts the foster more sustainable
Application of NPC incentives to invest in a local supply remuneration schemes.
l Ensure that NPC are transparent, chain to a small number of market
reasonable, practical, and actors with winning bids. This can Ultimately, the industry needs
reflective of existing capabilities; hamper wider industrial growth and stable and ambitious policy
the ability for the wind supply chain environments that offer reasonable
NPC should be carefully selected
l  to plan for efficient production, returns on investment to achieve
to coordinate with broader policy cost-effective procurement and scale. GWEC recommends the
frameworks; economies of scale. following actions to capture the
value from wind energy in power
NPC should not increase legal or
l  Policymakers should instead adopt a markets and auction schemes:
administrative barriers to an broader sector growth strategy that
unreasonable degree and should offers a practical timeline with Avoid the pursuit of the “lowest
l 

GWEC | GLOBAL WIND REPORT 2024 39

 Chapter 1: Economics and investment

cost possible” in energy for the coming scale-up of market design reviews to ensure that will lead to a high project
procurement, considering the renewables generation. that renewable energy is realisation rate.
system- and economy-wide Renewables are currently the adequately incorporated, such
costs of alternatives to renewable cheapest source of new as via implementing priority Adopt a cautious approach to
l 

energy, as well as the economic generation in countries which dispatch for low-carbon NPC in offshore wind auction
and stranded asset risks of fossil represent around 82% of global generation. schemes, carefully weighing its
fuels, as discussed in the electricity generation.39 However, effectiveness in achieving
previous section. many countries, especially those Design auctions that balance
l  political, economic, or social
with powerful state-owned competitive price discovery and objectives against the impact on
Consider revenue-sharing
l  vertically integrated monopolies long-term delivery of affordable project economics. This process
mechanisms instead of using or high levels of regulation, do electricity and wider should be undertaken in
uncapped negative bidding and not take economics fully into socioeconomic benefits. This consultation with the industry, and
other forms of “race to the consideration when building out includes ensuring fair and with broader energy transition
bottom” auction mechanisms. their generation portfolios. sustainable remuneration goals in mind.
Industry can work with mechanisms, as well as robust
Undertake market design
l  international institutions to pre-qualification criteria to foster 39. B
 loombergNEF, Tripling Global Renewables by 2030:
assessments now to prepare encourage proactive power competitive and top-quality bids Hard, Fast and Achievable, 2023.

40 GWEC.NET
CHAPTER 2: BUILDING THE GLOBAL WIND SUPPLY
CHAIN TO MEET THE TRIPLING RENEWABLES GOAL
 Chapter 2: Production capacity and supply chains

Building the global wind supply chain to meet the tripling

renewables goal
To achieve the goal of tripling times its current size, reaching partnerships, innovation and many key regions of the world,
renewable energy and get on-track around 8 TW of installed capacity. workforce to deliver new wind investment in the wind energy
for a 1.5°C trajectory, the wind capacity. supply chain has been insufficient
industry needs to roughly triple This will require a dramatic and in recent years, with limited
annual installations within this sustained ramp-up in supply chain However, while political ambition is support from governments. From
decade. By 2050, the global wind investment to build the necessary growing for wind to become a Europe to Americas, there has
fleet needs to be roughly eight production facilities, infrastructure, backbone of electricity systems, in been chronic underinvestment in

External and internal challenges facing the global wind supply chain
External Internal
Increasing market volatility Policy signals hold back
Industry demand has in past been volatile, driven by phase capacity adjustments
in/out of support schemes
Many companies in the West are unable to make downwards
Volatility, including in raw material prices, induced by macro capacity adjustments given the anticipated step-up of wind demand
events such as supply chain bottlenecks from the COVID-19
Increasing market volatility to meet climate targets, while cost-cutting exercises and chronic
pandemic, inflation and the war in Ukraine
underinvestment has made supply chain scale-up challenging
Developers cancelling projects due to volatile macro
environment and weaker project economics, despite having In other markets like China, political-industrial interests are preventing

4
Curse of rapid innovation secured offtake contracts consolidation which could alleviate inefficiencies
The say/do gap between setting targets and realising renewable
energy projects contributes to supply chain uncertainty
External and internal These situations foster profitability challenges for supply chain
Regulators push for localisation
developments impacting
the wind supply chain
Regulators push for localisation companies
Ukraine invasion has made security of energy supply a
top priority
Industry hesitant to expand
The domestic onshoring of stock (energy-producing Curse of rapid innovation
equipment) has since moved into focus, reflected in the IRA For some companies, the race for larger WTGs has left insufficient
(US), Net Zero Industry Act (EU) and Chinese export time for thorough testing, risking serial defects in the field
restrictions
Development costs have not been recuperated due to shortened
Local content requirements lead to sub-scale production plants
product lifecycles
that are decoupled from global learning rates
Some authorities are considering strengthening cybersecurity Innovation on component and system level has not allowed for
and data residency requirements in the energy sector industrialisation of existing technologies

Wider supply chain, including infrastructure, vessels, foundations

and other suppliers, are challenged to keep pace with rapid WTG
size developments

Source: GWEC and BCG, Mission Critical: Building the Global Wind Energy Supply Chain for a 1.5C World, 2023; we note this graphic has been slightly updated by GWEC Market Intelligence as of Q1 2024.

42 GWEC.NET
 Chapter 2: Production capacity and supply chains

future supply chain capacity (in underinvestment with regards to to now localising production local supply chain growth while
onshore wind, current capacity is ramping up global supply chains. activity. This shift in political maintaining international trade,
sufficient to meet near-term From Europe to the Americas, agenda largely stemmed from the allocating capital efficiently and
demand), which makes scale-up to forward investment in scaling up global energy crisis in 2021, keeping prices competitive. As the
meet the tripling renewables goal production capacity has been Europe’s reliance on Russian gas at wind supply chain is highly
challenging. stifled due to stop-start the start of the invasion of Ukraine, globalised, ill-considered policies
government policies, permitting as well as rising drought and coal pose a risk to the cost of wind
In December 2023, at Trade Day at bottlenecks and a lack of clarity price volatility in Asia. The initial power. Consequently, this
COP28, GWEC launched a global and regular cadence for tenders. focus was on securing energy jeopardises policy support and the
study on the state of the wind supply and diversifying sources of necessary scale-up in volumes
energy supply chain entitled, At the same time, supply chain fossil fuel generation (approving or required to reach energy and
“Mission Critical: Building the actors are rightly hesitant to adjust restarting coal plants, building new climate targets.
global wind energy supply chain capacity downwards given the LNG terminals), while initiating a
for a 1.5°C world.”40 The report, anticipated ramp-up in wind ramp-up of domestic renewables Meanwhile, countries in the Global
produced in partnership with demand to meet climate goals. deployment. South often lack the financial and
Boston Consulting Group (BCG), policy tools available to the major
assessed the production capacity Inflationary impacts have hit the Since then, the discussion on industrialised countries, and
gaps across the full value chain for price of commodities, labour and energy security has shifted to domestic onshoring strategies
onshore and offshore wind to 2030, logistics, induced by macro events prioritising local supply chains and undertaken by major industrialised
from critical minerals to transport such as the COVID-19 pandemic industrial activity. In some of the economies could result in them
and installation. GWEC and BCG and the invasion of Ukraine. leading wind production hubs of being locked out of the technology
also collaborated on a scenario- Combined with rising cost of the US, Europe and India, and value chain of the wind
planning exercise, testing how four capital, this is also impacting the policymakers are increasingly industry.
macroeconomic and geopolitical investment case for wind energy focused on domestic onshoring
outlooks would impact energy projects and supply chain capacity. and reshoring. Large policy Moves towards a more
transition policy, wind market Market and auction designs and packages like the Inflation protectionist environment for wind
growth, wind supplier margins and procurement schemes that Reduction Act (IRA) in the US, equipment could also undermine
cost of wind power in this decade. prioritise low cost of power have Made in China 2025 and the EU’s supply chain development in
The analysis and findings of this led to razor-thin or even negative Net Zero Industry Act aim to Global South countries such as
report are discussed in this section. margins, failing to provide the expand industrial leadership in the India, which hope to position
flexibility to adapt to a dynamic cleantech sector. Some authorities themselves as major equipment
The wind supply chain under and volatile price environment. are considering strengthening exporters and will be needed to
external and internal strain cybersecurity and data residency support the global scale-up of
In the external environment, the Another external factor is the requirements in the energy sector. production capacity for key
wind industry is experiencing growing push for domestic components.
volatile policy and market onshoring which extends beyond But policies need to be carefully
demand, which has led to securing the flow of energy supply, calibrated to create conditions for 40. https://gwec.net/supplychainreport2023/

GWEC | GLOBAL WIND REPORT 2024 43

 Chapter 2: Production capacity and supply chains

Internally, wind industry actors are and competing priorities are too low to refine turbine models trade conflicts and alliances
hesitant to scale up production similarly squeezing profitability of over multiple generations. lead economies to implement
capacity, due to uncertainty in wind industry companies in China. unilateral policies and trade
future market growth. Policy These factors combined have barriers, reducing cross-border
environments are not fit-for-purpose Finally, a distinct characteristic of fuelled a “race to the bottom” supply chain flows.
to incentivise deployment of wind the wind sector among other approach to costs combined with
energy at the necessary levels, energy transition supply chains is a “race to the top” thinking on 3) Economic Downturn, where
marked by stop-start government the industry’s “rapid innovation turbine size, leading to growing the world is hit by the severe
ambition and auctions, and curse.” The race for ever-larger technical risk and a low level of knock-on effects of an economic
bottlenecks in project permitting, turbines specialised for specific serial production. downturn with hyper-inflation,
land availability and grid buildout. markets has shortened the product defaults and investment dry-up.
Cost of capital remains a significant development cycle, leading to an Gearing the supply chain up for A global recession and Chinese
investment barrier for projects and inability for OEMs to recuperate different macro scenarios growth slowing down lead to a
supply chain in EMDEs. their R&D spend, in addition to Given the turbulence of recent supply chain crisis and
hampering the wider supply chain’s years, as we look ahead to meeting consolidation.
The prominent “say/do gap” ability to achieve economies of the tripling renewables goal by
between governments setting scale as other manufacturers, 2030, it is worth considering the 4) Global Escalation, where
targets and actual realisation of vessel-builders and logistics various geopolitical and global markets are impacted by
renewable energy projects planners are challenged to adapt to macroeconomic conditions that territorial, cyber or proxy war
contributes to supply chain ever-growing turbine models. could impact the wind market and conflicts, resulting in powers
uncertainty and hesitancy to scale wider energy transition policy. pushing to restructure influence,
up. Maintaining overcapacity puts With continuous technological GWEC and BCG jointly developed fragmenting global supply
enormous pressure on supply progress, the industry has reached four such macro scenarios looking chains.
chain players, particularly those a new stage with turbines growing to 2030, and assessed each of their
with a client base more limited to larger and more specialised. For material effects on the wind supply Each scenario has a dramatic
wind (as opposed to bearing example, turbines have been chain. impact on energy transition policy,
manufacturers or cable suppliers). designed for factors such as international cooperation and
payload on highways (USA), 1) Open Door, where major trade. Modelling each of these
Meanwhile, local content and environmental requirements (EU), powers see the benefits of scenarios against three factors –
overarching industrial priorities are climate conditions (Middle East), global cooperation based on additional wind market growth
preventing industry consolidation in co-located plants (China) or grid established norms for trade and compared to a business-as-usual
some markets like China, which limitations (Australia). A breakneck build regional supply chains trajectory, supply chain actor
would allow for a leaner and more and bespoke development cycle that are competitive and margins and cost of wind power in
efficient supply chain. There is also increases technical risk for resilient. LCOE terms – found that the Open
adequate investment for scaling up turbines, leading to potential Door scenario led to the largest
to meet domestic growth targets, concerns over quality and defects 2) Increased Barriers, where market growth and additional wind
however political-industrial interests if levels of serial production remain domestic investment focus, installations, significantly stronger

44 GWEC.NET
 Chapter 2: Production capacity and supply chains

supplier margins and the most When modelling these four 2030.41 This scenario’s focus on and policy enable major world
substantial decline in LCOE of scenarios against the cumulative open trade and the buildout of powers to recognise the need for
wind. Conversely, the Global wind capacity required to meet a multiple price-competitive regions cooperation to achieve a secure
Escalation scenario where net zero pathway, only the Open with backwards-integrated supply and cost-effective energy
increased cross-border conflict Door scenario has the positive chains delivers wind growth in line transition. This allows global supply
reduces trade linkages leads to climate and wind industry impact with net zero. chains to deepen, focused on
stagnant market growth, a dive in to deliver the additional capacity LCCs (Low-Cost Countries) like
supplier margins and a spike in needed to reach the roughly 2.75 In this scenario, strengthened 41. C
 umulative wind capacity benchmark according to the
wind cost. TW of wind energy required by climate change mitigation ambition IEA’s Net Zero by 2050 scenario (2023).

Four plausible futures with major wind industry impact

Open Door Increased Barriers Economic Downturn Global Escalation

Push for collaboration facilitates More regional crises lead gov. to Economic crises shift focus away International economic and
more global approach to ensure focus on short term aids targeting from decarbonisation and makes conflict crises lead to restructured
resilient supply chainss and strong, consumers and industry investment into wind challenging areas of influence; net zero efforts
stable demand largely cease
Continued progress towards net Affordability prioritised over
Social and power market zero in developed markets with sustainability, minimises investments Availability is highest priority in
transformation delivering against focus on local production and in mitigation; inability to pay cost of energy. The world reduces efforts to
1.5° target with large global investment; emerging markets see adaptation tackle climate change; rich
coverage little progress economies focus on adaptation

Free trade focus, building multiple Focus on protecting domestic Low industrial activity leads to select High domestic resilience focus; only
Policy

price-competitive regions with players and limiting imports; trade player support, insolvencies and larger economies perform well
backward integration conflicts lead to less decarb. focus likely consolidation / mergers while conflict limits trade

Renewable demand growth due to More focus on local quick-win Focus on power access and price Availability risk from unreliable
ET focus

emission taxes and fossil tech phase solutions and energy flow resilience rather than decarbonisation; less trade. Chinese mineral restrictions
out; shared standards for trade rather than decarbonisation investment into CAPEX-heavy tech and price uncertainty raise costs

ET = Energy Transition

Source: GWEC and BCG, Mission Critical: Building the Global Wind Energy Supply Chain for a 1.5C World, 2023.

GWEC | GLOBAL WIND REPORT 2024 45

 Chapter 2: Production capacity and supply chains

Global scenarios will impact wind market growth, margins and cost curves

Market Size (growth) Supplier Margins Cost of wind power

GW (solid) or units (dotted) of % IRR, indexed 2023 LCOE net effect, indexed 2023
new installations, indexed 2023
300% 120%

110%
200% -49%
100%
100% +33%
-10 p.p.
100% -45%
90%

0% 80%
2024 2026 2028 2030 2024 2026 2028 2030 2024 2026 2028 2030
Open Door Incr. Barriers Econ. Downturn Global Escalation

Source: GWEC and BCG, Mission Critical: Building the Global Wind Energy Supply Chain for a 1.5C World, 2023.

China and India which can supply decelerating turbine platform wind industry to install just more must prepare to navigate a
fast-growing demand. Regional growth and allowing for a degree than 2 TW by 2030, leaving a turbulent period ahead, remaining
hubs for supply chain allow for of standardisation. sizeable shortfall to a 1.5°C pathway. vigilant against the adverse effects
more efficient capacity utilisation of economic downturn, market
and improved resilience. However, under current policies, we GWEC and BCG also assess that growth lumpiness and escalation
are more likely to see an it is likely some elements of the of trade tensions.
Cross-border demand stimulation Increased Barriers scenario other two scenarios, Economic
drives a large increase in the materialise, reflecting the Downturn and Global Escalation, Bottlenecks are set to
number of turbines produced and insufficient demand signals in will resonate in global markets emerge across the global wind
deployed, allowing for more Europe and other key regions, as and energy policy to some value chain
sustainable growth of the wind well as the growing domestic degree. As a reflection of the Industry data collected throughout
supply chain – improved further by onshoring agenda for wind supply macro volatility experienced in 2023 reflects a risk of
alignment within the industry on chains. This scenario would set the recent years, the wind industry manufacturing bottlenecks from

46 GWEC.NET
 Chapter 2: Production capacity and supply chains

mid-decade onward for multiple China. The natural resources and Only an Open Door trade and cooperation scenario is sufficient for net zero
key components in the wind value refining capacity for these
chain, in particular gearboxes, materials are plentiful, but 3
generators, blades, and offshore centralisation in both mining and Open Door Incr. Barriers
wind compatible castings, towers refining makes trade restrictions a Econ. Downturn Global Escalation
and foundations. Ports and major risk for the global industry
installation vessels with sufficiently and renewables targets.

TW installed wind
large crane capacity are also 2
needed to scale offshore wind. In The wind supply chain is
all regions except for China and currently highly globalised, with
India, nacelle assembly capacity a strong focus in China. Over the
will be insufficient (this includes last decade, China has built up a
India for offshore nacelle scale-driven and backwards- 1
assembly), with the industry’s thin integrated industry through steady
margins currently deterring the market expansion. China leads the
expansion needed. global market for material refining
(steel, aluminium, rare earth IB, ED and GE result in <=2TW 2030 outcome
Mining for metals and critical materials), and manufacturing of 0
materials such as iron, zinc and key wind components like
2010 2020 2030
copper is centralised in a handful of gearboxes (80%), converters
countries. Broadly, mining for (82%) generators (73%) and Source: GWEC and BCG, Mission Critical: Building the Global Wind Energy Supply Chain for a 1.5C World, 2023.
critical minerals needed for the castings (82%).
energy transition is concentrated in Concentration risk in China is not It is worth noting that most Chinese
Latin America, Africa and South Over time, most global OEMs have as high in the wind industry as it production is for China: While
East Asia: Chile and Peru are increasingly focused on core is in the solar PV industry, China holds 64% of the total value
leading producers in copper; Chile competencies such as design, however, the concentration risk of generated across the global wind
and Argentina lead in lithium engineering and assembly. Cost these particular components is a supply chain, from mining to
supply; Indonesia and the has become more important than concern due to historical patterns transport and installation, it will
Philippines lead in nickel; while the proximity in supply chains; in the in key growth regions for wind also install 58% of the expected
Democratic Republic of Congo early 2010s, the supply chain was – such as the US and Europe – to new wind installations through
leads in cobalt and South Africa in typically in the direct vicinity of the outsource gearbox, converter and 2025.43
platinum.42 OEM, but now many suppliers generator manufacturing. These
have shifted production lines to segments of the supply chain 42. I EA, The Role of Critical Minerals in Clean Energy
Transitions, 2021.
However, the refining of critical LCCs. Today, global OEMs’ offer strategic targets for 43. Value-add based on estimated share of mining,
rare earth minerals for wind assembly and supply chain have diversification and reshoring, to refining, manufacturing, assembly and services with
calculation done based on activity location. Installation
turbine permanent magnets is key footprints located in China and ensure more resilient wind outlook covering 2023-2025 is from GWEC’s wind
handled almost exclusively by increasingly India. scaling. growth forecast (Q2 2023 Outlook).

GWEC | GLOBAL WIND REPORT 2024 47

 Chapter 2: Production capacity and supply chains

Supply chain bottlenecks materialise by middle of the decade

Theme Critical materials Key components Assembly Offshore wind enablers

Carbon Power Onshore Offshore Installation

Subject Rare Earths* Steel Plate* Copper Concrete
Fiber*
Gearboxes* Generators* Blades*
Converters*
Castings* Towers* Foundations* Cables*
nacelles* nacelles* vessels*
Ports* Workforce

Global level criticality

Time to action **

Europe 2023 - - - 2025 2024 2024 2024 2024 2023 2025 2025 2025 2024 2024 2025 2023 2023***

North America 2023 - - - 2025 2023 2023 2023 2023 2023 2023 2023 2023 2024 2023 2023 2023 2023***

China - - - - - - - - - - - - - - - - - ***

General availability of needed materials at the global Risk of manufacturing bottlenecks before 2030 for multiple components at regional level, Onshore challenge Offshore wind needs to scale
level, with copper mining/refining and concrete in particular gearboxes, generators, blades as well as offshore wind size compatible expected only if both port capacity and wind
production available for all major regions metal castings, towers and foundations trade exports from turbine installation vessels
Key findings India/China are with sufficiently large crane
Major centralisation for refining of rare earth Strong centralisation for some key components, especially gearboxes and castings. restricted capacity
materials, with close to no capacity outside of China North America is generally fully dependent on imported components and is already
today. First alternate refineries expected to be ready today experiencing undersupply of especially components for offshore wind including Offshore assembly US critically lacks vessels and
by 2028 offshore towers, foundations and subsea cables risks undersupply ports while announced
as uncertain expansion plans and orders in
Carbon fiber production currently experiencing Supply chains will generally benefit from building out regional manufacturing hubs to industry outlook other markets can
undercapacity; major capacity expansion has been ensure more resilient access to needed components while ensuring continued trade and may lead to address need to 2030; any
announced in particular in China, with Europe and global interlinkages to enable flexibility and address demand volatility plant cancellations cancellations will pose risks
North America likely becoming reliant upon imports

Address basic barriers to wind industry growth in land, grids Regionalisation will be needed to support growth and Trade policy should build competitive industries,
Recommendations and permitting to increase volume and predictability resilience, while maintaining a globalised supply chain not push higher costs onto end users

The wind industry must standardise and industrialise The market must provide clear and bankable Fundamental reform of the power market underpins
demand signals further wind growth

No global bottleneck risk Immediate global bottleneck

* Deep dive analysis provided ** Time to action denotes time when new capacity construction must be started to avoid bottlenecks in each region without trade
*** Workforce with major challenges, addressed in GWEC & GWO: Global Wind Workforce Outlook 2023-2027

Source: GWEC and BCG, Mission Critical: Building the Global Wind Energy Supply Chain for a 1.5C World, 2023.

48 GWEC.NET
 Chapter 2: Production capacity and supply chains

Value generation varies by segment of the wind value chain; China and India are punching above their weight
Total value Trade New
Value generation along the wind supply chain (% in USD 2023) generation balance installations
(USD) (GW)

100%

7% -6% 8%
-28%
3% -35% 5%

6% -19% 9%

14% 18%
+45%
5% 3%

64% +12%
58%

Mining Refining Manufacturing Assembly T&I Total 2023-2025e

ROW S. America N. America Europe India China

Note: Analysis on location of value-add, not nationality of producer. Mining, refining and production split for wind use estimated based on national capacity, sourcing policy and trade patterns, and do not include major Chinese ownership in major mining markets such as Indonesia and Chile.
Manufacturing includes sub-suppliers for towers and blades. Assembly includes OEM R&D.

Source: GWEC and BCG, Mission Critical: Building the Global Wind Energy Supply Chain for a 1.5C World, 2023.

Additionally, in terms of finished Chinese production for export. generation relative to share of cleantech sector, in tandem with
wind turbines, China’s market That said, there are clear signals global new installations from the national “Make in India”
share remains low. Out of the 90 that China intends to continue 2023-2025), China holds a positive policy initiative for localisation of
GW of new wind installations in serving as the leading component trade balance, but India’s is even strategic industries, it is expected
2022, nearly 57 GW was produced manufacturer for the global wind higher – showing that India is that India will strengthen its
and assembled in China – 88% industry, and further expand its punching far above its weight as a position as a global export hub
was Chinese production for China, market share in providing finished production hub for the supply for the wind industry. India’s
less than 0.2% was non-Chinese wind turbines to global markets. chain. export opportunities are explored
production for China, almost 9% further in GWEC’s report with
was non-Chinese production for Interestingly, in terms of trade With large Indian conglomerates MEC+ “Wind Energy Market
export and less than 3% was balance (share of global total value increasingly investing in the Outlook 2023-2027: From Local

GWEC | GLOBAL WIND REPORT 2024 49

 Chapter 2: Production capacity and supply chains

Case Study: Advancing the offshore wind supply chain in the Asia-Pacific (APAC) region
Provided by: The Global Offshore federal and state efforts to wind supply chain was central to Despite the challenges ahead,
Wind Alliance (GOWA) support regional collaboration. discussions, particularly in the there is a sense of optimism
Some have showcased significant current challenging economic regarding the industry’s potential
The summer of 2023 saw GOWA potential for offshore wind climate. The example of the for sustainable growth through
kickstart a series of closed-door energy but highlighted collective action in the North Sea collaboration, addressing supply
roundtables bringing together regulatory complexities which has been noted as an example for chain issues and focusing on
high-level representatives from are posing challenges in lessons learned. community benefits. The APAC
governments, offshore wind furthering market development. region has emerged as a
industry and stakeholders across Whilst others have pointed to the Participants have identified promising hub for offshore wind
the APAC region. The aim was to need for cooperation with various challenges facing the innovation, demonstrating the
address supply chain challenges neighbouring countries and offshore wind industry in the transformative power of global
and explore opportunities for strategies to attract foreign APAC region, including cooperation in advancing
regional cooperation to advance investment as key to unlocking inconsistent policies, capital renewable energy initiatives.
the acceleration of offshore wind. offshore wind potential. shortages, technological gaps and
a shortage of skilled human By bringing together key
The alliance has so far convened Of note was the emphasis on the resources. However, they agree stakeholders and fostering
representatives from Australia, the shortage of capital to support the that strategic collaboration and the dialogue, GOWA is laying the
Philippines, Sri Lanka, India and development and scaling of the establishment of clear regulatory groundwork for future
Vietnam as well as the states of supply chain. There was frameworks are essential for collaboration and innovation in
Victoria, Australia and the US state recognition of the need for overcoming these challenges. supply chain development. As
of California, who have shared strategies to attract capital Suggestions have included nations strive to meet ambitious
insights into their respective investment into the supply chain, developing consistent policy renewable energy targets and
offshore wind ambitions and which may include financial frameworks, attracting capital address climate change, regional
challenges. incentives, grants and investment- investment, enhancing cooperation will be crucial in
friendly policies. technological capabilities through unlocking the full potential of
Conversations have emphasised R&D and investing in education offshore wind and meeting the
the importance of aligning The profitability of the offshore and training programs. global tripling renewables goal.

50 GWEC.NET
Wind Power to Global Export with government and civil society – gearboxes, generators, power global interlinkages of the wind
Hub.”44 to urgently address policy and converters, castings and rare earth energy supply chain. Regions will
regulatory barriers, in order to materials. need to pursue supply
help improve its outlook. diversification strategies, reshore/
Measured reshoring activity must onshore some segments and grow
Recommendations for securing the The wind industry must
l  be accompanied by measures to their own capacities. But this
global wind supply chain standardise and industrialise. keep trade flowing within and should not manifest in measures
If we are to ensure a sufficiently between regions, supporting that outright block current trade
large and stable demand for a net The wind sector must industrialise individual nations in enhancing flows and interrupt or delay
zero future, delivered at a highly and scale, with designs becoming their capacity to deliver at scale, deployment. The time needed to
competitive cost, industry and global and modular. To achieve
policymakers must actively this, turbine platform growth will
collaborate on global renewable need to slow down towards 2030 to Regions will need to pursue supply diversification
energy supply chains. The GWEC
and BCG report, “Mission Critical:
the extent needed to ensure that
OEMs can capitalise on their R&D
strategies, reshore/onshore some segments and
Building the global wind energy investments and the supply chain grow their own capacities. But this should not
supply chain for a 1.5°C world,” can use equipment for more than a
makes six key recommendations few years, as well as achieve
manifest in measures that outright block current
for action: economies of scale. trade flows and interrupt or delay deployment.
Address basic barriers to wind
l  l Regionalisation will be needed
industry growth in land, grids to support growth and ensuring flexible access to needed reshore or nearshore
and permitting to increase resilience, while maintaining a materials, components and manufacturing must not be
volume and predictability. globalised supply chain. services, and providing stronger underestimated.
wind demand drivers across
Parts of the supply chain are now With a growing push towards borders. This will be particularly The market must provide clear
l 

loss-making and unable to invest in diversification, reshoring and important for the future growth of and bankable demand signals.
future production capacity. This is regionalisation, the wind industry the offshore wind sector, where
due to policy and regulatory will profit from building out manufacturing, installation and Markets must develop credible
barriers that lead to heightened regional supply hubs to provide O&M services all benefit greatly build-out trajectories in the shape of
uncertainty for project investments. alternative sources for the from regional collaboration and concrete and transparent targets, as
These barriers include overly materials and components needed cross-border learning. they will be key to supply chain
complex permitting procedures, to deploy additional wind capacity. investment. These must be stable,
grid bottlenecks and impractical This activity should focus on the Governments should adopt a bankable and much stronger than
pricing signals at auction. As a key strategic areas where global balanced approach between
energy and political priority, the resilience is currently low and fostering regional supply chain 44. https://gwec.net/india-wind-energy-market-outlook-
wind energy industry must work concentration risk in China is high security and accounting for the 2023-2027-report/.

GWEC | GLOBAL WIND REPORT 2024

 Chapter 2: Production capacity and supply chains

they are today. By stating clear limited trade barriers. Markets will better production profile – rather balance between efficient supply
targets and auction schedules or benefit from public investment into than strong competition for the chains capable of increasing
yearly capacity additions over a workforce skills and infrastructure, lowest price per MWh. The quality and reducing costs on the
long horizon stretching beyond while prescriptive regulation broader societal benefits of wind one hand, and an innovation-
2030, policymakers will be able to against cross-border trade could energy could also be considered hungry, highly competitive sector
grow wind power demand as reduce industry growth and to further stimulate innovation and where new products are churned
needed through communicated increase costs. This will ultimately domestic value creation. out at breakneck speed on the
targets for electrification, be paid for by households, other, appears to have shifted
decarbonisation, sector coupling commercial and industrial Creating secure and sustainable towards the latter.
and storage, involving the broader consumers, cities and other supply chains for wind power will
industry in building renewables consumers of electricity. allow the industry to continue to In February 2023, onshore wind
ecosystems. expand and create multiplier turbines surpassed the symbolic
Rather than pursuing defensive effects in sustainable employment double-digit mark in power ratings
In addition, governments should mechanisms which could enhance opportunities, industrial growth and as Chinese manufacturer Envision
look towards establishing public trade barriers, governments economic productivity around the unveiled its EN-220/10 MW model,
funding schemes that aim to scale should focus on incentivising world. This would not only bring us for deployment in China’s northern
the wind industry. While there are strategic segments of the domestic closer to the global climate change regions.
ample opportunities to acquire industry, creating a more attractive mitigation goal of tripling
public funding for R&D or market environment by ensuring renewables, but also ensure that we Most wind turbine OEMs have long
innovation activities, there is a adequate pricing and returns, provide incredible socioeconomic offered models for onshore use with
notable lack of funding schemes making competitive finance value along the way. power ratings of 5-6 MW and above.
dedicated to scaling up available and removing Vestas upgraded its EnVentus
manufacturing and infrastructure. bureaucratic barriers. Pursuing industrialisation onshore turbine from 5.6 MW to 6.0
and standardisation MW in late 2020, and then boosted
Trade policy should aim to
l  Fundamental reform of the
l  Like any modern industry sector, it to 7.X MW in 2022. Nordex
build competitive industries, power market underpins wind power owes a large part of its evolved its Delta 4000 platform to
not push higher costs onto further wind growth. success to its drive to innovate. As power ratings of 6 MW and above;
end-users. wind energy has expanded to all the N163/6.X model, with rotor sizes
In order to provide the certainty parts of the world, the industry has of up to 164 metres, has already
Collaboration and trade must be needed to attract investment, also expanded its ability to adapt made its mark in low- and medium-
protected to foster healthy future power market reform should be to local conditions and wind markets. A prototype with a
wind pipelines. Supply chain introduced to better address the requirements, thereby identifying larger rotor size, up to 175 metres, is
capacity utilisation remains key to requirements of renewable solutions that deliver larger expected this year.
cost reduction. This is only generation. Long-term operating volumes of energy more reliably
possible if resources can be margins must be ensured through and efficiently. Other OEMs are now looking to
shared across regions, with awards based on solutions with make a mark in the 10+ MW
competitive cost positions and higher system value – such as a More recently, however, the territory. For example, Chinese

52 GWEC.NET
 Chapter 2: Production capacity and supply chains

company Sany’s 919-series 10+ MW onshore wind turbine 3.6 MW ‘workhorse’, with rotor diameter and 43,743m2 wind-
platform, featuring 8.5-9.0 MW include Goldwind, Mingyang, diameters of up to 120 metres, swept area easily surpassed the
models and launched in 2022, has Windey, DEC, CSSC Haizhuang, dominating the sector. In early next-largest model up until then,
been succeeded by the SI-230-100 SeWind, CRRC and United Power. 2021, Danish OEM Vestas set new GE’s Haliade-X, with a rotor
variant, with power ratings of 11 MW benchmarks for rotor diameter diameter of 220 metres and
and above, and rotor sizes of up to Super-sizing offshore wind and nominal power rating with its wind-swept area of 38,013m2.
230 metres. Other Chinese turbine In the offshore wind sector, long- V236-15.0MW offshore wind
OEMs who have also launched a gone are the days of the Siemens turbine. Its 236-metre rotor While other European OEMs also

Trend of onshore and offshore turbine size, 1980-2030

350m (Estimate)

280m
Tip Height (m)
Rotor diameter (m)

164m
154m
126m

300
90m

187
76m

192
153

39m
125

35m
98
Offshore

47.5

60

0.45 MW 0.5 MW 2 MW 3 MW 5 MW 6 MW 9.5 MW 18 MW 25 MW (Estimate)

1980 1985 1990 1991 1995 2000 2005 2010 2015 2020 2023 2030

270m (Estimate)
Onshore

220m

190m

126m 126m

245
90m
80m
210
198
153

40m 43m
125
100

15m 20m
61.5
55
25.5

34

0.05 MW 0.1 MW 0.5 MW 0.6 MW 2 MW 3 MW 5 MW 7.5 MW 8 MW 10 MW 15 MW (Estimate)

Source: GWEC Market Intelligence.

GWEC | GLOBAL WIND REPORT 2024 53

 Chapter 2: Production capacity and supply chains

Industry Spotlight: How effectively is wind energy generation capacity being utilised?
Provided by: HARTING of wind energy generation
Global Total installation Power in GW and Capacity Factor, Wind vs Solar PV
Technology Group capacity. But has utilisation
improved consistently over time 1600 30%
When travelling, people often to keep pace with the expansion
1400
encounter the striking sight of of wind power, and if so, what 25%
wind turbines. One common technological and economic 1200
20%
question is why some turbines are factors have contributed to this 1000
not rotating. After 40 years of improvement? 800 15%
development, the global wind
600
industry has surpassed the Capacity factor is defined as the 10%
impressive milestone of 1 TW in ratio of the net electricity 400
2023 and is now on track to generated over a period of time to 5%
200
exceed 2 TW before 2030. To the energy that could have been 0 0%
reduce friction on this huge generated at continuous full-

1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
growth trajectory, we need to power operation during the same Wind Power in GW Solar PV Power in GW Wind Capacity Factor Solar Capacity Factor
address questions about the period. This metric is commonly
Source: GWEC, IEA, BP, Ember, 2024.
efficiency and effectiveness of used to show power plant capacity
wind energy generation capacity. utilisation across different
countries and regions with Global Yearly Generation in TWh and Capacity Factor, Wind vs Solar PV
Wind energy generation varies varying generation technologies
3000 30%
according to location, weather such as fossil fuels, nuclear,
conditions and turbine hydropower, solar and wind. The 2500 25%
technology. In many countries, the electricity generated can be
electricity grid cannot absorb the metered, billed, absorbed in the 2000 20%
generated wind energy, resulting grid or storage system or
1500 15%
in significant curtailment rates. All consumed by various electrical
these factors affect the utilisation loads. 1000 10%

Generated Energy in 500 5%

kWh in Year xxxx
Full-Power Generation Total installation Power 0 0%

1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
Capacity Factor Hours in Year xxx in kW by Year xxxx
= =
in Year xxx
8760 (365 x 24 Hours) 8760 (365 x 24 Hours) Wind Power in TWh Solar PV Power in TWh Wind Capacity Factor Solar Capacity Factor

NEA,BP,ACP,
Source: GWEC, IEA, EIA,2024.
Ember, Our World in Data, 2024.

54 GWEC.NET
 Chapter 2: Production capacity and supply chains

Use cases: installed wind capacity since

Wind Total Installation Power in GW and Capacity Factor, China vs US Wind and solar PV are currently 2010, the US has had higher
the primary renewable energy capacity factors since 2007 by
500 40% sources that must grow at scale to about 10%. This corresponds to
35% meet net zero targets, and their around 900 more full power
400 capacity has been steadily generation hours per year in the
30%
increasing over the last decades. US. Weather conditions may have
300 25%
The graph below shows the global played a dominant role in the
20% total installed capacity and differences, given the relatively
200 15% corresponding capacity factor of similar wind turbine technologies
10%
wind and solar PV since 1996. in both countries. The relatively
100 While both capacity factors have high level of grid curtailment in
5%
grown, wind has a capacity factor China is also a contributing factor.
0 0% double that of solar PV.
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
Assessing efficiency and
China Wind Power in GW USA Wind Power in GW China Capacity Factor USA Capacity Factor The reasons for continuous effectiveness of wind power
Source: GWEC, IEA, BP, Ember, 2024. capacity factor improvement vary. through capacity factors offers a
The main driving factors are variety of use cases, which can be
technological innovations of wind harnessed by the wind industry
Wind Yearly Generation in TWh and Capacity Factor, China vs US turbines and solar PV systems for continued improvement in
enabling the harvesting of as building a highly reliable, long-
1000 40%
much wind and solar PV energy lasting supply chain.
900
35% as possible, along with the
800
30% continuous improvement of quality
700
25% and reliability resulting from mass
600
industrialised production.
500 20%
400 15% From another perspective,
300
10% comparing the capacity factors of
200
5% the US and China – both countries
100
located in the northern
0 0%
hemisphere and covering a large
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023

area across several latitudes and

China Wind Power in TWh USA Wind Power in TWh China Capacity Factor USA Capacity Factor
longitudes – shows that while
Source: GWEC, NEA, ACP, EIA, Our Worl in Data 2024.
China has had a higher total

GWEC | GLOBAL WIND REPORT 2024 55

 Chapter 2: Production capacity and supply chains

released offshore wind platforms to more cost-effective energy. A Facilitating sustainable growth Initiatives such as the Advanced
occupying the upper range of the technology ‘race’ to develop new through collaboration Product Quality Planning Group for
10-15 MW range over the past few turbines is not only an expensive In December 2023, Energy Cluster Wind (APQP4Wind) – that brings
years, Chinese manufacturers took investment for R&D, but is also a Denmark, a member-driven together turbine OEMs including
the “race to the top” to the next risk to a sustainable supply chain. organisation to facilitate innovation Goldwind, Vestas, Siemens
level. OEMs set the industry pace with collaborations, announced a new Gamesa and GE Vernova as well
their turbine designs, directly partnership between European as developers such as Ørsted and
Dongfang unveiled in July 2022 its impacting the rest of the supply OEMs Vestas and Siemens Vattenfall, and supply chain
D16000-2XX-S direct-drive chain which needs to quickly adapt Gamesa to standardise tower companies – are a good example
offshore turbine with a turbine and follow suit. transportation equipment for of how to make this happen.
rating of 16 MW and 128-metre offshore wind turbines. APQP4Wind has already produced
rotor blades – a wind industry Rapid wind turbine upscaling also an industry specification for
record at the time. compounds the pressure on At the heart of the partnership is a fasteners, a straightforward domain
cost-volatile raw materials and desire to develop standards that to standardise and one with low
In late 2022, giant conglomerate exacerbates issues related to allow for shared use of an levels of innovation.
CSSC Haizhuang announced it was logistics, transport and installation expensive and scarce asset – in
developing an 18 MW offshore – ultimately making fierce and this case, installation vessels. This Another approach to addressing
wind turbine with a 260-metre unmanaged competition a trap, in turn allows the supply chain to the innovation and scaling
rotor diameter. Mingyang’s MySE rather than a foundation for transport components more challenges of the wind power
18.X-20 MW, released in late 2023, sustainable growth. efficiently and quickly. sector is modularisation. This
has flexible power ratings of strategy could enable faster rates
between 18 MW and 20 MW. It While larger turbines typically Standardisation does not come of assembly and deployment to
supports rotor diameters of up to result in higher capacity factors, without its limitations and meet growth targets. Additionally it
292 metres and is designed for other factors play a more downsides. In any industry sector, could address some of the
medium- to high-wind locations, significant role in reducing the cost OEMs will seek to gain market logistical issues associated with
including those prone to typhoons. of energy generated from wind share through their unique product super-sized equipment, and tackle
farms over the long term. These offering and high-value intellectual the variability of wind resources
The OEM has already announced factors include adapting to property. The challenge is to and geographic conditions as wind
plans to produce an even larger specific site conditions, identify the areas where expands away from the ‘ideal’ sites
offshore wind turbine, with a standardising components and meaningful collaboration can where it first prospered.
capacity rating of 22 MW and a rotor streamlining supply chains. Not generate standards for
diameter of more than 310 metres. to mention, the additional components that benefit the sector As other industries including the
investment needed in the supply as a whole without restricting the automotive sector have
The “rapid innovation curse” chain to deliver larger turbines commercial opportunities demonstrated, modularisation can
Exciting as it may sound, the rapid may detract from the cost available to any individual produce a variety of product
upscaling of wind turbines is not a efficiencies achieved through company or raising costs to an configurations with few component
straightforward, efficient pathway larger turbines. unreasonable degree. changes per variant, creating

56 GWEC | GLOBAL WIND REPORT 2024 GWEC.NET 56

 Chapter 2: Production capacity and supply chains

Industry spotlight: Innovation in the fabrication of offshore wind tower monopiles

Provided by: Bryan O’Neil, industrializations of energy monopiles is also increasing to expanding global energy
Director, Global Offshore and supply chain and technology ever over 12m (40 ft) diameter with up transition, including offshore
Power Generation, Lincoln Electric needed since the 1900s must to 150mm (6”) wall thickness wind. Fabricators across multiple
Company; Ken Mui, Specialist happen. weighing in excess of 2500 industries using traditional
SAW Automation, Lincoln Electric metric tons. submerged arc welding
Company This holds true across all fixed techniques can upgrade their
foundations but especially in To put this into perspective, a 9m current operations and
Achieving ambitious offshore monopile capacity, presently (30 ft) diameter section can have potentially more than double the
wind targets requires rapid spinning up new capacity in a circumferential weld weight of deposited weld metal using
industrialisation and scale 2023/2024 to reach new extremes over 600kg (1300 lbs.) of weld newer technology like Lincoln
When we reflect on 2023 and the never seen before. Larger metal for a single joint. Total weld Electric’s Long Stick Out (LSO)
current year 2024, worldwide diameter, weight and length weight of a monopile can easily process with the relative
offshore wind fabrication capacity capacity will be the core to exceed 25,000 kg (55,000 lbs.) of simplicity of bolt on equipment.
has made significant investments supporting even taller towers and weld metal. Due to the vast Advanced waveform control
in the supply chain to scale up higher capacity turbines, quantity of weld metal that is makes electrode stick out
the manufacturing base – both in together achieving record- required, fabricators are looking exceeding 150 mm (6 in) with 4
capacity and scale. Across the breaking MW capacity. to advanced technologies to help mm (5/32 in) wire possible.
world, from China to APAC, reduce welding time and metal to Combined with consumables
Europe and the Americas, The submerged arc welding achieve greater efficiency in time capable of handling high
investment in wind has hit record process has been key to the and materials. amperage and voltages,
levels, particularly in new industry’s success, a proven fabricators can see up to 50% or
offshore wind factories for process for many decades that Typically, the SAW welding joint higher decrease in welding time
foundations. now has new options for even is 12° to 16° Narrow Gap groove, for the same material thickness.
higher productivity and quality. A designed to reduce the required
While much has been step change in welding weld metal for each joint. Future To achieve further industry
accomplished, the offshore wind technology is needed to achieve welding solutions can be acceleration, continued
industry’s key stakeholders and a scale-up of offshore wind in the developed >12° down to 8° collaboration on innovations like
critical supply chain providers future. bevel, further reducing the these in the welding segment
also agree more is needed. The required weld metal for each must continue between industry
collective global wind energy Advanced technologies to joint. supply chain, project owners,
segment has an immense accelerate monopile investors and local governments.
challenge and opportunity ahead construction New welding techniques for Innovation and collaboration will
to reach 2035 and 2050 targets. As offshore wind turbines exceed heavy plate and vessel welding provide the force and mass to
To achieve future installed 12 MW headed towards 20 MW, using submerged arc welding achieve true rapid acceleration of
capacity targets, the most rapid the required size of the are required to meet the rapidly wind energy.

GWEC | GLOBAL WIND REPORT 2024 GWEC.NET 57

 Chapter 2: Production capacity and supply chains

Industry Spotlight: Risk mitigation strategies for wind supply chain scaling
Provided by: Bureau Veritas Veritas works closely with Supply Chain Optimisation:
manufacturers such as LM Wind Standardised practices enable
Last year, Bureau Veritas Power to verify compliance with supply chain optimisation,
completed a survey of more than industry standards such as IEC reducing lead times, improving
800 energy industry leaders to 61400 series and ISO 9001. By efficiency, and enhancing
create the 2023 BV Energy certifying LM’s blades and their competitiveness. Collaboration
Transition Report. In this report manufacturing facilities and with supply chain stakeholders is
over 50% of respondents cite processes, we ensure that their needed to implement quality
“Supply Chain Quality Issues” as components meet rigorous management systems, conduct
their top supply chain concern quality benchmarks, fostering audits and provide training,
and say they lack the resources to reliability and trust in their driving continuous improvement
monitor components adequately products. and scalability. The
in their supply chain. implementation of digital solutions
Risk Management Through will continue to be a major driver
Compounding this issue, the Certification: Certification of wind supply chain optimisation.
global wind energy sector aims to programs for components,
quickly scale its supply chain to equipment, and projects play a Market Access and Compliance:
meet the tripling renewables goal. crucial role in risk management. Certification to recognised
The importance of standardisation Consider the certification of standards facilitates market
in enhancing quality assurance Offshore wind projects in the UK: access and regulatory
and certification in risk Certifying these projects against compliance, essential for scaling
management, now more than international standards and operations globally. Consider the
ever, cannot be overstated. These regulatory requirements, case of entering new markets
technical practices contribute to conducted thorough assessments such as in Southeast Asia.
economies of scale, pushing of structural integrity, safety Certifications that are widely
efficiency through industry protocols and environmental accepted in target markets are
standards and best practices: impact, is crucial. This process required, streamlining approval
helps to identify and mitigate risks processes and ensuring
Quality Assurance in Production: associated with overall project compliance with local regulations.
Standardisation of production performance, ensuring safe and This market access enables
processes and certification of sustainable operations throughout companies to expand their
manufacturing facilities ensure the wind farm’s lifecycle and operations internationally while
consistent quality across the maximising the bankability of the maintaining high standards of
supply chain. For instance, Bureau UK offshore wind industry. quality and compliance.

58 GWEC.NET
 Chapter 2: Production capacity and supply chains

economies of scale while low-emissions intensity and waste

providing highly desirable reduction in the supply chain.
customisation as a result.
That said, the challenge of
Within the automotive sector, a coordinating the efforts of such a
visible example of modularisation large number of companies
was provided in the late 1990s by operating across different
the ‘Smart’ car collaboration geographies under a raft of vastly
between Mercedes-Benz and divergent regulatory and policy
Swatch. While a typical car frameworks is hard to overestimate.
manufacturer would deal with
around 200-300 suppliers, Smart Initiatives such as the Global
uses 25 module suppliers, each Offshore Wind Alliance (GOWA)
providing components such as – founded by Denmark, the
Benefits and impact l Global Market dashboard systems, body International Renewable Energy
l Enhanced Quality and Competitiveness: Certification structure, braking control systems Agency (IRENA) and GWEC, and
Reliability: Standardisation and to international standards and seating modules. officially launched at COP27 in
certification processes lead to enhances market November 2022 – aim to drive the
enhanced product quality, competitiveness, opening doors One of the key benefits of this uptake of offshore wind by
reliability and performance, to new opportunities and modular approach has been to garnering political support and
crucial for scaling the wind partnerships in the global wind transfer value-creating activities helping to share knowledge
supply chain. energy market. from the OEM to upstream between a global community of
suppliers, enabling OEMs to focus practice, including in supply chains.
l Risk Mitigation: Certified Standardisation and certification on core competencies while at the GWEC will also be undertaking
products and projects reduce are essential components in same time increasing their ability work on a global ESG/sustainability
risks associated with ensuring risk management and to accommodate new product and traceability framework for the
operational failures, regulatory supply chain scalability in the variations in a shortened lifecycle wind supply chain.
non-compliance, and wind industry. If we are to meet environment and at lower cost.
reputational damage. our “double down, triple up” As wind energy continues to
goals, we need a supply chain Future-proofing the global expand to more countries, it is
l  fficiency and Cost Savings:
E that not just delivers the high wind supply chain essential that the Global South is
Standardised processes drive production required, but also As the wind industry initiates a able to access and benefit from
efficiency gains, reduce costs, maintains the high levels of massive scale-up of production to technology transfer and value
and improve overall supply quality needed to ensure meet the global tripling creation. Targeting those areas of
chain performance, supporting maximum supply chain renewables goal, these the supply chain that lend
sustainable growth objectives. efficiency. collaborative approaches can themselves to a more modular and
drive environmental sustainability, standardised approach can

GWEC | GLOBAL WIND REPORT 2024 59

 Chapter 2: Production capacity and supply chains

provide opportunities for Global areas of innovation, standardisation competitive advantages of tripling of annual installations by
South countries to stimulate local and ESG assurance. economies in sub-regions of the 2030, developments in AI and ML
production while avoiding world can be leveraged to can be game-changers in the
damaging bottlenecks and A multilateral approach to
l  diversify sourcing and production collective race to ramp up
counterproductive market industrialisation is needed within a regional supply chain. production across the entire value
restrictions. which can harmonise chain.
international standards for ESG, Focus efforts on the
l 

Recommendations to enhance as a reflection of the wind standardisation of existing AI technologies are already being
standardisation and scale up industry’s ambition to deploy turbine technology, instead of deployed across the wind power
production best-in-class projects in every aiming for ever-larger wind project lifecycle: from providing
The development of new region of the world and the turbines. The largest offshore the ability to analyse very large
manufacturing and production legitimate expectation of wind turbines with commercial
models in the global wind supply countries – across the Global readiness today are not yet Defining artificial
chain is both necessary and North and South – to achieve deployed at sea. There is still intelligence and machine
desirable to achieve the ambitious wind targets in harmony with work to be done to prepare the learning
target of tripling the world’s social cohesion and economic supply chain for this milestone –
installed renewable energy prosperity. seeking even larger products at The term “artificial intelligence”
generation capacity to at least this critical moment of needing to was coined in the 1950s
11,000 GW by 2030. The transfer of knowledge and
l  scale wind installations globally referring to how machines can
technology from the North to would greatly hinder the supply simulate human intelligence.
GWEC makes the following the South must progress beyond chain’s ability to standardise and “Machine learning” comes
recommendations for supply sporadic and uncoordinated deliver at the volume needed to under the umbrella of AI and
chain standardisation and actions. Instead, it requires meet climate and energy goals. refers to the ability of software
production: wide-ranging agreements on applications to increase in
rules of the road and fair Balancing automation and accuracy without being re-
Cooperation must move from a
l  partnerships that pave the way economic benefits programmed to do so, thanks to
high-level concept to the for a just transition. Beyond the hype surrounding the use of algorithms based on
practicalities of technical artificial intelligence (AI) and large amounts of data. The
partnerships and taskforces. These Within the context of a more
l  machine learning (ML) in concept of “deep learning,” a
collaborations should bring standardised supply chain, a mainstream media, there is little subset of ML, revolves around
together international players in detailed mapping of the global doubt that these technologies are the use of AI to mimic how the
the wind supply chain with the supply chain is needed to already revolutionising many human brain is structured,
specific goal of implementing understand where countries and economic sectors around the therefore replicating this type of
effective solutions to real-world regions can localise content and world – wind energy included. learning in large virtual neural
challenges. There is a need for add value. This mapping should networks across which data is
more globally diverse clusters and also drill down to the regional In a context where the global wind shared.
workstreams that cooperate on level, to determine how strategic power industry needs to deliver a

60 GWEC.NET
 Part 2: Production capacity and supply chains

amounts of data for more effective $25 billion over 10 years for the improvement in efficiency sensors, smart metres and other
site selection – and then whole industry. compared with traditional factories. devices to offer new services to
generating virtual models during consumers and retail electricity
project design phases – to In the offshore wind sector, The untapped potential of AI suppliers.
enabling better analysis of Autonomous Underwater Vehicles Forecasting models supported by
installation logistics in order to (AUVs) can be used for AI and ML tools empower operators Work by the National Renewable
reduce costs. maintenance, repair of wind to balance supply and demand on Energy Laboratory of the US
turbines and plan their the electricity grid, which results in Department of Energy
Deploying AI and ML to improve decommissioning. meaningful reductions in LCOE. AI demonstrates that AI algorithms
project outcomes algorithms can predict energy can inform wind turbine design,
Activities such as inspecting wind Meanwhile, the use of robots and demand based on historical data, using more precise predictions of
turbine blades can be both large-scale automation in factories weather patterns and other factors. wind patterns that help engineers
expensive and dangerous work. is well underway. Sany’s 5G Smart This is widely used for demand- adjust the speed and angle of
The Increased Blade Inspection Factory claims to have successfully side management: For example, blades.
Safety (IBIS) project, which was used it to achieve a 28% Indian company Infosys applies ML
launched last year by Dutch improvement in quality and 40% to the data generated by advanced AI holds as yet untapped potential to
research firm TNO, is an example of
applying AI to a routine O&M task. Potential project development flow with several AI applications

Dataset preparation Pre-processing Processing Evaluation Output

The project aims to fly two
autonomous drones in tandem and
Wind, solar Handling missing values Multi-criteria
apply X-ray technology to scan and decision-making modeling Feedback
Output 1: optimised
Removing outliers scenarios including
every inch of a blade. AI will be transmission Data balancing with ML, ranking, validation loops
regional energy zoning
inventory Normalisation sensitivity analysis
used to interpret and enhance the
radiographic images from the Energy
scan, feeding the data into a ‘digital scenarios Weighting criteria
twin’ model – a digital copy of an
existing turbine or wind farm – to Structured
financial data
predict maintenance needs.
GIS/remote sensing LLM fine tuning
weighting-criteria data 1. Input demonstration LLM: scenario
In April 2022, GE Vernova 2. Collect comparison data development, proposal
Feedback Output 2: devdelopment
announced the development of an and train reward model development, financial
loops proposals
3. Optimise solutions prospectus, cost benefit
AI-based tool to analyse installation Unstructured data: against the reward model analysis
logistics, promising a 10% infrastructure proposals, using reinforcement
financial data,
reduction in expenses for wind regulatory regimes
turbine installation – a global cost
savings that could reach a potential Source: Exponential Roadmap Initiative, A.I. for Clean Energy: Accelerating Project Pipeline Development Globally, 2023.

GWEC | GLOBAL WIND REPORT 2024 61

 Chapter 2: Production capacity and supply chains

streamline regulatory processes A risk impact matrix of AI integration in energy systems

across the world. It has been
Likelihood
suggested that, by utilising a Impact
1 2 3
platform that harnesses generative
LOW LOW MEDIUM
AI and machine-learning, engineers,
1 Low risk failures in AI control systems Out of control appliances and internediate Natural disasters, market dominance
architects and technology
storage (such as EV batteries)
companies could rapidly establish a
LOW MEDIUM HIGH
global pipeline of hundreds of
2 Lack of communication with and feedback Biases & fairness, governance issues, robustness, Unintended systemic consequences,
thousands of clean energy projects from stakeholders complexity, price manipulations precision quality, decline of human
aligned with the 1.5°C target.45 autonomy
MEDIUM HIGH HIGH HIGH
Of course, this would not replace 3 Practical use case experience availability Privacy, lack of transparency Cyber attacks, data quality, scarcity of
skilled staff
many aspects of the wind project
Source: Navarra, Diego. Integrating artificial intelligence and sustainable technologies in strategic renewable energy and Power-to-X projects: A review of global best practices, risks
lifecycle, including effective and and future prospects. Society and Economy, 2023.
meaningful engagement with host
communities and impacted groups on the workforce and the energy internal IT systems also disrupted. with other actors in the sector. What
for wind farms, as well as many use of these technologies. is particularly concerning is the
labour-intensive areas such as As with AI use in other fields, the absence of specific regulations that
manufacturing, installation and Cybersecurity is an important area unconscious bias of the are agreed by all stakeholders
turbine operation. of concern in the energy sector. An technology developers, or its across borders and regions,
MIT study found that the energy users, can lead to inequitable or although this reflects the
Dealing with the downsides sector is increasingly vulnerable to even dangerous outcomes. There international fragmentation around
While there are opportunities for AI cybersecurity threats, with each is also a risk that AI and ML may digital sovereignty and governance.
to optimise the wind value chain, attack costing an average of $6.4 lead to forms of bias against
reduce costs and support greater million in damages. certain technologies. This is an Efforts are underway to enhance
volumes of clean electricity area where policymakers can play cooperation and partnerships to
generation, there are also concerns Cyber threats have become both a significant role by promoting address potential vulnerabilities to
about its potential to disrupt the more frequent and more transparency requirements for AI-powered attacks. In August
wind sector more broadly. There sophisticated, with a shift away algorithms. For their part, 2020, for example, the New York
are attendant risks that need from small and financially driven companies could allow for Power Authority (NYPA) partnered
addressing, including cybersecurity, attacks to skilled operations that reviews or audits of model results with Siemens Energy to form a
AI bias and error, the impact of AI appear to be state-sponsored, by independent experts. centralised security effort involving
on communication about the raising national security 53 utilities.
energy transition, as well as impacts implications. Germany has seen There are also issues around data
notable attacks on its wind power privacy and data residency, and the While discussing these solutions, it is
45. https://www.context.news/net-zero/opinion/
ai-and-a-start-up-mindset-can-fast-track-clean-energy-
infrastructure, with turbines losing understandable reluctance of also important to be mindful of the
projects connection with satellites and companies to share sensitive data risk of ‘securitising’ or ‘militarising’

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 Part 2: Production capacity and supply chains

wind farms due to threats that are not repair can help improve process adequate measures are put in
unique to the wind power sector. and cost efficiencies – and place to step up to the challenge.
Efforts to legislate broadly for the ultimately product quality – while GWEC makes the following
infrastructure sector are welcome, mitigating human exposure to recommendations for AI in the
but it would be sensible to remain hazardous working conditions. But global wind supply chain:
cautious about wind sector-specific automation is accompanied by
legislation, which may result in negative effects in job creation and Industry players need to
l 

heightened national security scrutiny, potential labour dislocation in key improve their understanding of
social anxiety and permitting/siting parts of the supply chain. the opportunities and risks
challenges for projects. presented by AI in the wind
As the wind industry increasingly sector. This includes avoiding
Once again, collaboration rises to embraces AI and ML, the spread of premature investment and
the fore as an essential driving force concentration of jobs across the adopting a strategic approach to
for the industry, with the potential to wind value chain, where identifying which problems can
not only elevate the quality and manufacturing is currently the most be addressed with AI and the de-risking of renewable
quantity of technological labour-intensive segment, will likely considering the potential energy, particularly in emerging
improvements, but also the ability to shift. O&M is another segment which outcomes of its applications. markets in Asia, Africa and South
bring the best ideas forward, avoid will see some job displacement from America, by funding initiatives
costly duplication and allay fears of the use of automation and robots. But Alongside overarching
l  aiming to harness generative AI to
unfair competition. these applications will also cybersecurity regulations and generate off-the-shelf, practical
necessitate new jobs in design, good-practice frameworks, such roadmaps for national-level efforts
Putting people first in a new development, engineering, testing, as those at the national level and towards net zero targets, helping to
technological era legal/compliance as well as risk covering broad large-scale streamline regulatory processes.
Beyond the technological and assessment. Companies are already infrastructure sectors, rather than
security dimension, it is important boosting the number of the wind sector specifically, The wind industry and
l 

to consider the social implications cybersecurity in-house experts, for cooperation at the national and policymakers should work
of more widespread use of AI and example, and are likely to continue international level should together to put in place
ML. Among the most significant to do so. promote useful knowledge- adequate workforce transition
benefits the wind industry has sharing and strategies to plans – including STEM
provided to countries worldwide prevent cyberattacks. Greater educational and skills
are the undeniable socioeconomic cooperation is needed to development both for young
gains it has delivered, creating a Recommendations for AI and produce data that is clean, people and the existing
multitude of jobs across the entire automation in the supply chain standardised and well organised, workforce – for displaced
supply chain and beyond. The upsides of a shift to AI and ML so it can be more easily shared segments of the supply chain, as
can outweigh the drawbacks, and used. well as to rapidly identify areas of
Innovating and investing in provided the right mindset of risk AI deployment that will require
automated turbine assembly or management is adopted and Policymakers should promote
l  new skills and competencies.

GWEC | GLOBAL WIND REPORT 2024

 Chapter 3: Infrastructure, grids and system operation

CHAPTER 3: GENERATING THE GRID SYSTEM TO

MEET THE TRIPLING RENEWABLES GOAL

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 Chapter 3: Infrastructure, grids and system operation

Generating the grid system to meet the tripling renewables goal

Gaps in grid buildout transmission grids up to the scale excluding China has even slowed improved grid stability,
for 1.5°C required for the task of down by an average of 7% per increased energy security and
The ambitious plan to triple decarbonising economies. year in the past five years. enhanced flexibility in managing
renewable energy capacity by According to the IEA, transmission power demand and supply
2030 hinges on several elements lines doubled in length globally Grid modernisation and expansion fluctuations. They are particularly
moving forward into over the past 30 years, mostly will need to double over the well-suited to the integration of
implementation, from creating thanks to the expansion of course of this decade, from $330 renewable energy sources like
favourable financing environments distribution networks. billion in investment in 2023, for solar and wind, allowing regions
and streamlined permitting countries to meet their announced with excess clean energy to
schemes to building a solid global Worldwide, grids have had to adapt climate commitments. Given the transfer it to areas with higher
supply chain and skilled workforce. to growing demand for electricity, scale of investment required, demand or less generation
alongside ballooning requirements meeting the challenge will require capacity, as well as minimising the
Equally important is the availability for renewable energy integration, new compacts and arrangements impact of variations of regional
of the electricity transmission grid the implementation of digital and for channelling public/private real-time production in the
to transport the energy generated smart grid technologies, grid financing into grid systems, as interconnected power system.
by wind farms and other renewable modernisation, enhanced grid discussed in Chapter 1.
energy sources to the relevant resilience and security, and the Offshore wind farms, which rely on
demand centres and consumers. integration of energy storage. Building more and the transport of huge volumes of
Modernised grids will be connecting together electricity across significant
Transmission grids include: the essential not only to respond to While nearly all countries will need distances, are increasingly looking
distribution grids that supply the demands of increased to build additional transmission to regional interconnection using
electricity through low- and electrification, but also to improve lines to cope with the increased meshed high-voltage direct
medium-voltage lines to the resilience to extreme weather electrification of their economies, current (HVDC) offshore grids.
majority of consumers; the high- events caused by global warming. an even more significant step These grids link the generating
voltage grid that connects utility- change is required to achieve facilities to various countries. In the
size generation, distribution grids Ageing electrical assets present modern, interconnected grids. For European energy system, meshed
and large industrial consumers; and significant safety and reliability example, the EU estimates that offshore grids are expected to play
the extra-high-voltage and ultra- risks. But for many EMDEs facing 40% of its grid infrastructure is a critical role in the next two
high-voltage lines that transport fast-growing power demand, the more than 40 years old.46 decades.
electricity over longer distances. combination of insufficient
financing and tight supply chains The advantages of Smart grids – electricity networks
Filling the gaps threatens the progress of grid interconnected grids include that can dynamically integrate the
It is difficult to overestimate the upgrades and modernisation. Grid 46. The EU further assesses EUR 584 billion ($632 billion) will be required to invest in a more digitalised, decentralised
scale of the challenge to bring investment in the Global South and flexible grid system by 2030. See: https://ec.europa.eu/commission/presscorner/detail/en/ip_23_6044.

GWEC | GLOBAL WIND REPORT 2024 65

 actions of all the users connected for renewable energy development. companies with limited
to them – are an essential competition, are often integrated
component of a modern In Indonesia, the Ministry of with incumbent fossil fuel
transmission network. By Energy and Mineral Resources, generators, leading to an inherent
incorporating digital technology together with the National conflict of interest in promoting
into their design, they allow a Electricity Company PT renewable generation integration.
two-way exchange of energy and Perusahaan Listrik Negara (PLN), Ember highlights Poland as a case
information between energy have shared plans to build a smart in point, noting a staggering 253%
generators and energy users. grid to support greater use of increase in grid connection
renewable energy. declines amounting to 51 GW of
In a smart grid, automated capacity in 2022, as compared to
information and control systems Overcoming barriers to buildout 2021.47
respond to fluctuations in energy Overcoming public perceptions
production and demand. This about huge infrastructure projects As renewables are the newer
provides real-time information on like electricity networks is of actors on the stage, a false narrative
energy consumption and on the crucial importance to laying the can sometimes prevail suggesting
status of each node, segment and ground for the rapid buildout of that it is the responsibility of the
element of the grid, ultimately renewable energy generation, and renewable energy industry – rather
increasing the efficiency and wind power capacity in particular. than the whole of society – to invest
effectiveness of the transmission in grid development. But these
lines. As the experience of developing costs would ultimately be modelled
wind projects confirms, good into project CAPEX and reflected in
For instance, Thailand plans to roll projects and fair procedures are offtake agreements and agreed
out a national smart grid by 2036 key ingredients in gaining public power prices; in the worst-case
that includes energy management support. It is only by providing scenario, they could jeopardise the
systems, demand response, energy citizens with a clear prospect of competitiveness or viability of the
storage and improved weather what to expect on a practical entire renewables project. And if
forecasting. The government level, while highlighting the grid investments are wholly
announced in 2021 a demand overarching benefits, that dependent on grid charges in
response demonstration project, electricity grid deployment can consumer bills, it will be difficult for
driven by the country’s Electricity be successfully rolled out at operators to raise the necessary
Generating Authority (EGAT), to value-for-money total cost. funds at the urgency required.
optimise the supply and demand
balance on the Thai power grid. A lack of incentives for A better approach would be
Multiple renewable energy forecast implementing grid investments is a targeted public and private
centres are being planned at EGAT major stumbling block. Grid
substations in areas with potential operators, typically state-owned 47. Ember, Electricity grids: Key policy actions, 2023.

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 Chapter 3: Infrastructure, grids and system operation

Announced grid investment timelines by country

South Africa USD 4 billion

California USD 9 billion

Austalia USD 9 billion

Brazil USD 32 billion

India USD 29 billion

China USD 205 billion

2020 2025 2030 2035 2040 2045 2050

Source: IEA, Electricity Grids and Secure Energy Transitions, 2023.

funding for grid spend, with finance and high cost of capital are transmission grid. As a result, state-
clear incentives for prompt key barriers that call for owned Eletrobras has seen its
delivery, and mandates for grid international collaboration. For ownership stake in the
operators to include a example, a high-voltage transmission grid decrease to
decarbonised power scenario in transmission line to export around 40% by 2023, owing to the
planning. Authorities can also electricity from the Inga Dam III in growing participation of national
explore restructuring remuneration the Democratic Republic of the and international investors through
to grid companies, so they are Congo to South Africa has yet to competitive bidding processes.
incentivised to innovate, meet start construction a decade after Brazil plans to increase its
performance standards that align the two countries agreed to build transmission line network from
with market conditions and invest it, due to the withdrawal of initial nearly 160,000 km to 200,000 km acceptance of new projects and
in modern technology and investors and a lack of support by 2032, with an investment of adequate regulatory frameworks.
efficiency solutions, rather than from local communities. approximately $18 billion. Policymakers can make a
merely recovering their costs for difference by improving the rules
providing power from any source. In Brazil, concessions have been For jurisdictions with easier access around planning and by providing
used since 2004 as a mechanism to funding, such as Europe, the US anticipatory investments and
In the case of EMDEs, particularly to engage private entities in the and Japan, the most significant streamlined administrative
sub-Saharan Africa, access to expansion and operation of the barriers often relate to public processes.

GWEC | GLOBAL WIND REPORT 2024 67

 Chapter 3: Infrastructure, grids and system operation

Industry Spotlight: Balancing the grid with renewables buildout in California

Provided by: American Clean Power (ACP)

If California were a country, it direct the California Energy (when solar production rapidly Innovative energy system
would rank 5th globally in terms of Commission (CEC), California falls off, but demand does not). planning
GDP, with a grid that generates Public Utilities Commission California’s latest preferred system
approximately 287 TWh of (CPUC) and California In response, the Government of plan, adopted in February 2024,
electricity per year – roughly Independent System Operator California and its energy utilises a long-term planning
equivalent to the total electricity (CAISO) to analyse the root authorities are modernising the model that captures the reliability
production of Italy in 2022. causes.1 state’s grid and energy system. needs of a grid in transition.2 The
Resource planning has focused model core case largely depends
Over recent years, California has First, climate change-induced on grid reliability and the move on solar and four-hour storage
been at the forefront of climate heatwaves resulted in towards a carbon neutral grid by capacity by 2030. By 2045, in order
change and the energy transition, unexpected spikes in electricity 2045. Progress has been steady, to create a reliable decarbonised
seeing record-breaking demand that exceeded supply. with wind and solar capacity grid year-round, the CPUC has
heatwaves from 2020-2022 which Second, planning for the having more than tripled over the found significant buildout of solar,
brought wildfires, drought and transition did not adequately last decade to more than 23 GW out-of-state wind from New Mexico
electricity outages. These outages account for meeting energy by 2023, and innovative measures and Wyoming, offshore wind and
prompted Governor Newsom to demand in early evening hours introduced. eight-hour batteries will be
needed for a total of 114 GW of
clean energy capacity.
CPUC 25 MMT Core Case – LSE Plans and model selected capacity
120
Post-2035: CAISO has already begun detailed
Shed DR
significant build
required for studies on different offshore wind
100 Long Duration Storage
long-term GHG
reduction Pumped Hydro Storage
portfolios, including a base case
2030-2035: Li-ion Battery (8-hr)
with 4.7 GW of offshore wind,
80
RESOLVE builds
incremental wind above LSE Lion Battery (4-hr) including 1.6 GW from the North
plans for GHG reduction Solar Coast. CAISO will also use its
60
Offshore Wind analysis of higher quantities of
2024-2026:
small amount
Out-of-State Wind offshore wind to inform its
40
of additional
solar built
In-State Wind proposals and potentially enable
Capacity above
black line is
Biomass future expansion.
incremental to 20 Geothermal
the LSE plans
and is selected by Total LSE Plans
RESOLVE 0
At the same time, CAISO is
2024 2025 2026 2028 2030 2032 2033 2034 2035 2039 2040 2045 considering significant changes
Source: California Public Utilities Commission, Rulemaking 20-05-003, Decision adopting 2023 preferred system plan and related matters, and addressing two petitions for 1. https://www.caiso.com/Documents/Final-Root-Cause-
modification, 2024. Analysis-Mid-August-2020-Extreme-Heat-Wave.pdf

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 Chapter 3: Infrastructure, grids and system operation

required, not just on a project

to its process for studying for participants to buy and sell basis, but to achieve wider wind
interconnection requests and power close to the time electricity Recommendations for closing the energy goals.
awarding deliverability. It has is consumed, giving system gap on grids
proposed a “zonal” approach to operators real-time visibility Addressing the present-day gaps Ensure alignment of planning,
l 

prioritising requests for study across neighbouring grids, in grid investment, cross-border schedules, and assessments of
and indicated a desire to use resulting in improved balancing of and regional integration, storage grid investment requirements
existing tariff authorities to supply and demand at a lower solutions and system flexibility will with long-term objectives for
reserve deliverability on new cost. be critical for developing the scaling up renewable energy
transmission designed to serve a necessary infrastructure to achieve deployment and decarbonising
specific resource (e.g. north Since then, the EIM has grown to the goal of tripling renewables. end-use sectors, such as
coast offshore wind). cover most utilities and Otherwise, investors in renewable transportation and heavy industry.
balancing authorities across the energy will continue to face
In 2023, the California legislature Western Interconnect. The uncertainty around availability of Private investment in grid
l 

passed AB 1373 which allows the market has delivered $5.5 grid and transmission buildout must be promoted
CPUC to direct a state agency to billion in savings, with $1.6 infrastructure, the speed of grid through adequate and effective
procure diverse, long-lead-time billion in 2023 alone, in addition connection agreements and the investment mechanisms,
resources like offshore wind upon to reducing renewable certainty of demand. including adopting blended
a determination of need. This curtailment and gas generation.3 approaches that target donor
procurement option could GWEC makes the following finance for guarantees, credit
provide greater market certainty California provides an example recommendations to scale enhancements and technical
for offshore wind developers and of how to develop and operate a financing on grids for the future: assistance on planning.
strengthen linkages between grid in a decarbonised energy
procurement and transmission system. Despite some short- Grids must become a national
l  Effective campaigns are
l 

planning and development. term challenges, it remains clear and cross-cutting policy needed to mobilise public
that innovative up-front priority for countries to meet support for grid expansion,
Regional collaboration investments are paying off with energy security, climate and alongside adequate siting
Crucial to achieving its long-term net savings and affordable, economic growth goals. This will approaches and the rollout of all
decarbonisation goals, reliable clean power for require countries to set targets possible measures, to gain the
California’s grid is entering a new generations to come. for grid investment and system support of citizens for
phase of regional collaboration. flexibility, as well as earmark infrastructure and system
Efforts to foster coordination in the funding mechanisms to meet transformation.
American West began in 2014 targets. Importantly, there needs
with CAISO and utility PacifiCorp to be a regulatory approach of The next generation of
launching the Western Energy 2. https://docs.cpuc.ca.gov/PublishedDocs/Published/ enabling anticipatory investment integrated grids
G000/M525/K918/525918033.PDF
Imbalance Market (EIM), a 3. https://www.westerneim.com/Pages/About/
so that grids are available ahead Enhancing interconnection in grids
real-time marketplace that allows QuarterlyBenefits.aspx of when connections are not only drives the uptake of

GWEC | GLOBAL WIND REPORT 2024 69

 Chapter 3: Infrastructure, grids and system operation

Case Study: Connecting large-scale wind plants with demand centres using UHV transmission
In China, many areas with good east areas of China. This of 1,000 kV AC as well as ±800 kV transmission line being 3,300 km,
energy resources are far away aggravates the challenging and ±1,100 kV DC power systems. and total transmission capacity is
from load centres. For example, situation for coal supply, transport Compared with traditional high- 200 GW. Currently China is the
most of the hydropower resources and environment protection. voltage transmission (500 kV), the only country deploying UHV
are in the southwest, coal is in the capacity of UHV transmission lines technology on a large scale. By
northwest and wind and solar When energy shortages disrupted can be increased by more than 2030, the inter-provincial and
resources are in the west and manufacturing companies in the two times, reduce losses by about inter-regional UHV transmission
north; however, the major load early 2000s, the State Grid 60% and increase transmission capacity will be increased to 350
centres are concentrated in the Corporation of China, which owns capacity per unit of line corridor GW.
eastern and central regions. over 80% of China’s grid, decided width by 30%.
to invest heavily in ultra-high The result is an emerging
Additionally, the 500 kV electricity voltage (UHV) grid technology to China completed the first nationwide “super grid” that
grid is limited in terms of long- transport energy thousands of commercial UHV project in 2009 interconnects China’s six regional
distance and large-capacity kilometres from the resource and now more than 30 UHV lines grids and rectifies the geographic
electricity transmission, resulting areas to the main load centres. have been installed. The total mismatch between where China; s
in the expansion of coal-fired length of these lines is over clean power is produced and
power projects in the middle and UHV power grids are composed 50,000 km, with the longest UHV where it is consumed.

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 Chapter 3: Infrastructure, grids and system operation

variable renewable energy (VRE) fuel generation with renewables. enhance energy security and managing the power system
sources such as wind energy, but increase collaboration on wider across multiple jurisdictions.
also increases flexibility in The ability to conduct cross- energy issues through mutually
managing electricity supply and border power trading can also beneficial economic According to the IEA, there are five
demand. Additionally, it facilitates encourage FDI in addition to arrangements. Regional degrees of cross-border
access to renewable power in creating opportunities for collaboration can be strengthened integration, with greater integration
countries which face an exporting countries to benefit from through the formation of ‘grid offering potential benefits
electrification gap or a lack of income related to power sales. communities’, which create shared alongside increased organisational
renewable energy technical High-voltage interconnections goals and a common regulatory complexity:
resource. between the Economic Community order across the region.
of West African States (ECOWAS) Power pools foster cooperation
Interconnected grids can also members, including an Degrees and models of and resource-sharing among
reduce costs by flattening the load interconnector linking the national cross-border integration neighbouring countries within
curve, and eliminating some of the power systems of The Gambia, There are several models of regional energy markets. By
expenses associated with Guinea, Guinea-Bissau and cross-border grid integration, with coordinating electricity generation
enhancements to the transmission Senegal and another connecting suitability dependent on the and distribution, power pools
system. For example, since the Cote d’Ivoire, Guinea, Liberia and desired degree of integration, optimise energy utilisation and
inception of the ASEAN Power Sierra Leone, have enhanced dictating the level of cooperation enhance grid stability. For
Grid, multiple projects have been energy cooperation between this among participating jurisdictions. example, SAPP member states
built including the Trans-Borneo group of countries. ‘Bilateral integration’ involves trade collaborate on electricity
Power Grid Sarawak-West between two jurisdictions, generation and trading, promoting
Kalimantan Interconnection Project Across sovereign borders, grid sometimes unidirectional. regional energy security and
in 2016 which connects parts of integration fosters a more ‘Multilateral integration’ involves facilitating access to renewable
East Malaysia to Indonesian grids. resilient and sustainable global three or more countries engaging energy sources.
This has since resulted in a energy landscape, with the in mutual trade. In ‘unified models
reduction of electricity costs and potential to mitigate geopolitical of integration’, regional institutions Interconnectors provide physical
replaced up to 130 MW of fossil tensions through interdependence, take on responsibility for links enabling electricity
transmission between distinct power
Degrees of cross-border grid integration systems across countries. These
infrastructure projects facilitate
Form of integration Example cross-border energy trading and
1. Bilateral, unidirectional power trade Singapore imports from Lao PDR bolster grid resilience. For example,
2. Bilateral, bidirectional power trade California, USA with Baja California, Mexico
connecting seven Central American
3. Multilateral, multidirectional trade among differentiated markets Southern African Power Pool (SAPP), Central American Electrical
Interconnection System (SIEPAC)
countries, SIEPAC enables efficient
4. Multilateral, multidirectional trade among harmonised markets EU Internal Energy Market, Energy Islands (Denmark) electricity exchange and supports
5. Unified market structure, differentiated operations Nord Pool the integration of renewable energy
Source: IEA, Integrating Power Systems Across Borders, 2019. across the region.

GWEC | GLOBAL WIND REPORT 2024 71

 Chapter 3: Infrastructure, grids and system operation

Energy islands are self-sufficient Achieving an equitable distribution

and scalable energy hubs of grid costs and benefits across
integrating various renewable markets necessitates transparent
energy sources to meet local regulatory frameworks and fair
demand and contribute to regional pricing mechanisms. Regulatory
energy security. Denmark’s energy alignment is crucial to ensure
island project in the North Sea, seamless cross-border energy
expected online around the turn of trading and promote investor
the decade, for instance, will confidence.
harness offshore wind resources to
create a renewable energy GWEC makes the following
“powerhouse” to supply clean recommendations to ramp up
electricity to neighbouring cross-border cooperation on grids:
countries.
Enhance multinational
l 

discussions and taskforces

aimed at fostering cross-border
Recommendations to integrate collaboration on grid systems,
grids across borders incorporating essential
Cross-border grid integration will stakeholders such as regulators
need to be in the toolbox for and power system operators, and
implementing the tripling if applicable, regional regulators.
renewables goal. But the broader
economic challenge of integration Conduct advanced research on
l 

lies in the allocation of benefits interconnection strategies with

across participants. Countries a focus on enhancing power-
that are rich in VRE may benefit trading capabilities in regions of
more in electricity sales, giving the Global South, leveraging the
them leverage to offset potential for establishing
infrastructure investments and multilateral or unified power
operational costs. At the same pools due to proximity and
time, countries with limited terrain suitability.
technical resource for VRE may
be able to meet decarbonisation Mobilise resources for long-
l 

goals and attract green supply term regional grid investments,

chain investment via grid directing donor funding towards
integration. enhancing capacity and

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 Chapter 3: Infrastructure, grids and system operation

infrastructure for integrating

renewables into cross-border
grid systems, and streamlining
the permitting processes for new
grid infrastructure projects and
upgrades to existing transmission
and distribution systems.

Develop modernised and

l 

decentralised grid systems,

incorporating digitalisation and
smart applications for demand-
side management, and fostering
interconnections with
neighbouring grid networks to
enhance resilience.

Embedding storage and

flexibility in future power
systems
Meeting the goal of tripling
renewable energy capacity
demands innovative approaches
to ensuring grid stability and
flexibility in managing fluctuating
supply and demand. The
imperative for future grids,
drawing from larger shares of
VRE, is to embed storage and
flexibility capabilities to propel
cross-sector decarbonisation
(such as transport and industry)
via renewable electricity.
Otherwise, electrification of
emissions-intensive sectors will
heavily draw on fossil fuel
generation, resulting in an

GWEC | GLOBAL WIND REPORT 2024 73

 Chapter 3: Infrastructure, grids and system operation

Six phases of system integration of VRE

Phase Description Challenge to Relevance of storage Relevance of DSR Policy action

overcome initiative in mitigating initiative in mitigating needed
the challenges the challenges
Phase 1 VRE has no noticeable - - -
impact on system
operation (typically Improve VRE
<10%) forecasting, economic
Phase 2 VRE has a minor to Minor changes to - - dispatch
moderate impact on operating patterns
system operation
(typically <10%)
Phase 3 VRE generation Greater variability of net Use of existing storage, Advanced large Effective short-term
determines the operation load e.g. pumped-hydro industrial wholesale markets,
pattern of the system trade with neighbours
(typically in between
10-20%)
Phase 4 The system experiences Power supply robustness Battery storage Commercial and Reform of system
periods where VRE under high VRE residential services markets
makes up almost all generation
generation (typically
>20%)
Phase 5 Growing amounts of VRE Longer periods of energy Medium-term storage Tap new loads via Re-evaluate electricity
surplus (days to weeks) surplus or deficit electrification taxation

Phase 6 Monthly or seasonal Need for seasonal Long-term storage - -

surplus or deficit of VRE storage
supply

Source: IEA, System integration of renewables, 2018; SHURA Energy Transition Center, Costs and benefits of options to increase system flexibility, 2019.

uncoordinated and disjointed lack the sustainability needed for a countries are in a phase of <10%
transition across sectors. low-carbon future. Advancing VRE penetration (e.g. Indonesia,
towards a more sustainable energy Korea, South Africa), where VRE
Storage technologies and landscape requires progression has either no or a minor impact on
demand-side response across different verticals. system operation; for this phase,
Currently, sources of flexibility storage and demand-side
vary in their capabilities and According to the IEA, there are six response (DSR) solutions are not
maturity. While conventional phases of grid integration of VRE yet required. It is sufficient to
sources like fossil fuel power plants as renewable penetration in a retrofit plants, reinforce grids and
provide dispatchable power, they power system increases. Most build interconnectors for flexibility,

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 Chapter 3: Infrastructure, grids and system operation

as well as make marginal changes significantly, now encompassing VRE share of power systems by country, 2022
to improve VRE forecasting and various types such as
economic dispatch. electrochemical (e.g., batteries), 70%
thermal (utilising materials like
In the next stage of 10-20% VRE rocks, bricks, or molten salts),
penetration (e.g. Morocco, mechanical (including compressed 60%
Vietnam, Brazil) or even >20% air, liquid air, or gravitational
penetration (e.g. Australia, Chile), potential), and chemical storage
50%
investments in storage and DSR (involving energy storage in
technologies are required to compounds like hydrogen or its
stabilise operation of the system. derivatives). These technologies 40%
This includes effective short-term are currently undergoing rapid
wholesale markets, power trading advancements and innovation.
with neighbours and reform of 30%
ancillary services markets. Long-duration energy storage
(LDES) provides a solution for
20%
Some countries are currently in the storing energy over extended
later phases of >30% VRE periods, ranging from hours to
penetration (e.g. Spain, Germany, seasons, especially during times 10%
Ireland, Denmark in particular). of surplus renewable generation
Policymakers must take action to relative to demand. This differs
prepare for these scenarios with from lithium battery storage or 0%

greater shares of renewable other shorter-duration energy

Au taly
ia
Ki ile
m
G pain

Ire y
De and

k
Th sia
nd
uth rea

Ca ica
M da

Ja o
n
a

Fr a
Un C e
d a
M ates
Vi cco

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Po e
nd

il
az

ar
iy

n
c
pa
ic

Ar Indi
n

ite hin

do
al
an

d Ch

ma
la

nti

la
na
ne

ex

rk
N

nm
So Ko

Br

I
str
Af

l
St

S
ai

ng
or
ge
do

er
et
energy as the world works towards storage typically benchmarked at

In

ite
the tripling renewables goal, as four hours.

Un
policy actions and system
operation requirements intensify. Stored energy can be released Source: IEA, 2022.
during periods of higher demand,
Examining long-duration effectively balancing the grid. For
energy storage solutions example, surplus energy from prolonged extreme weather grids in maintaining power supply.
Traditionally, pumped storage and windy autumn days can be events. Storage durations can extend to
hydropower reservoirs have been deployed during cloudy winter weeks or months, notably seen in
deployed to address supply- days. Storage technologies These technologies also serve pumped storage and reservoir
demand imbalances when VRE contribute to grid resilience by additional grid functions such as hydropower systems.
penetration is in the range of alleviating congestion, providing black start capabilities for
10-20%. However, the energy transmission services and restoring power in blackout One emerging LDES technology is
storage landscape has evolved ensuring reliability, especially amid situations and assisting micro- hydrogen storage, offering a

GWEC | GLOBAL WIND REPORT 2024 75

 Chapter 3: Infrastructure, grids and system operation

Categories of long-duration energy storage technologies flexibility option, DSR activation

costs remain high in some
regions and pose accessibility
challenges, especially in the
Thermal Mechanical Global South. Underinvestment
Store energy thermally Store gravitational potential
to release heat or kinetic energy and limitations in physical grid
infrastructure present significant
obstacles, necessitating
substantial investments in grid
modernisation and expansion to
enable real-time demand
LONG DURATION response. Moreover, digital
ENERGY STORAGE
Electrochemical Chemical technology gaps hinder DSR
Store electrical potential Store energy in chemical bonds adoption, limiting access to
energy in batteries of (e.g. H2, power-to-gas-to-power advanced metering infrastructure
diffrent chemistries
and smart grid technologies.

Source: LDES Council and McKinsey. Regardless of challenges,

governments still recognise the
unique capability to store energy incentivise consumption during enhancing overall system importance of DSR initiatives. For
for prolonged durations and in periods of high VRE generation. reliability. instance, in South Africa, the
large quantities. As green This concept allows industrial Energy Efficiency and Demand
hydrogen gradually replaces fossil consumers and households alike to As VRE penetration progresses, Side Management (EEDSM)
fuels in various applications such participate in system operation by tapping into new loads becomes Programme aims to facilitate DSR
as the production of chemicals and providing flexibility in response to imperative to relieve grid exchange. In India, under the
fertilisers, hydrogen storage could price signals. congestion when conventional National Mission for Enhanced
become increasingly vital for redispatch orders fall short. Energy Efficiency, agricultural and
industrial and energy security, akin By adjusting electricity However, these services municipal DSR programs have
to the role of natural gas storage in consumption during peak VRE necessitate communication and been introduced to facilitate
many regions today. generation periods, DSR can competencies on both the system transactions.
alleviate grid pressure, reducing operator and consumer sides.
Leveraging DSR to manage supply the need for costly backup Other DSR implementations can
and demand generation sources. Additionally, employ various strategies such as
DSR encompasses a set of DSR contributes to grid stability time-of-use pricing, response, Recommendations for scaling
strategies traditionally aimed at by providing ancillary services critical-peak pricing and rebates. modern and flexible grids
reducing peak demand, but they like frequency regulation and Policymakers should prepare to
are increasingly needed to voltage control, thereby Despite being a cost-effective utilise LDES, DSR and other

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 Chapter 3: Infrastructure, grids and system operation

flexibility solutions as countries compensation and system gap in access to renewable energy Regulators should collaborate
l 

transition to a net zero future with integration) or shortages – and hence competitiveness in the with the renewables sector to
high VRE penetration. Otherwise, (undermining decarbonisation new energy transition economy – enhance power market planning
disjointed efforts to build out goals and investment between the global North and and ensure price signals, clear
renewables while underinvesting attractiveness in the economy). South. targets, and procurement
in grid and flexibility incentivise investment in
infrastructure could lead to either In the international context, uneven GWEC makes the following longer-duration storage. Grid
green electricity surpluses investment in the system recommendations to scale up planning should prioritise
(raising tough questions on integration of VRE could widen the modern and flexible grids: modernisation and DSR

Green hydrogen: Beyond storage to green industrialisation

The versatility of green hydrogen grid balancing. for potential trade disruption and using hydrogen, emitting water
extends to a broad spectrum of disadvantages for fossil- vapor instead of carbon dioxide).1
applications, ranging from Industries worldwide are dependent Global South
industrial processes to increasingly focusing on greening countries. The African This innovative approach allows
transportation. However, the their supply chains to produce Development Bank has warned for a reduction of over 95% in
deployment of green hydrogen competitive green products. The that CBAM could cost African emissions. The project’s total
must be guided by rise of green industrialisation countries up to $25 billion cost, covering the construction of
considerations of efficiency, presents opportunities for annually based on the carbon wind turbines, hydrogen plants
cost-effectiveness and the regions such as Africa and Latin price as of late 2023. and their integration into the
availability of alternatives. America, endowed with abundant existing supply network, amounts
wind and renewable energy In Germany, the “Wind H2” to approximately EUR €50 million
Currently, green hydrogen proves resources, to establish new project is utilising green hydrogen with subsidies received from KfW
particularly valuable in export economies in the green generated from wind power to bank.
decarbonising processes such as energy transition. produce green steel. Seven
fertilisers, hydrogenation, turbines at the site of the Globally, similar initiatives are
hydrocracking, desulfurisation These opportunities are steelworks in Salzgitter power underway in countries such as
and methanol production, where particularly attractive given the electrolysers which produce Indonesia, Thailand, India, Japan,
viable alternatives are scarce. coming proliferation of carbon green hydrogen. The gas then China and Namibia, aiming to
Additionally, green hydrogen pricing mechanisms, such as the replaces coal in the traditional utilise wind energy to achieve
demonstrates some EU’s Carbon Border Adjustment blast furnace process through the similar industry sustainability
competitiveness in shipping, Mechanism (CBAM), which has implementation of direct reduction goals.
aviation, chemical feedstock, steel already caused consternation plants (these plants reduce iron
production, and long-duration among the EU’s trading partners ore to iron directly in its solid state 1. https://salcos.salzgitter-ag.com/en/windh2.html]

GWEC | GLOBAL WIND REPORT 2024 77

 Chapter 3: Infrastructure, grids and system operation

technology to close critical

technology gaps as
infrastructure expands.

Encourage investment and

l 

innovation in diverse storage

technologies to suit different
users, such as by establishing
research, development, and
innovation (RDI) grant programs,
encouraging public-private
partnerships, and setting
medium- and long-term capacity
targets.

Developing economies can

l 

work with international finance

institutions to explore
innovative financing models
– such as blended finance – to
mobilise investment in grid and
DSR solutions.

Enhance data availability within

l 

the wider electricity system to

enable innovation in DSR and
access to applications like smart
metres by consumers and third
parties.

Assess the cost-benefit of

l 

investment in DSR programmes,

accounting for energy and cost
savings that can mitigate
investment requirements for grid
infrastructure expansion.

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 Chapter 4: Communties and social acceptance

CHAPTER 4: FOSTERING PUBLIC SUPPORT FOR WIND

ENERGY TO MEET THE TRIPLING RENEWABLES GOAL

GWEC | GLOBAL WIND REPORT 2024 79

 Chapter 4: Communties and social acceptance

Fostering public support for wind energy to Environmentalist framing may

support wind power as a clean
energy source, but criticise project
meet the tripling renewables goal impacts or the footprint of the
supply chain.

In the pursuit of a sustainable speeding up permitting while presenting indigenous peoples Mitigating the adverse
future, social consensus and public mitigating the adverse impacts of may resist an onshore wind farm if impacts of projects
support for the energy transition projects; land rights issues in it encroaches on traditional lands, Onshore turbines are growing
are imperative. Achieving shared developed and developing sacred sites or areas of cultural larger (see Chapter 2) and
buy-in to the scale, impact and countries; the risks posed by significance. expanding to new sites, which
planning process for the expansion misinformation and makes them more prominent in
of renewable energy is essential to disinformation; and the need to One social psychology approach landscapes. For example, natural
mitigate conflict, anxiety and foster a just and equitable energy to anti-wind movements identifies landscapes and elements of natural
disenfranchisement stemming from transition through workforce, three common frames for beauty may be altered, and views
wider impacts such as job diversity and value chain opposition: NIMBY (Not In My may be disrupted.
dislocation and infrastructure stewardship. Backyard, driven by love, feelings
buildout. of security, fear of disruption, and In the ocean, offshore wind can
Accelerating permitting anger); populist (characterised by impact marine ecosystems and the
As we navigate the drive towards while mitigating project experiences of helplessness, fear, marine environment, such as in
tripling renewables, maintaining impacts grief and anger); and ecosystem changes through
social harmony hinges on Despite, or perhaps because of, environmentalist (rooted in alteration of sediment movement.
inclusive decision-making the drastic need to accelerate concern and respect).48 Ensuring the environmental
processes that engage renewable energy growth, sustainability of human activities at
stakeholders at project and opposition to wind power has For instance, opposition to offshore sea is an important task for the
economy-wide levels. become increasingly visible in wind expansion in South Korea developing blue economy.
many countries globally. The from the commercial fishing sector
This chapter of the report roots of opposition to wind projects can be attributed to NIMBY Along with supporting the
approaches the topic of building vary depending on local context, framing, driven by fear of restoration of biodiversity, wind
public support for wind energy’s cultural values and socioeconomic disruption and feelings of security. farms can also benefit the
growth from four angles: factors. For example, a fishing Opposition to wind growth in surrounding ecosystem. Bees and
professional may oppose an Finland from conservative other pollinators can find refuge in
48. Hanna-Mari Husu, The social psychology of framing: offshore wind farm due to movements stems from the onshore wind farms that are
The emotional content of Finnish anti-wind power
frames, Sociological Research Online, 2023.
concerns about navigation populist frame, with clean energy properly maintained. A recent
49. Hatakka, Niko and Välimäki, Matti, The allure of hazards, interference with fishing conservatism focused on study of the Belgian North Sea
exploding bats: The Finns Party’s populist
environmental communication and the media, “The Far
grounds or disruption to marine defending the Finnish countryside indicated that wind farms have no
Right and the Environment,” 2019. ecosystems. In contrast, groups and opposed to pollution levies.49 negative impact on the abundance

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 Chapter 4: Communties and social acceptance

of fish and invertebrates living on The mitigation hierarchy across the project development cycle
sandy bottoms, and that wind
The most important stage
farms even increase the diversity for optimising performance

of organism communities above PROJECT STAGE EARLY PLANNING PROJECT DESIGN CONSTRUCTION OPERATIONS DECOMMISSIONING REPOWERING
the bottom.50
Avoidance Avoidance Avoidance Avoidance Avoidance
Understanding the mitigation
Avoidance by site
hierarchy is important for wind selection
Project design Scheduling Scheduling Project design

energy development. According • Consideration of

spatial plans Minimisation Minimisation Minimisation Minimisation
to the UN, avoidance and MITIGATION
and and/or
sensitivity mapping
minimisation measures prevent or FOCUS information • Operational control • Physical control • Physical control
• Risk screening Project design
reduce impacts, while restoration • Abatement control • Operational control
• Abatement control
• Operational control
• Abatement control
and offset measures remediate
impacts that have already Restoration Restoration

happened. Preventive actions are

preferable from an economic, PROACTIVE Offsets
social and ecological CONSERVATION
ACTIONS
Additional conservation actions and on-site habitat enhancement
perspective.51
Impact and
SURVEY TYPE* Risk surveys Monitoring surveys and adaptive management
mitigation surveys
Avoidance is the most important
step of the mitigation hierarchy, as
*The type of surveys needed to assess and monitor biodiversity risk, impacts and mitigation.
it is based on measures taken to
Source: IUCN and TBC, 2021.
anticipate and prevent the creation
of impacts. For example, to feasible. For example, offshore energy permitting include lengthy understanding of the permitting
understand whether a location wind developers can reduce bureaucratic processes and rules between promoters and
aligns with species at high risk of noise emissions from pilings by complexity of administration, lack permitting entities.53
collision with wind power plants, using hydro-dampers and “air of central authorities, lack of
protected areas or other regions of bubble curtains”, which helps streamlined digital resources and Permitting procedures must be
high biodiversity significance can lessen the disturbances to marine lack of holistic planning to capture appropriate for their intended
be helpful to an investor’s due life. complex stakeholder interactions use, keep up with climate change
diligence process. and lack of clear, shared and renewable energy targets,
Accelerating permitting while
Minimisation refers to measures maintaining public support
taken to reduce the duration, Planning and permitting forms 50. ILVO, Analyses of fishing activities in the Belgian part of the North Sea, Flemish Banks and proposed management
areas for seafloor integrity, 2023.
intensity and/or extent of impacts one of the biggest barriers to 51. Bennun et al, Mitigating biodiversity impacts associated with solar and wind energy development, IUCN and The
that cannot be completely renewable energy growth Biodiversity Consultancy, 2021.
52. Energy Transition Commission, Streamlining planning and permitting to accelerate wind and solar deployment, 2023.
avoided, as far as is practically globally.52 Challenges in wind 53. GWEC and IRENA, Offshore Wind Scale Up: Innovations in Permitting, 2023.

GWEC | GLOBAL WIND REPORT 2024 81

 Chapter 4: Communties and social acceptance

Case Study: Sensitive siting in renewable energy

Provided by: The Nature Conservancy (TNC)

The scale of renewable energy improve public support for spatially represent them with
deployment needed to mitigate renewables deployment, help primary or secondary data.
climate change will require a lot reduce project costs and
of land, which may result in permitting times, and promote a 4. Synthesise information to
land-use related environmental rapid and responsible transition. identify low-conflict sites:
and social conflicts that slow Assess data layers and conduct
deployment. To mitigate these TNC has developed frameworks stakeholder review to develop a
conflicts, TNC is working to for key zones in the US, Europe user-friendly tool that considers
promote a nature- and people- and India. The development of the climate, conservation and
positive energy transition by framework relies on four steps:1 communities.
collaborating with partners to
integrate climate, conservation, 1. M
 ap lands suitable for It is important to note that, while
and community goals into renewable energy: Identify this approach can support
energy planning, policies, and areas with renewable energy project developers in proactively
markets. development potential based screening projects to reduce
on resource potential, existing siting conflicts, robust
The Smart Siting Approach: In energy infrastructure, community and stakeholder
collaboration with partners, TNC administrative considerations engagement is still essential in
has developed an innovative, like zoning and physical project design and development.
science-based decision-support geographic features.
framework for utility-scale For example, in India about 68%
renewable energy siting. This 2. Map environmental or of solar and 22% of existing wind
approach helps to proactively conservation values: Identify projects are sited on agricultural
identify low-conflict areas for wind and gather data on critical or natural lands, highlighting the
and solar energy deployment – ecological values like wildlife potential impacts of renewable
sites with high energy resource habitats, migratory routes and energy projects to biodiversity,
potential that minimise conflicts more. community livelihoods, and future
with environmental and social food security when not planned
values. 3. Map cultural and social responsibly.
values in the region: Engage
By integrating these values into with local stakeholders to
decision-making from the understand local values and 1. https://www.nature.org/content/dam/tnc/nature/en/
documents/Europe_Energy_Practitioners_Guide.pdf
beginning, this approach can concerns and identify how to

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 Chapter 4: Communties and social acceptance

and meet high social and participation of communities in

An example Social Values Index for a site in the SiteRight India tool
environmental impact the wind energy sector. This
benchmarks. Experiences from approach promotes local
Social Assessment
the public and private sectors economic development and
Potential for social conflict ! ! ! ! ! indicate that best practices in facilitates public acceptance.
Cumulative social values score: 51 permitting centre on:
Based on compilation of 12 social conflict indicators with scores ranging from 0 (lowest) - 100 (highest). administrative consolidation; tEasing the land acquisition and
Indicators signify the following: Predominance of Common Land (1-2). Dependence on Commons (3-7).
Marginalized Community (8-9), and Degree of Remoteness (10-12) digitalisation; policy support; and procurement process can expedite
public engagement..54 permitting processes. For example,
in India the Ministry of
Indicator Score
Creating dedicated, centralised Environment, Forests and Climate
authorities is one way to Change has placed solar and wind
Forested land 0
streamline this process by power projects under the ‘White
Common land 17 ensuring developers can refer to a Category’ of industries. As such,
Livestock per household 34 single focal point. For instance, they are not required to obtain
Fuelwood dependency 54
India recently introduced the ‘Consent to Operate’ from the
National Single Window System respective state pollution control
Rainfed agriculture land 74
(NSWS), which is a digital board (SPCB / PCC) and an
Wall material 1 platform to provide guidance in intimation to the board would
Drinking water source 97 identifying and applying for suffice.
Scheduled caste population 23
approvals according to business
requirements. The platform
Scheduled tribe population 0
gained popularity among
Market availability 89 investors when it enabled over Recommendations to accelerate
Pucca road availability 98 44,000 project approvals in a permitting of wind projects
variety of industries since its The expansion of wind energy will
Source: The Nature Conservancy, 2024. launch in September 2022. require early, extensive and
effective engagement and a
Collaboration with local shared understanding of what that
To address these concerns, a as a proxy for socioeconomic communities can further will mean for communities, nature
Social Values Index was integrated vulnerability, as well as local and strengthen the acceptance of and users of land/sea spaces.
into the India siting tool along with rural communities’ dependence wind energy projects. In GWEC makes the following
energy resource potential and on common lands. Indicators were Denmark, citizen-owned wind recommendations to streamline
biodiversity indicators. This selected based on expert input turbines account for permitting for wind energy
composite index aggregates 12 and stakeholder focus groups and approximately 75% of the
54. E
 uropean Commission, Technical support for RES policy development and
indicators, which can be were compiled from government country’s total installed capacity, implementation – Simplification of permission and administrative
considered individually, that serve census data. demonstrating the active procedures for RES installations, RES Simplify, 2023.

GWEC | GLOBAL WIND REPORT 2024 83

 Chapter 4: Communties and social acceptance

projects, while mitigating adverse digitised, searchable and up-to- l  Promote active dialogues transparently disclose risks,
impacts: date databases for land between local authorities, dependencies and impacts on
registrations and siting of communities and industry to nature on a regular basis at
Mandate maximum lead times
l  projects, including an inventory of ensure a shared understanding of company-wide level for new and
to permit wind plants. Standard local ordinances and records of priorities and concerns. This is existing developments.
recommended lead times are 2 where energy projects have met important to ensure a balance of
years for greenfield onshore wind community resistance, which can interests across stakeholders and l Industry should also invest in
projects, 3 years for offshore wind support zoning for projects. harmonious co-existence with innovation of new technologies
projects and 1 year for other land/ocean users. An that help to avoid and minimise
repowering projects – although Align land and ocean use
l  emphasis on early and impacts of wind farms on the
these may be further reduced in guidance at national and continuous engagement with environment, or restore the
light of energy security and sub-national level, prioritising communities is necessary to conditions at sites.
climate goals. projects which support energy obtain social license.
security, “Do No Significant As part of the GRA, GWEC has also
Implement a clearing house
l  Harm” principles, minimal impact l  Industry actors should contributed to the Planning for
mechanism for legal disputes to to biodiversity and the green establish corporate Climate Commission’s plan in 2023
prevent extended delays to economy. This should also commitments that contribute to to accelerate permitting of
critical infrastructure projects, include a review of minimum a nature-positive approach, renewable energy. This contains
and a structured and time-limited distance requirements which are including clear and ambitious several recommendations covering
procesengagements for up-to-date with latest conservation targets. Companies effective administration to
developers to provide evidence. technologies. should monitor, assess and environmental safeguards.55

Dedicate centralised authorities

l  The Planning for Climate Commission’s 9-point plan for fast and fair permitting
and single focal points to work
with developers to streamline the $

siting and permitting process,

such as through a “one-stop
Innovate to Streamline permitting Engage Deploy carefully Put in place policies and
shop” model. Shorten permitting processes in a communities designed and safeguards to limit
Timeframes transparent and from the outset regulated benefit- environmental impacts
predicatble manner sharing mechanisms
Invest in more staff and digital
l 

resources for the various

authorities which make decisions
during the permitting process of
a renewable energy and Accelerate grid Allocate land Strengthen and optimise Avert tecnological
infrastructure project. Build infrastructure build-out appropriately and institutional capacity at risks by adopting
and integration strategically central and local levels rigourous standards
55. https://gh2.org/article/global-commission-launches-recommendations-
speed-permitting-address-climate-change Source: Planning for Climate Commission, 2023.

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 Chapter 4: Communties and social acceptance

Industry Spotlight: Aurora Wind Power’s impact on youth wellbeing in South Africa
Provided by: South African Wind programmes are designed to providing essential digital tools for Impact and sustainability
Energy Association (SAWEA) guide vulnerable youth towards education. In 2023, Aurora implemented six
quality education, which are education programmes,
In South Africa, Aurora Wind crucial for securing meaningful Grade 11 and 12: A leadership significantly benefiting Black
Power has undertaken a employment in the future. programme for Grade 11-12 persons, aligning with the Broad-
comprehensive approach to foster learners at two local schools Based Black Economic
the wellbeing of vulnerable youth Early childhood development: In focuses on instilling values and Empowerment (B-BBEE) Codes of
living within a 50-kilometre radius collaboration with Lerole Power leadership skills essential for Good Practice. Over 4,000
of the 94 MW West Coast 1 wind and ELRU, Aurora supports two future academic and professional individuals received training, with
farm. With a focus on education ECD initiatives in the communities pursuits. Additionally, an a majority being Black,
and skills development initiatives, of Louwville and Laingville, entrepreneurial skills demonstrating commitment to
Aurora aims to improve youth focusing on quality early development program has been inclusive education and skills
access to meaningful employment childhood education. In 2023, initiated to support 20 aspiring development.
opportunities, thereby elevating these initiatives generated 10 local entrepreneurs at a high school on
their standard of living and jobs, benefiting over 200 the West Coast. The education programmes
ensuring easier access to housing, households, 24 ECD Centres, and sponsored by Aurora have created
transportation, healthcare and 1,300 children aged 0-6 years. Bursary programme: Since 2016, a minimum of 17 jobs for
nutrition. Aurora’s bursary programme has individuals from the West Coast,
Primary and secondary school provided full financial support to further contributing to the local
Education programmes initiatives: Through a partnership deserving students from the West economy and community
spanning life development with HeyMath!, Aurora launched a Coast for tertiary education in any development. These impacts
stages digital Mathematics and Science field of study. To date, the program showcase the opportunities to
Aurora Wind Power’s youth improvement program at seven has aided 33 students, 67% of empower vulnerable youths
education initiatives encompass a local public schools, aimed at whom identify as female. Notably, through education, ultimately
broad spectrum of a young enhancing learner participation 12 graduates from this fostering a brighter and more
person’s developmental stages, and outcomes in these subjects. programme have successfully sustainable future for the
from early childhood development This program has reached over secured employment in various community.
(ECD) to tertiary education. These 100 educators and 6,000 learners, sectors.

GWEC | GLOBAL WIND REPORT 2024 85

 Who owns the wind? traditions that communities seek to While challenges to wind farms in
Navigating land rights in an safeguard amid the energy developed countries often stem
era of expansion transition. from NIMBY, populist or
The contentious nature of land56 in environmentalist grounds, such as
the energy transition is underscored When governments, developers the visual impact of large wind
by political, historical, cultural and and energy companies do not turbines on the landscape, people
spiritual dimensions that extend work in partnership with displacement and indigenous
beyond a project’s physical communities and landowners, rights can also pose a challenge in
footprint. Cultural heritage and these challenges persist and risk developed countries such as
traditions constitute foundational becoming a hindrance to Norway.
pillars for numerous indigenous renewable energy development.
communities, manifesting in a The unequal distribution of The common thread is the
symbiotic relationship between electrification benefits, which necessity for developers to
land and identities. favours wealthier communities foster early, open and continuous
over less privileged ones, communication, respect
Land’s pivotal role in sustaining exacerbates the problem. indigenous rights and address
livelihoods, serving as an essential the specific needs and concerns
space for agriculture and livestock Given the critical role of land in the of local populations. Inadequate
activities crucial to community energy transition, this section compensation, lack of consultation
well-being, further accentuates its examines experiences in Kenya, and disregard for socioeconomic
contentious nature. Historical rights Norway and Mexico to highlight impacts have fuelled local
and land tenure, particularly land rights challenges for wind opposition, posing substantial risks
prevalent in indigenous contexts, projects as a global issue. In for investors and national energy
contribute to the complexity. developing economies such as ambitions.
Additionally, emotional and Kenya and Mexico, land rights
spiritual attachment to the land issues often arise from the Kenya
becomes a source of resistance, acquisition of communal lands The construction of Africa’s largest
leading to legal battles and belonging to indigenous wind power plant at Lake Turkana
opposition against perceived communities. These communities faced significant challenges
disregard for cultural values. have deep cultural and historical related to land, which was
ties to the land, which is essential important for cultural heritage,
This combination of cultural, for their livelihoods, such as cattle grazing and herding.57
economic, historical, and agriculture, livestock farming and
emotional dimensions highlights fishing activities. Following prolonged legal battles,
the significance of land,
transforming it from a resource into
56. In the wind energy context, the concept of “land rights” more broadly encompasses land and seabed. 50. https://www.
a vital component of culture and climatechangenews.com/2023/09/04/kenyas-wind-power-troubles/.

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 Part 4: Communties and social acceptance

a 2021 High Court ruling found homes. However, KWP encountered

that the land title deeds were issues due to insufficient
acquired irregularly. The deeds community involvement during the
were cancelled, and the four state land securing process. This led to
defendants (the National Land conflicts with local landowners and
Commission, Marsabit County farmers on compensation and
Government, the Attorney General negotiation procedures.
of Kenya and the Chief Land
Registrar) who were enjoined with A major hurdle was the use of
Lake Turkana Wind Power (LTWP) non-secured private land for
in the suit, were given one year to infrastructure for installing
regularise the title acquisition turbines. Some groups around the
process.58 project site were excluded from
the land securing process, leading
If the acquisition wasn’t solved to complications at the start of
within this timeframe, the land construction. A local political
hosting the approximately $680 leadership contest during the
million project would construction process also led to
automatically revert to the the wind project’s impact
community. As no resolution was becoming a campaign issue.
reached by LTWP within the given
period, the land was returned to Initially, 38 land-owners entered
the locals in 2023. The four state into a lease agreement with the
agencies and LTWP have filed KWP project. However, problems
appeals. arose when KWP relocated its
equipment to the project site,
In Nyandarua County, the $144 prompting farmers to protest and
million Kinangop Wind Park (KWP) demand proper community
project faced community engagement and sensitisation, as
discontent, ultimately leading to its well as compensation for those
cancellation.59 The project aimed to around setback areas. Concerns
bring electricity to 150,000 Kenyan grew that the community might be

57. https://media.business-humanrights.org/media/documents/Lake_Turkana_Wind_Power_Judgment_October_2021.pdf;
NIRAS Africa Limited, Socio-economic Impact of Lake Turkana Wind Power in Marsabit, 2020; https://ltwp.co.ke/
category/resources-publications/
58. https://www.reuters.com/article/kenya-electricity-idUSL8N1620QG/.
59. Mike Iravo, Factors Influencing Community Participation in Implementation of Public Projects in Rural Areas: A Case of
Kinangop Wind Park in Magumu, Nyandarua County Kenya, 2017.

GWEC | GLOBAL WIND REPORT 2024

 Part 4: Communties and social acceptance

forced to sell their agricultural protests had not only eroded the evident that land acquisition and conflict resolution mechanisms.
land for the project to proceed. timeline but also depleted allocated engagement with landowners are
Local opposition gained funds. The cancellation had broader critical factors that can determine Failure to address these issues can
momentum, fuelled by worries consequences for Kenya’s energy the realisation of wind projects. lead to prolonged legal battles,
about coercion in land sales and goals, affecting the nation’s pursuit The industry must continue to costly delays and even project
fears of health problems caused of increased power generation prioritise transparent and inclusive cancellations, jeopardising
by the turbines.60 capacity and energy security. engagement with landowners and investments and hindering the
local communities, ensure fair
KWP announced the project’s Based on the experiences from compensation and resettlement 60. https://apnews.com/article/norway-sami-wind-farm-
cancellation, revealing that the the LTWP and KWP projects, it is processes, and establish robust energy-indigenous-54f4cafbee29578dc9de1f206df3f9ff

88 GWEC.NET
development of wind energy wind farm (and other onshore Isthmus of Tehuantepec in Oaxaca,
projects. wind farms in Norway) but also Mexico. This region is
acknowledges the importance of predominantly inhabited by
Norway meaningful community indigenous communities utilising
In the heart of Norway’s Fosen engagement during the land communal land arrangements
district, a clash unfolded over securing process. known as ejidos. Mareña
Europe’s largest onshore wind Renovables acquired the rights to
farm, situated 280 miles north of Under the terms of the agreement, a 396 MW wind energy project,
Oslo.61 The conflict centred on the Sami will receive which would have made it the
allegations of infringement of compensation, including a share largest wind farm in Latin America
indigenous rights and the of the energy produced by the at the time.62
traditional reindeer farming wind farm. A new area for winter
practices of the Sami people. grazing will be provided, ensuring However, the project encountered
the preservation of their traditional substantial opposition from
The wind farm’s construction, way of life. To strengthen Sami indigenous communities,
marked by 151 towering turbines, culture, a grant of NOK 5 million particularly Santa María del Mar
affected the centuries-old ($475,000) was allocated. The and San Dionisio del Mar. The
connection the Sami people Speaker of the Sami Parliament resistance stemmed from
maintained with the land through noted this was a turning point for concerns related to the impacts of
reindeer farming. The Supreme the recognition of indigenous wind turbines on local
Court’s verdict in 2021, siding rights and reconciliation, laying a biodiversity, fishing activities and
with the Sami, underscored the positive foundation for the future. their way of life.
tension between the push towards
green energy and the The agreement highlights the The opposition gained momentum
preservation of indigenous rights. essential role of open through the formation of the
Sami activists mobilised, staging communication, respect for Assembly of Indigenous Peoples of
protests outside the Prime indigenous rights and a the Isthmus in Defense of Land and
Minister’s office, occupying the commitment to finding sustainable Territory (APIITDTT) in 2007. The
Ministry of Petroleum and Energy solutions that balance communities, supported by
and strategically blocking environmental goals with the activists and neighbours,
entrances to various ministries. well-being of the communities questioned the lack of
affected by such projects.
After nearly three years of dispute, 61. Armando Hurtado Sandoval, Wind Energy
Norway reached an agreement Mexico Development in Mexico A case study of the potential
for local socio-economic benefits in Mareña, Lund
with the indigenous community in In 2004, Mareña Renovables University, 2015.
62. https://www.bnamericas.com/en/news/project-
2024. This accord not only ensures initiated a project to harness the spotlight-mexicos-eolica-del-sur-finally-looks-set-to-
the continued operation of the unique wind conditions of the be-built

GWEC | GLOBAL WIND REPORT 2024

 Chapter 4: Communties and social acceptance

transparency, consultation and cultural heritage and traditional

respect for their autonomy during ways of life.
the negotiation process.
GWEC makes the following
By 2013, following escalating recommendations to ensuring land
clashes and court orders, the can be secured for wind energy’s
project stopped construction. It growth while maintaining social
was relocated a few districts away harmony:
and adopted a new project name,
Eólica del Sur. The following year, Respect for community rights is
l 

the project initiated a Free, Prior an important principle for project

and Informed Consent (FPIC) development, as illegitimate land
consultation process with local acquisition can lead to legal
communities. Tensions with challenges, delays and project
indigenous peoples and legal cancellations.
challenges continued, though
Eólica del Sur was finally Participatory and inclusive
l 

inaugurated in 2019.63 engagement with local

communities, particularly
This case highlights the indigenous groups, is crucial for
importance of involving local project success. This should
communities in the decision- include early, continuous, in-
making process and addressing person dialogue, and a conflict
their concerns during land sensitivity approach which
securing, including alignment with understands that conflicts will
FPIC protocols. arise and that having a standing
platform for open discussion and
joint resolution is essential. This
platform should be established
Recommendations to foster support during project development and
for wind’s expansion last for the project lifetime, to
Meaningful community mitigate potential tensions and
engagement and respect for violence, and ensure a smoother
indigenous rights are of critical green energy transition.
importance for the successful
implementation of renewable 63. Treen, Williams and O’Neill, Online misinformation
energy projects while preserving about climate change, WIREs Climate Change, 2020.

90 GWEC.NET
 Chapter 4: Communties and social acceptance

Establishing fair
l  Decades of experience have inaccurate, or misleading”, or
compensation packages is demonstrated that a successful “presented out of context”.64
crucial for securing indigenous renewable energy rollout will be
support and project continuity, contingent not just on robust policy Disinformation relates to
and should be placed in context and regulatory mechanisms and narratives that have a “clear intent
of potential disruption, technological innovation, but also to cause harm or purposefully
economic displacement and on the sustained support of local deceive others,” whereas
cultural impact. Acknowledging communities and broader society. misinformation can be the result of
and mitigating impacts on an innocent bystander unknowingly
traditional practices, such as Large-scale wind, solar and perpetuating false information.
herding or grazing, is essential. transmission infrastructure projects Accordingly, disinformation is a
are particularly vulnerable to subset of misinformation.
Flexibility in design and
l  challenges and blockages in the
expectations for both industry planning system, and Importantly, not all critiques of
and impacted communities disinformation-fuelled opposition wind energy are misinformation or
demonstrates a wiliness to move only amplifies that. In certain disinformation, and instead may
towards harmonious co-existence places, community pushback can reflect fear of the unknown or
and accommodation of multiple be among the biggest blockers to genuine questions about the
priorities of local and national wind energy deployment. Targeted infrastructure.
significance. false narratives mislead
communities, delay development, However, disinformation does not
Guarding against the intensify investment risk and make represent arguments in good faith
dangers of disinformation informed debate difficult. and has a distortionary effect on
Climate and renewable energy public debate. Disinformation was
disinformation pose a formidable The importance of definitions cited as the biggest short-term
challenge to the global energy Climate misinformation is global risk in the World Economic
transition and the ability to achieve commonly referred to as “climate Forum’s 2024 risk perception
the global goal to triple scepticism” and “denialism” as survey among global business
renewables by 2030. well as “manufactured doubt” that leaders, and is a risk only
Disinformation narratives can be confuses the public, increases amplified by changing geopolitical
difficult to recognise, let alone polarisation and stalls political landscape and a critical election
counter. They are strategically action and public support for year across several major
deployed by opponents to the climate and clean energy policies. economies.65
expansion of certain renewable
energy technologies in attempts to Put simply, climate misinformation Intended or not, misinformation 64. Treen, Williams and O’Neill, Online misinformation
about climate change, WIREs Climate Change, 2020
delay or halt projects, including is well defined as statements and causes real harm. The impacts are 65. https://www.weforum.org/press/2024/01/global-risks-
wind energy. narratives that are “false, felt at the aggregate level, such as report-2024-press-release/.

GWEC | GLOBAL WIND REPORT 2024 91

 on the quality of public opinion difficult to assess even by subject- human rights, healthcare, and
and politics, and at the local level, matter experts. Misinformation elections. Critically, it is becoming
when narratives collide and exploits the complexity of the easier to mass produce
confuse scientific information to energy transition. disinformation campaigns with
influence decisions, such as even fewer resources.
permitting and siting of Misinformation does not erupt
infrastructure projects. spontaneously. Narratives are What are the main narratives?
spread, in part, intentionally by Analysis by GWEC shows
Misinformation discourses can opponents of renewable energy. identifiable patterns across
influence the arguments deployed Disinformation originates from misinformation narratives. The
by communities and interest well-funded vocal minorities.67 industry encounters four types of
groups against renewable energy Misinformation is then actively narratives across global markets:
infrastructure, thereby influencing disseminated through traditional technological performance;
the parallel administrative media, like newspapers and economic impacts, quality of life
decision-making processes – the op-eds, and social media, like local impact and ecological impacts.
results of which can negatively Facebook groups. Narratives are not random and
affect the development costs and instead reflect underlying values,
timelines of wind projects. In traditional media, climate beliefs, and concerns about the
reporting is characterised by false energy transition. Opponents rely
Characteristics of misinformation equivalence, where despite on the selective use of information,
Because misinformation places overwhelming scientific frequently containing a grain of
information out of context, it can be consensus, media gives truth, to obfuscate and confuse
especially difficult to counter. This disproportionate coverage to policy debates along these four
has particular importance when climate denialist positions in categories.
considering that new methods of attempts to maintain balance; the
climate denial have moved on from result being that contrarian views Technological performance
attacking climate science to are given disproportionately more Narratives critique the
instead attacking climate policy airtime. technological performance of
solutions like renewable energy.66 wind turbines, misrepresenting
Misinformation is further spread on the capabilities of wind turbines
Energy systems are highly social media, amplifying local and power systems reliant on
complex and potential impacts of opposition. AI and algorithm- wind energy. Common themes
infrastructure projects can be fuelled content-sharing poses a relate to reliability, sustainability
looming threat in amplifying and cost. These narratives are
66. Center for Countering Digital Hate, The new climate disinformation, not just across typical of climate delay discourse,
denial, 2024. climate policy but writ-large across since they criticise solutions and
67. https://www.volts.wtf/p/the-right-wing-groups-behind-
renewable debates on societal issues like promtote inaction.

92 GWEC.NET
 Part 4: Communties and social acceptance

Reliability: Opponents suggest

l 

that the inherent variability of

wind makes it an unreliable
source of power and destabilises
the power grid. However, wind
energy is a reliable, predictable
component of a diversified and
integrated electricity mix. During
the 2021 Texas winter storm,
critics initially and falsely blamed
wind energy for state-wide
blackouts, when the root cause
was later attributed to failures that
began in the natural gas
production system.68

Sustainability: Opponents try to

l 

discredit wind energy on

sustainability grounds, arguing
that turbines are carbon-intensive
and produce significant waste. Cost: A common storyline is
l  Economic Impacts rather than co-existence.
While most turbine components that wind is inefficient, requires Others criticise and exaggerate
can be recycled, there are subsidies to function and is the potential negative economic l Competing commercial
challenges related to the end-of- therefore undeserving of impacts of wind energy, interests: Economic
life of turbine blades. However, special status. These claims emphasising the perceived misinformation narratives relate
these facts are decontextualised draw on outdated information economic losses to incumbent to the potential harm to
and fail to discuss the impacts of about capacity factors, not sectors who seek to defend their incumbent sectors like the
wind technologies in comparison recognising that capacity factors market positions, whether it is fishing industry. Here, concerns
to other forms of energy globally for wind are among the fossil energy or adjacent industries related to biodiversity and
production. Electricity generated highest for renewable energy, like fisheries and tourism. These marine life are used to discuss
from fossil fuels has significantly particularly for offshore wind.70 narratives view wind energy the economic productivity of the
higher embodied energy These narratives overlook through a lens of competition fishing industry, rather than
compared to renewable energy sector subsidies
technologies like wind and solar, globally, where more than 68. B
 usby et al, Cascading risks: Understanding the 2021 winter blackout in Texas, Energy Research & Social Science, 2021.
and fossil fuel extraction two-thirds of direct subsidies 69. Pehl et al, Understanding future emissions from low-carbon power systems by integration of life-cycle assessment and
integrated energy modelling, Nature Energy, 2017.
produces a dramatic amount of are currently benefiting fossil 70. https://www.iea.org/data-and-statistics/charts/average-annual-capacity-factors-by-technology-2018.
solid waste.69 fuels.71 71. Michael Taylor, Energy subsidies: Evolution in the global energy transformation to 2050, IRENA, 2020.

GWEC | GLOBAL WIND REPORT 2024 93

 Chapter 4: Communties and social acceptance

Renewables are framed as turbines degrade landscapes and species and land. These claims are
coming in and replacing existing the character of a community. taken seriously by the industry, but
sectors. Opponents perceive a pristine many myths rely on outdated
landscape being invaded by an information. These narratives seek
Quality of Life Impacts “industrial” object that does not to undermine the green credentials
Impacts to human quality of life belong and impairs the integrity of the wind industry but are also
refer to narratives related to of a community. easier to counter with data. As
human health, community newer technologies like floating
character and residential Residential property values: A
l  offshore wind mature, debates
property values. Typical recurring narrative is that wind around negative ecosystem
narratives relate to the perception turbines cause negative impacts impacts will abound and gaps in
of “damaged viewspaces” or to residential property values, technological data could breed
“industrialisation” of pristine primarily as a by-product of misinformation.
landscapes. These narratives undesirable views from homes.
single out wind energy from the The research on the relationship Impact to birds: Early wind
l 

wider built environment, like between wind turbines and installations did present risks of
transmission lines and property values is complex. A turbine collisions due to siting
telecommunications lines. These 2022 study of offshore wind found issues, but modern wind farms
biodiversity itself. Opponents narratives evoke emotional that turbine views “do not significantly reduce the risk of
are concerned about responses and are therefore the specifically impact property avian collisions.76 Fossil fuel plants
diminishing returns for most difficult to counter with facts. values.”74 Interestingly, a Scottish are 35 times more dangerous to
commercial fisheries and study found a positive impact on birds than wind energy, and
consequent job losses.72 Human health: Longstanding
l  house price growth in some
Narratives emphasise critiques include ideas that wind cases, due to the additional
displacement of productive land turbines cause noise-induced economic or leisure benefits 72. https://www.theguardian.com/environment/2023/
for energy instead of its user for health problems. There is brought by projects.75 The nov/12/how-a-false-claim-about-wind-turbines-killing-
whales-is-spinning-out-of-control-in-coastal-australia.
food or livestock production. negligible evidence that turbines relationship between property 73. R adun et al, Health effects of wind turbine noise and
Additionally, narratives about cause physical and mental health prices and wind farms is not road traffic noise on people living near wind turbines,
Renewable and Sustainable Energy Reviews, 2022.
negative harms to tourism are problems. When contextualised straightforward, but to suggest 74. L uran Dong and Corey Land, Do views of offshore
prevalent. within the wider built environment, that wind farms directly lead to wind energy detract? A hedonic price analysis of the
Block Island wind farm in Rhode Island, Energy Policy,
wind turbine sound levels are not negative property valuations is 2022.
Employment: These narratives
l  found to be associated with health disingenuous. 75. H eblich et al, Impact of wind tubines on house prices
in Scotland, Climate Xchange, 2016.
focus on job displacement or impacts, unlike higher levels of 76. Shifeng Wang and Sicong Wang, Impacts of wind
losses caused by the wind road traffic sounds.73 Ecological Impacts energy on environment: A review, Renewable and
Sustainable Energy Reviews, 2015.
industry, particularly in regions The most well-known narratives 77. B enjamin Sovacool and Pushkala Ratan,
with high reliance on fossil fuel Community character: A
l  relate to impacts on the natural Conceptualizing the acceptance of wind and solar
electricity, Renewable and Sustainable Energy
industries for employment. common objection is that wind environment, such as wildlife Reviews, 2012.

94 GWEC.NET
 Chapter 4: Communties and social acceptance

nuclear plants are twice as Summary of wind misinformation narratives

dangerous.77 Overall, bird
Narrative Types Sub-Narratives Narrative Examples
mortality from wind turbines
pales in comparison to deaths Technological Performance l Reliability South Korea: “Many people believe that variability of
l 

l Sustainability renewable energy sources will destabilise the power

caused by vehicles, buildings, l Affordability system.”80
and cats.78 Economic Impacts l Sectoral impacts: fisheries, agriculture, tourism Japan: “Residents are concerned the sight of wind
l 

l Employment impacts turbines in the bay could have a negative impact on

Marine life: Misinformation
l  l National identity Ishikari’s scenery, damaging the local environmental
tourism industry.”81
narratives are one-sided and
overlook the positive impacts Greece: “Villages are trying to block wind turbines,
l 

arguing they will turn away tourists — Greece’s main

offshore wind turbines can have source of income.”82
on marine environments. For
Quality-of-life Impacts l Human health Spain: “As a local, I’m mostly concerned about the
l 
instance, offshore turbines have l Community character fishing… But also about the cultural spirit of Cadaqués,
led to the creation of artificial l Residential property values the landscape that inspired Dalí.”83
reefs, and increased fish catch in Environmental Impacts l Species: birds, marine life, etc United States: “Despite a lack of scientific evidence,
l 

some areas. Scientific certainty l Weather patterns they have blamed a recent spike in whale deaths on
l Land conditions exploration devices that use sonar to seek wind turbine
about the “magnitude” of
sites.”84
negative impact is “relatively
Source: GWEC.
low.”79 Yet, misinformation about
potential impacts to marine life is Elevated risks of misinformation and partisanship, prompting local 78. S hifeng Wang and Sicong Wang, Impacts of wind
growing and provokes an and disinformation officials to instate large setbacks energy on environment: A review, Renewable and
Sustainable Energy Reviews, 2015.
emotional response in those Misinformation leads to around private property. These 79. G alparsoro et al, Reviewing the ecological impacts of
unsure or already opposed to unpredictability at the policy and local examples can compound offshore wind farms, npj Ocean Sustainability, 2022.
80.Adelphi, Promoting acceptance of wind and solar
offshore development. decision-making levels for wind into policy shocks, where energy in Korea, 2019.
energy projects – ultimately governments may impose 81. https://www.japantimes.co.jp/environment/2024/01/21/
wind-power-environment-concerns/.
Misinformation narratives are leading to more frequent project moratoriums or bans on 82. https://www.nytimes.com/2021/10/29/business/
notoriously complex and delays, incurring increased costs renewable energy. For instance, in greece-green-energy-climate-eu.html.
83. https://www.nytimes.com/2022/07/19/climate/
increasingly sophisticated. Yet and reputational harm. In many Ohio, a 2022 law granted local spain-floating-wind-farm.html.
recognising these patterns can cases, developers face regulatory counties the ability to exclude 84. https://yaleclimateconnections.org/2023/09/
wind-opponents-spread-myth-about-dead-whales/.
help the industry and supporters uncertainty and constraints caused wind and solar projects from 85. https://ohiocapitaljournal.com/2022/08/23/
of the energy transition to create by misinformed opposition, such certain areas.85 nine-ohio-counties-ban-wind-solar-projects-under-
new-state-law/.
responsive and proactive as being forced to change the
strategies. As policy complexity scope of a project after approvals In another example, in August
grows, misinformation evolves in have been given. 2023, the government of the
response and will increasingly province of Alberta, Canada,
become a challenge across the In other cases, opposition instituted a seven-month
policy decision making cycle. narratives lead to fearmongering moratorium on new renewables

GWEC | GLOBAL WIND REPORT 2024 95

 Chapter 4: Communties and social acceptance

development, citing concerns viewscapes.”87 According to the professionals on the frontlines, debate, using media strategically
related to end-of-life and grid Pembina Institute, these restrictions such as those in community and for amplification. Misinformation
stability.86 While the moratorium do not apply to other sectors or stakeholder engagement roles. narratives continue to evolve and
was lifted in February 2024, the land users, and have created Opponents not only attempt to are fine-tuned to adapt to local
government simultaneously heightened uncertainty for industry discredit data provided by social and economic dynamics.
introduced new restrictions for and investors in renewables.88 developers, but also attack
wind and solar to safeguard “future climate scientists for being Taken as a whole, misinformation
agricultural yields”, “tourism Unfortunately, misinformation also “alarmist” or those who are can reduce trust in the industry, at
dollars”, and “breathtaking creates a risky environment for studying disinformation as a time when the world needs an
suppressing free speech.89 accelerated roll-out of wind and
renewable energy. To meet the
Case Study: Offshore wind misinformation in Australia Fundamentally, critics are global goal of tripling renewable
In regions new to offshore wind surprise. Misinformation is questioning the motives of the energy, effective strategies are
development, misinformation can leading to confusion and messenger, leading to a cynical required that push back against
proliferate quickly. In the US, uncertainty that could ultimately environment which reduces trust in cynicism and turn the tide in favour
misinformation around whale limit the growth of the sector. the decision-making process, the of a renewable energy-powered
deaths continues to cause anxiety Campaigns opposing offshore political environment and world.
and concern among wind deploy narratives related to ultimately, the energy transition. All
policymakers, despite being the fishing and tourism industry; these impacts serve to slow wind GWEC makes the following
debunked by scientists and opponents circulate false claims energy deployment. recommendations to guard against
experts.1 on Facebook about the impact on the proliferation of misinformation
whales and concerns that wind and disinformation:
A recent report highlights the fact farms do not reduce GHG
that the fossil fuel industry has emissions. Recommendations to guard against l Recognise the narrative
long funded misinformation about misinformation and disinformation patterns to help create
renewable energy and that Framing opposition through the Wind misinformation narratives responsive and proactive
offshore wind is the latest target lens of environmental concerns is seed doubt, encourage inaction strategies. Narratives are
of nationwide campaigns.2 a well-used disinformation tactic and are increasingly complex. storylines that simplify complex
Legitimate concerns are being to confuse policy debates around These arguments attack the merits topics, allowing them to be
swept up and stoked by funded renewable energy. of wind energy and are widely shared and understood.
interest groups. constructed to shift the policy As the energy transition
1. https://cleanpower.org/resources/oceanographic-
As the offshore wind industry effects-of-osw-structures-and-potential-impacts-on-
begins to grow in Australia, false the-north-atlantic-right-whale/
86. https://www.theglobeandmail.com/business/article-alberta-risks-losing-billions-in-renewable-energy-investments-with/
87. https://edmontonjournal.com/news/politics/alberta-ucp-danielle-smith-renewable-energy-restrictions.
2. https://www.americanprogress.org/article/
claims about whale deaths took the-oil-and-gas-industry-is-behind-offshore-wind-
88. https://renewablesassociation.ca/canrea-welcomes-end-of-alberta-moratorium/; https://www.pembina.org/
the industry and proponents by misinformation/
media-release/alberta-hamstrings-renewables-sector-rules-not-required-other-industries.
89. Brysse et al, Climate change prediction: Erring on the side of least drama?, Global Environmental Change, 2013;
https://www.nytimes.com/2023/06/19/technology/gop-disinformation-researchers-2024-election.html.

96 73. Adelphi, Promoting acceptance of wind and solar energy in Korea, 2019.
GWEC.NET
 Chapter 4: Communties and social acceptance

progresses and encounters more

turbulence, creating narratives to
combat misinformation and
mastering the skill of utilising
them will be increasingly
important for the industry.

Engage with trusted local

l 

voices and leaders to build trust

in local decision-making and
counter misinformation. People
Industry Spotlight: Building public support for offshore wind with Ocean Energy Pathway
turn to those they trust to shape Scaling offshore wind means Within the next 28 years, the and catalytic support to
their beliefs, which in turn shapes meeting climate ambitions, offshore wind energy sector accelerate responsible and
public perception of social issues. enhancing ecosystems, needs to expand so that it can durable development.
Developing clean energy is no strengthening energy security produce 32 times its current
longer a purely technical and delivering transformative energy capacity. This will require OEP fills a critical gap by working
exercise, but a political one, and economic growth for local adding more offshore wind with policymakers and civil
often mediated by local officials. communities. Launched by capacity between now and 2050 society. The provision of technical
GWEC in December 2023, Ocean than has ever been installed. assistance bolsters governments’
Fostering a just and Energy Pathway (OEP) is an capacity to create a policy and
equitable energy transition accelerator that works to unlock Offshore wind is an energy and regulatory environment
The just and equitable energy the immense resource of offshore climate solution. It provides large conducive to developing offshore
transition (JET) is indivisible from a wind power across global volumes of clean, home-grown wind. Technical advisory will also
successful pathway to global net markets. power to expand and sustain support achieving high quality
zero emissions by 2050. People economic progress while environmental regulations and
and workforces are at the centre of Offshore wind is the most displacing fossil fuels in the other co-benefits of mature
driving the energy transition significant climate mitigation energy system. But scaling offshore wind sectors.
forwards, and this means people opportunity in the oceans. IRENA offshore wind will require
and communities cannot be left and the IEA forecast the need for enduring political support OEP invests in strategies that work
behind in the effort to mitigate 2,000 GW of offshore wind by alongside massive public and with crucial place-based
harmful climate change. 2050 to deliver net-zero emissions private investment, civil society stakeholders critical to unlocking
globally. To put this in context, by engagement, and international support for offshore wind
Definitions of a JET are broad and the end of 2022, 64 GW of offshore collaboration. While government development, such as convening
take into consideration many wind capacity had been installed and private sector actors play industry and civil society on
different aspects of the global worldwide, almost entirely in essential roles, civil society can developing nature-aligned growth
energy transition. The pathway by China and northern Europe. provide the necessary flexible of the sector.
which a JET is achieved will also

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 Chapter 4: Communties and social acceptance

Industry Spotlight: Doing the maths on Global wind workforce needs in construction, installation, operations
the global wind workforce and maintenance
Provided by: Global Wind Organisation (GWO)
People
100% 600,000
499,481
Hundreds of thousands of and standard attrition rates for 447,802 476,280 479,571 482,389 481,255
80% 500,000
technicians will be needed for employment. The technician
400,000
construction, installation, needs are particularly acute in 60%
91% 90% 89% 88% 87% 87%
operation, and maintenance (C&I Australia, Brazil, China, USA, India, 300,000
40%
and O&M) of the world’s wind Japan, South Korea, Colombia, 200,000
fleet, especially when the world is Egypt and Kenya. The high wind 20% 41,818 52,150 59,936 63,015 69,878 74,694
100,000
aiming to triple its renewable power ambitions of these 0%
9% 10% 11% 12% 13% 13%
0%
energy capacity by 2030. countries must be reinforced by a 2022 2023 2024 2025 2026 2027
strong culture of training Offshore share of the C&I and O&M workforce Offshore C&I and O&M workforce
This vital human resource is standards, health and safety. Onshore share of the C&I and O&M workforce Onshore C&I and O&M workforce
analysed each year in the Global
Source: GWO, GWEC, 2023.
Wind Workforce Outlook, Policy support for
published by GWO and GWEC, workforce needs
which considers both the raw This volume of workforce growth American Clean Power (ACP) programmes supporting
numbers in terms of total could be achieved by defining ANSI Wind Technician Entry Level standardised training, and 60+
workforce required, and the clear pathways into the wind Minimum Standard (ANSI/ACP training providers by the end of
availability of industry standard technician workforce so people 5000-2-2022). A new document, 2023 compared to 25 in 2020.
training programs in key markets know what and how they should the ACP Guidelines for Entry
to upskill technicians. As per the train to make the grade. Level Wind Technician Training, The ACP model is inspiring other
latest Global Wind Workforce Developers and OEMs agreed the now demonstrates a clear pathway stakeholders to follow suit.
Outlook 2023-2027 report, over GWO Entry Level Framework in between the job role and an Conscious of workforce needs to
574,000 new technicians (87-90% 2022, which defines the acceptable training pathway. support its offshore wind pipeline,
for onshore wind and 10-13% for recommended and task-specific the Japanese Wind Power
offshore wind) will be required training modules needed to It is recommended that Association is also defining its own
within the next 5 years to deliver ensure basic skills, knowledge policymakers combine guidelines set of guidelines for entry-level
the world’s forecast wind capacity and abilities of a new Pre- like this with workforce planning wind technician training, which
growth. Assembly, Installation or O&M in their renewable energy policy. will be published in late 2024.
technician. This will encourage investment for
Importantly, by 2027, almost 43% industry-standard training On a wider scale, the Jobs4Re
of the total technician workforce A huge milestone was passed in programmes. In the US, the initiative sponsored by the Danish
would need to be new talent, 2023, when the GWO Entry Level message is starting to get through and Philippine Governments, with
given increases in MW capacity Framework was aligned with the with several IRA-funded support from IRENA, GWEC and

98 GWEC.NET
 Chapter 4: Communties and social acceptance

vary from country to country, as The role of the wind industry Netherlands.90 The wind industry
GWO, was launched at COP28 transition pathways must consider in enabling a JET plays an active part in supporting
in Dubai. Initial steps are in the country’s emissions, energy An effective JET must be investment and education for a
place to build acceptance of profile, fossil fuel dependencies, undertaken at both the national JET at a national policy level,
international certification labour and welfare structures, and sub-national levels, to ensure while ensuring local value
schemes like GWO, increasing macroeconomic conditions and local buy-in and value creation, so creation in the form of clean
certainty for stakeholders and financing needs. that the dividends of the transition energy job creation. Renewable
driving workforce growth. to renewables can be distributed energy employs people across all
As one of the protagonists leading to all stakeholders. This is trades and levels throughout the
There is still much to do in terms the global energy transition, the particularly important for entire value chain, from project
of training the future wind wind industry is responsible for communities facing economic or planning to decommissioning.
workforce. Harmonisation of playing an active role in
domestic safety and training accommodating workers from Analysis by IRENA of the human
regulations with international carbon-intensive, sunset industries Over decades, the resource requirements for the
standards can pose a barrier to and encouraging their entry into onshore and offshore wind
adoption. For instance, in Brazil new opportunities in the global wind industry industry shows that a typical 50
national training regulations in renewables sunrise industry. From workforce has grown to MW onshore wind and 500 MW
“working at height” and first aid the perspective of the global wind fixed-bottom offshore wind project
pre-date the creation of global industry, a JET can be approached some 1.4 million people would generate around 261 Full
wind industry training standards. as an energy transition which
enables the socioeconomic
and counting. Time Equivalent (FTE) jobs and
10,215 FTE jobs over the roughly
However, from all these welfare of all workers and 25-year course of the project
examples, stakeholders are communities concerned. lifetime, respectively.91
increasingly committing to labour displacement from the
aligning best practices. This, in Two of the main pillars of policy transition away from fossil fuels, as When considering the skills
turn, allows communities to instruments can be leveraged to well as for communities which host required for the deployment of
share the benefits of a safe, drive a JET: investment and renewable energy projects. wind energy facilities, analysis
available, and productive education. Investment may be used show that over 60% of the
workforce as the wind industry to facilitate education, applied as Job creation in the global workforce in the onshore wind
expands. support to workers displaced by wind industry industry, and over half of the
the energy transition, or used along Over decades, the global wind workforce of the offshore wind
the supply chain to create demand industry workforce has grown to
90. I RENA, Renewable energy and jobs: Annual
for wind energy workers in the some 1.4 million people and review 2023.
workforce. Education takes a counting, spanning a wide variety 91. I RENA, Leveraging local capacity for onshore wind,
2017; IRENA, Leveraging local capacity for offshore
variety of forms, from retraining or of countries including China, the wind, 2018. An FTE job is defined as one job for one
reskilling programmes to outreach US, Germany, the UK, India, Brazil, person for one calendar year, based on a typical
260-working day year. 85. IRENA, Wind energy: A
to wider communities. Denmark, Spain, Mexico and the gender perspective, 2020.

GWEC | GLOBAL WIND REPORT 2024 99

 Chapter 4: Communties and social acceptance

sector, require minimal formal

Industry Spotlight: Empowering women in wind for gender parity by 2030 training and could be filled via
The wind energy sector has been 50% gender parity by 2030, networking events, webinars, youth and apprenticeships, for
predominantly male-dominated, WiW sets a bold target for and mentorship programmes. example . Individuals with degrees
with women comprising only 21% industry-wide transformation. in fields such as science,
of the workforce and holding only Backed by IMF evidence, global technology, engineering and
8% of leadership roles across the 2. W
 omen in Wind Global gender diversity is a key driver mathematics (STEM) are required
value chain. Recognising this Leadership Program: Now in its for economic growth and stability. in smaller numbers (around 28%
imbalance as a barrier to sixth year, WiW established a It unlocks the full potential of for onshore wind and 21% for
innovation and sustainability, leadership development human resources, fostering offshore wind).
GWEC is committed to programme to equip women productivity and innovation.
addressing and rectifying the with the skills and resources Beyond economic benefits, it Highly qualified non-STEM
underrepresentation of women in needed to excel in leadership plays a crucial role in addressing professionals (such as lawyers,
the wind sector. roles within the wind industry. global income inequality and logistics experts, marketing
Through mentorship, training, ensuring fair access to economic professionals or experts in
Women in Wind (WiW)—a and networking opportunities, opportunities. Gender-diverse regulation and standardisation)
collaboration between GWEC and women are empowered to take economies demonstrate resilience account for roughly 5% and 20% of
the Global Women’s Network for on key positions and drive in the face of challenges such as the workforce in onshore and
the Energy Transition (GWNET)— change. climate change, offering offshore wind, respectively.
has evolved into a global initiative. adaptable solutions through Administrative personnel make up
With a vision of attaining 50% 3. G
 lobal Ambassadors Program: diverse perspectives. the smallest share (4% and 8%,
gender parity in the wind sector WiW appoints global respectively).
by 2030, aligned with SDG5, WiW ambassadors to advocate for WiW’s global and holistic
aims to foster a more inclusive gender equality, raise approach prioritising Fostering a diverse and inclusive
and diverse wind industry through awareness, and mobilise empowerment, representation, workforce in the transition
a series of initiatives: support for women in wind. and advocacy paves the way for a Diversity, equity and inclusion (DEI)
These ambassadors serve as more equitable and sustainable is an imperative across the wider
1. EqualWIND Global Campaign: role models and champions for future. energy sector. Diversity
Launching in 2024, the seven- diversity, inspiring others to join encompasses different dimensions,
year global campaign aims to the movement towards gender including gender, ethnicity and
advance women’s parity. ability. As with the JET, countries
representation in the wind will face different challenges and
sector. By encouraging 4. L
 ocal Network: The WiW opportunities in this area,
stakeholders to endorse the chapter network strives to depending on sociocultural norms,
EqualWIND Pledge and commit provide women in the wind demographics, public and private
to providing data that guides industry with a platform for resource for DEI, and the existence
the sector towards achieving localised support through of vulnerable or marginalised

100 GWEC.NET
 Chapter 4: Communties and social acceptance

communities within the workforce crucial for ensuring that women the Business & Human Rights enacting a JET through enhanced
already. One of the overarching are more fairly represented in the Resource Centre has identified 276 dialogue, investment, education
inequities that exists is the gender wind sector. instances of human rights abuses and governance:
imbalance in the energy workforce, across the mining practices for
with a greater majority of men than Covering the whole of the cobalt, copper, lithium, The industry should increase
l 

women in the overall workforce as supply chain manganese, nickel and zinc from outreach initiatives to foster a
well as in senior positions. As the wind energy industry grows 2010-2020.94 diverse, equitable and inclusive
into new geographic and workforce. It is vital that the wind
The proportion of women in the technological domains, its The wind industry must also take sector is publicly recognised as
renewable energy workforce is expansion will also impact the responsibility for governing and an attractive and welcoming
approximated to be around 32%, upstream segments of the supply stewarding its own highly place to work by those at different
with 21% specifically in the wind chain, particularly rare earth globalised supply chain through career stages, from apprentices
energy sector.92 This compares elements (REEs) mining and consistent strong and consistent to graduates to executive talent.
unfavourably with the average 22% critical mineral production monitoring, high procurement Interventions may be needed in
share of women in the oil and gas communities. The increased standards that align with company culture, recruitment
industry. As with the wider energy demand for wind turbine international benchmarks for good practices, DEI guidance for
sector, there is a higher proportion components and rise in practice, regular auditing and companies, mobility and
of women in more junior parts of manufacturing capacity for wind other means of ESG assurance flexibility schemes, and other
the value chain. energy will drive higher demand (see Chapter 2 recommendations). areas to leverage women talent
for specific materials, including as well as minority groups in the
This is a systemic issue which REEs such as neodymium, workforce.
reflects education access and dysprosium, and praseodymium as
sociocultural norms, as well as well as critical materials like Recommendations to secure a just Cooperate on enhancing social
l 

career and workplace copper, nickel and zinc.93 and equitable transition dialogue and stakeholder
opportunities and conditions. To The conversation around JET engagement on the energy
address this, various tools such as In order to ensure that the wind continues to evolve among transition at the national and
mentorship programmes, industry operates sustainably and governments, civil society, industry local levels. Creating space for
normalising female leadership and with good governance across the and other stakeholders in the social dialogue and increasing
targeting inclusion of females in wind supply chain, sufficient global energy transition, for stakeholder engagement helps
STEM subjects in academia need policy interventions and example via the JETP initiatives, the to support social cohesion
to be expanded. These efforts are regulatory frameworks need to IEA’s People-Centred Clean around the transition agenda.
be advanced to ensure the Energy Transitions programme, the Stakeholders include displaced
92. IRENA, Wind energy: A gender perspective, 2020 protection of mining and EU’s Just Transition Fund and more. workers, residents of host
93. Global Wind Report, GWEC, 2022. production communities as communities of local projects,
94 Transition Minerals Tracker, Business and Human Rights
Resource Centre, 2021. https://www.business- demand for these materials The following recommendations and members of affected
humanrights.org/en/from-us/briefings/transition- increases. For instance, the for action are not exhaustive, but communities such as the fishing
minerals-tracker-global-analysis-of-human-rights-
policies-and-practices/ Transition Minerals Tracker from provide a starting point for industry for offshore wind.

GWEC | GLOBAL WIND REPORT 2024 101

 Chapter 4: Communties and social acceptance

labour mobility and upskilling, in

Human resources and occupational requirements for 50 MW onshore and 500 MW offshore fixed-bottom offshore
wind projects line with SDG 8.95

Public-private collaboration on
l 

governance and standards for

Project Procurement & Installation and Operations and Human Resources
planning manufacturing
Transport
grid connection maintenance
Decommissioning
Requirements mining and production
4%
Onshore wind
5% communities in the renewable
Onshore Wind
(for 50 MW) energy supply chain to ensure a
28% safe and decent environment
144 420 63%
Person-days for workers. At the international
2% 17% 1% 30% 43% 7%
level, there should be alignment
Offshore Wind
8% around the guidelines for working
Offshore Wind
(for 500 MW)
19% conditions and practices in
mining and production
2.1 mio 52%
communities that will be
1% 59% 11% 24% 5% Person-days 21%
impacted by the increased
Lower certification STEM professionals
Non-STEM professionals Administrative
demand for energy transition-
related critical minerals, such as
Sources: Leveraging local capacity for onshore wind, IRENA 2017. Leveraging local capacity for offshore wind, IRENA, 2018.
via the UN Guiding Principles on
Business and Human Rights.
National-level dialogue on the displacement in the phaseout of l  Tailored pathways to re-
need for a JET should be fossil fuels. Governments should skilling or training for access These recommendations will likely
sustained to ensure that the work with the wind industry to to wind industry jobs from evolve as the transnational
imperative for renewable energy facilitate local industrial supply carbon-intensive industries. conversation on a JET engages new
is understood as a national chain reviews and foster the Training and assistance to domains and communities.
priority for all, with the creation of decent and workers, including re- However, they represent an initial
possibility of integrating JET productive jobs for workers, as certification for wind industry agenda for the global wind energy
objectives into climate/energy well as appropriate plans for occupations, could be designed industry and a commitment that as
strategies. areas where fossil fuels-based under public-private the industry expands around the
economic activity will decline. collaboration to identify world, it must align with the concept
Incentivise public-private
l  This includes the creation of a communities of need and match and practices of a JET to ensure that
collaboration to generate viable local supply chain, with these with anticipated workforce wind energy retains sustainable
local value creation. schemes to incubate businesses gaps. Collaboration should aim development and social harmony
Subnational regions that and local skills and capabilities to support career progression as guiding principles.
depend on the production of for the wind sector, such as pathways for workers in the
coal, oil and gas for revenue favourable loans and promotion fossil fuel industries into 95. S
 DG 8: Promote sustained, inclusive and sustainable
economic growth, full and productive employment and
may face economic of industrial clusters. renewable energy to encourage decent work for all.

102 GWEC.NET
 Chapter 4: Communties and social acceptance

MARKETS TO WATCH

GWEC | GLOBAL WIND REPORT 2024 103

 Markets to Watch

Australia
Australia has some of the world’s than all of Australia’s remaining and
best wind resources, with wind ageing coal-fired power stations.
speeds reaching 12 m/s in offshore Meanwhile, the Australian Climate
areas like the Bass Strait.96 The Council reports that the
country has 13.5 GW of installed deployment of offshore wind
onshore capacity, though the means 8,000 new jobs annually for
Australian Energy Market Operator Australian workers from 2031.98
estimates that twice the current
amount of wind capacity will be Regional areas with significant
required by 2030 to meet energy infrastructure and skilled
electricity demand.97 labour, such as the Hunter Valley,
Illawarra, Gladstone, Port Kembla,
While no offshore wind is currently Newcastle and Latrobe Valley,
operational, the World Bank would see the creation of many
Group-ESMAP has identified more jobs and economic prospects.
than 2,900 GW of offshore wind Around 90% of those employed in
technical resource potential off the marine business and 70% of
Australia’s shores. It is expected those employed in the traditional
that 2 GW of onshore wind will be power generation sector already
added annually from 2024 to 2030, possess the fundamental skills
with an additional 2 GW to be required to work in offshore wind
added in 2032. and would be able to transition to
such positions with no training.99
Offshore wind holds immense
potential to meet Australia’s power Since 2022, the government has
demand and to transform the announced the establishment of
energy landscape in the country, many offshore wind zones around
and the wider region. If all of the the country, including Gippsland
proposed offshore wind farms are (Victoria), Hunter (NSW), Southern
built, they would collectively be Ocean (Victoria), Illawarra (NSW),
capable of producing more energy Bass Strait (Tasmania) and Indian
96. https://www.ga.gov.au/scientific-topics/energy/resources/other-renewable-energy-resources/wind-energy.
97. Australian Energy Market Operator, 2022 Integrated System Plan.
98. https://www.climatecouncil.org.au/resources/offshore-wind-fact-sheet/
99. Star of the South, Making the move to offshore wind: A guide for workers, 2023.

104 GWEC.NET
 Markets to Watch

Ocean of Bunbury (Western been developed in consultation published by the Albanese

Australia). The first feasibility with landholders, communities government in March 2024. The
licensing process results of and stakeholders. Preferred announced area, however, was
Gippsland, which kicked off in transmission project options will reduced in size significantly from
2022, will soon be announced by be announced in 2024; the original proposed area, with
the federal government. maximum capacity decreased as a
Workforce opportunities across
l  result from 14.6 GW to 2.9 GW.
Victoria moves to the next stage all stages of offshore wind farm
for offshore wind development, meaning jobs for This leads to several projects
With the announcement to join Victorians in trade professions, being placed on an uncertain
Global Offshore Wind Alliance in engineering, administrative and future. For example, Bluefloat’s
August 2023,100 Victoria continues other roles; Southern Winds project totalling
to spearhead offshore wind 1.55 GW, located near port
development in Australia. In A fit-for-purpose regulatory
l  Macdonell, is outside of the
December 2023, the state framework is also being declared area. Similarly, the 1.5
published an implementation developed to support the GW Cape Winds project off the
statement for offshore wind, industry to ensure the coast around Cape Bridgewater
specifying a plan to achieve at environment is protected as the and Portland is also outside of the
least 2 GW of offshore wind by industry grows; declared area.
2032, 4 GW by 2035 and 9 GW by
2040.101 A competitive procurement
l  The decreased size is due to
process to maximise local concerns about the impact of
The implementation plan provides content while adapting wind farm development on the
greater certainty to industry on requirements to reflect the early fisheries industry in the area,
establishing local operations, and stages of the sector’s particularly the $187.5 million
outlines several support areas for development in Australia; ($123.7 million USD) rock lobster
offshore wind: industry, as well as other marine
Renewable Jobs Taskforce to be
l  life. The reduced zone was
Parameters for the proposed
l  established, which will coordinate recommended by an
support package for the first industry engagement and environmental group, with the
tranche of offshore wind projects participation across offshore wind rationale of balancing cultural
in Victoria; projects. heritage protections and
protection of sensitive ecosystems
An update on VicGrid’s approach
l  Stronger alignment to address
to the coordination of concerns over wind expansion 100. https://www.premier.vic.gov.au/victoria-joins-global-
leaders-offshore-wind.
transmission using its Options The latest announcement for the 101. Victoria State Government, Offshore Wind Energy
Assessment Method that has Southern Ocean area was Implementation Statement 3, 2023.

GWEC | GLOBAL WIND REPORT 2024 105

 Strap

facilitate greater communication

There is a need for more between the industry and the
communities. Under the initiative,
guidance for developers on how a benefit-sharing scheme for
state and federal processes will renewable energy projects was
initiated to integrate renewable
coordinate. energy developments into local
communities in ways that are
positive, rewarding and beneficial
such as the Bonnet Upwelling, a for both project proponents and
significant blue whale feeding local communities.
area.
The Australian federal and state
This is not the first setback for the governments are highly supportive
industry. In January 2024, a of wind power and are working
renewable energy terminal at Port together to grow the sector. Given
of Hastings was rejected by the that the federal government controls
environment minister due to offshore territory while the state has
concerns about “the large areas of jurisdiction over onshore matters,
wetland being destroyed or including decisions such as the
substantially modified by offshore rejection of the Port of Hastings as
windfarm development”.102 The Victoria’s port to be developed for
Victorian government set aside $27 offshore wind industry services,
million ($17.8 million USD) in its last there is a need for more guidance
budget to progress the for developers on how state and
development of offshore wind, with federal processes will coordinate.
a support of wind construction and
delivery of up to 1 GW per year. The industry is committed to
However, according to the minister, supporting the Australian
this plan was deemed to damage governments at the national and
the habitat of waterbirds, migratory state levels, as well as collaborating
birds, marine invertebrates and fish. with local residents to ensure an
enabling environment for wind
Efforts are underway to ensure energy development.
positive support for wind energy.
102. https://www.theguardian.com/environment/2024/
Industry association Clean Energy jan/08/tanya-plibersek-blocks-victorian-government-
Council has created an initiative to port-hastings-wind-turbine-plan.

106 GWEC.NET
 Strap

Azerbaijan
Azerbaijan’s capital is set to host
the UNFCCC-convened COP29
conference in November of this
year. After some deliberation over
the next host country, nations
agreed on Baku as the location to
progress global climate talks after
the tripling renewables goal was
set at COP28 in 2023.

The Minister for Ecology and

Natural Resources in Azerbaijan,
Mukhtar Babayev, previously an
executive at the State Oil Company
of the Republic of Azerbaijan
(SOCAR), has been designated as
President of COP29.

With wind energy referenced in the

last cover decision as a key climate
change mitigation technology, the
wind industry is now set to stage a
major intervention at the COP29
conference in Azerbaijan to
promote the role of wind in driving
decarbonisation through 2030 and
beyond.

The Azeri energy transition

Azerbaijan’s economy has relied
heavily on revenue from oil and
gas exports for several decades,
with exploration of oil and gas in
the Caspian Sea as a key

GWEC | GLOBAL WIND REPORT 2024 107

 Markets to Watch

economic activity since the 1990s. on-track to achieve these markets in the wider region such renewable energy and green
Baku is a member of the OPEC+ targets.105 as EU and Turkey. hydrogen; with China’s CGGC
and primarily exports its fuel group for renewable energy; and
supply to parts of Europe. Potential for offshore wind with As Azerbaijan’s current electricity with Total for onshore wind, solar
deep reforms generation already covers the and storage.108
Azerbaijan owns one of the There is hope for a less carbon- country’s domestic demand,
world’s largest gas fields, Shah intensive profile for the incoming moving from technical potential to As a country dependent on oil and
Deniz in the Caspian Sea, and is COP29 host nation. Current actual deployment of offshore gas exports, Azerbaijan faces an
expected to extract 411 billion analysis identifies potential for wind will depend on long-term important moment as COP29 host
cubic meters (bcm) of gas over offshore wind generation, although decarbonisation ambitions and a to demonstrate commitment to
the next 10 years – with potential reaping this oportunity would willingness to transition away from climate action on the global stage.
to emit the equivalent of all global require implementation of domestic fossil fuel resources.107 Offshore wind offers a potential
aviation emissions produced in significant policy reforms, platform to do so, but only if
2015.103 The EU and Azerbaijan infrastructure buildout and Despite most investment benefiting backed by political will to diversify
are mutually exploring the investment frameworks. fossil fuels, in January 2023 SOCAR the energy mix, long-term planning
establishment of the Southern and the United Arab Emirates’ for cross-sector decarbonisation
Gas Corridor to export gas via According to the World Bank, state-owned developer Masdar and an investment/collaboration
Georgia and Turkey to Europe. Azerbaijan has technical offshore entered a partnership on offshore framework for buildout of critical
wind resource of around 157 GW wind and green hydrogen projects grid and infrastructure.
The nation’s reliance on fossil fuel (across 35 GW of fixed-bottom in Azerbaijan. Under a joint
energy sources is evident, offshore wind and 122 GW of development agreement, they aim
constituting just under half of its floating offshore wind), equivalent to develop offshore wind and
GDP, just over half of government to more than 20 times its current hydrogen projects totalling 2 GW
revenue and more than 90% of installed electricity capacity.106 in capacity. The companies also
reported export earnings.104 signed joint development
In a high growth scenario for agreements on 1 GW of solar PV
The coming decades will present offshore wind, an estimated 7 GW projects and 1 GW of onshore
a challenge for the economy and could be installed by 2040 if wind. 103. https://www.globalwitness.org/en/press-releases/
energy system to transition to Azerbaijan pursues deep cop29-host-country-priming-pumps-huge-hike-gas-
production/.
renewable energy generation. decarbonisation of its heat and A raft of Memorandums of 104. https://www.france24.com/en/environment/20240107-
While no national net zero target transport energy demand, as well Understanding (MOUs) with the former-azerbaijani-oil-executive-sparks-controversy-
by-heading-cop29.
has been agreed, Azerbaijan has as upgrades its domestic Ministry of Energy also focus 105. https://www.worldbank.org/en/news/press-
pledged to cut its emissions by transmission network. Critically, cooperation on developing release/2023/11/24/investments-and-policy-reforms-
towards-low-carbon-transition-and-resilience-are-in-
40% by 2050 from 1990 levels, this offshore wind scenario would renewable energy, including: an azerbaijan-s-economic-interest-says-w.
and is targeting 30% of power also necessitate grid and agreement with ACWA Power for 106. https://www.worldbank.org/en/country/azerbaijan/
publication/offshore-wind-roadmap-for-azerbaijan.
generation to come from transmission infrastructure to onshore wind, offshore wind and 107. IEA, Azerbaijan 2021 Energy Policy Review, 2021.
renewables by 2030. It is not yet export this power to demand battery storage; with Fortescue for 108. https://area.gov.az/en/page/beynelxalq-emekdasliq

108 GWEC.NET
Brazil farms in operation and surpassing
30 GW of total installations. The
electricity matrix reached the
2023 was a pivotal year for the mark of nearly 84% from
renewables industry in Brazil, renewable sources, establishing
characterised by the resumption of the country as an international
post-pandemic activities, a new reference in clean energy
national government and transitions.
acceleration of offshore wind
planning. However, it also Wind has been recognised across
presented significant challenges, government ministries as a vector
including a major blackout in for Brazil’s new energy economy,
August and difficulties in restoring endorsed by important ministries
energy supply in São Paulo. These such as the Ministry of Mines and
events highlighted the urgent need Energy (MME), Ministry of Finance
for Brazil to improve aspects of its and Ministry of Development,
electrical system, such as Industry and Foreign Trade.
reliability and flexibility.
GWEC and ABEEólica are now
The country has garnered focusing on strengthening the
significant attention from the Brazilian wind production chain,
international community by placing which, in the last three years, has
the energy transition at the centre of been showing signs of weakening.
its growth and diplomacy strategy. It Manufacturers have relocated from
is now preparing to host the G20 the country or downgraded
presidency and Clean Energy production, due largely to a
Ministerial in 2024, followed by stop-go cycle of development in
COP30 in Belém in 2025. COP30 is the country and challenging
expected to focus on nature macroeconomic conditions.
conservation/restoration and However, over the last year,
implementation of mitigation targets. macroeconomic variables such as
inflation, job creation and GDP
Market status projection, have begun to improve.
For the third consecutive year,
Brazil achieved new wind records, The evolution of offshore wind
reaching 4.8 GW of new installed The year 2023 was also marked by
capacity, more than 1,000 wind important progress regarding the

GWEC | GLOBAL WIND REPORT 2024

 Markets to Watch

Offshore Wind Power Bill (PL What to expect in 2024

11.247 of 2018), which aims to After one year of the new
build a regulatory framework for government, the executive branch
offshore wind. The bill has been has created the Energy Transition
approved by the Chamber of Plan for Brazil led by the Minister
Deputies and is expected to pass of Mines and Energy, Alexandre
final approval in the Senate in the Silveira, as well as the Ecological
first half of 2024. Transformation plan led by the
Minister of Finance, Fernando
In addition to the bill, Brazil sent Haddad, and the industrial plan
important signals to the market by called “New Industry Brazil” led by
joining the Global Offshore Wind the vice-president and MDIC
Alliance (GOWA, an initiative Minister Geraldo Alckmin.
between GWEC, IRENA and the
Government of Denmark to raise In parallel, the legislative branch
countries’ offshore wind ambition), rushed to advance discussions on
forming an interministerial council important issues for the country,
to discuss offshore wind regulation such as the proposal that regulates
and signing up to the sideline the carbon market in Brazil (PL
pledge to triple global renewable 2148/15), the bill which regulates
energy capacity by 2030 at production of low-carbon
COP28. hydrogen (2308/2023) and the fuel
of the future program (PL 4516/23).
According to the Brazilian Institute
for the Environment and 2024 needs to be the year of
Renewable Natural Resources implementation, where planning
(Ibama), 96 offshore wind projects for the energy transition is put into
have requested environmental practice. It requires close
licensing, representing the strong collaboration between the public
appetite for development in Brazil. sector and the private sector, as
well as universities and civil
Looking ahead to the first seabed society, to ensure that the wind
area auction in the second half of industry, and renewables in
2024, GWEC and ABEEólica are general, can contribute with its full
bringing international experience potential to an economic,
of good practices and case studies ecological and social
to support a robust auction design. transformation in Brazil.

110 GWEC.NET
 Markets to Watch

China investments. This marks a new era

where clean energy (including
renewables, nuclear power,
the grid, representing year-on-
year growth of 102%. This
surpassed the previous record
China began planning large-scale
wind and solar power bases in its
northern provinces in 2021. Most
China has the world’s largest electricity grids, energy storage, set during the installation rush in of those power bases are in harsh
renewable power generation EVs, and railways) is becoming a top 2020, prompted by the phaseout environmental conditions, such as
system. According to the latest driver of China’s economic growth. of the FIT regime. By the end of the Gobi and other desert areas.
data from the National Energy 2023, China’s cumulative Now, the construction of the giant
Administration (NEA), the installed Retaining global leadership in installed wind power capacity bases is steadily advancing.
capacity of renewable energy in wind energy development reached 440 GW, or 43% of the
China had reached 1,450 GW by In 2023, China added 75.9 GW of total wind installations As of December 2023, the first
the end of 2023, surpassing the new wind power capacity into worldwide. batch of these mega bases has
installed capacity of thermal power
for the first time in China’s history. China’s 14th Five-Year Period Renewable Development Plan

The newly installed capacity of

renewable energy such as
hydropower, wind power, and
photovoltaic power generation in
China hit a record high of 290 GW
in 2023, accounting for over 80% of
the country’s newly installed power
generation capacity and
contributing more than half of
global added renewable capacity.109 Nei Menggu
Gansu

The installed capacity of wind and

solar power reached just over Qinghai
1,000 GW, up by a third from 58
GW in 2022 and contributing 15%
of total electricity generated in the Giant onshore wind/solar
energy bases
country in 2023.
Hunan Giant integrated energy bases
In 2023, renewable energy (hydropower/wind/solar)
generation investments accounted
Offshore wind bases
for 80% of all power project

109. IEA, Renewables 2023 Source: NDRC, NEA, 2021

GWEC | GLOBAL WIND REPORT 2024 111

 Markets to Watch

been completed and connected to projects will be promoted, authorities jointly issued the
the grid with a total installed especially across villages in the “Guideline on Promoting the
capacity of 45.16 GW. The second vast rural areas. This is also a Recycling of Decommissioned
and third batches, with approved crucial initiative for the rural Wind Power and Photovoltaic
total capacity exceeding 50 GW, vitalisation strategy under China’s Equipment.” The policy mandates
are expected to further solidify the 14th Five-Year Plan (2021-2025). that companies operating wind
dominant position of wind and and solar power generation assets
solar power in the country’s new Repowering and growth in line must take responsibility for
electricity generation capacity. with sustainable development disposing of their decommissioned
In June 2023, the NEA issued the equipment in compliance with the
In addition to these mega onshore “Management Measures for the relevant regulations.
wind bases in the northern Renovation, Upgrade, and
provinces, two integrated hydro/ Decommissioning of Wind Farms,” In the disposal process, equipment
wind/solar giant bases will be encouraging the renovation and should not be disposed of in
constructed in Southwest China. In upgrade of wind farms that have landfills or without proper
the eastern coast areas, offshore been connected to the grid for authorisation. Instead, companies
wind power is trending to transition over 15 years or have individual are required to carry out
from nearshore to deep-sea turbines with power rating below ecological environment restoration
locations and from individual 1.5 MW. The first wave of wind and ensure harmless disposal. By
projects to large-scale bases. project decommissioning will 2030, up to 30 million tons of waste
gather momentum in the coming from decommissioned wind and
The regulation for offshore wind years as wind turbines operating in solar power equipment will need
development in deep-sea waters is the early 2000s reach the end of to be recycled.
expected to be released in 2024. A their lifespan.
new round of offshore wind project Stricter carbon emission policies
planning and approvals has been Provinces including Gansu, China’s national carbon emissions
completed in coastal provinces, Ningxia, Fujian, Hebei, and trading market commenced
including Guangdong and Zhejiang are accepting operations in July 2021. The current
Zhejiang. applications for project repowering trading system covers 2,200 large
or decommissioning. It is emitters responsible for roughly
The industry anticipates that the estimated that from now to 2030, 4.5 billion tons of GHG emissions
newly installed capacity for China’s total repowering wind per annum.
offshore wind power will exceed power capacity will reach 100 GW.
10 GW in 2024, and growth Before the carbon market
momentum will be maintained One month later, the National expansion kicks in from May 2024,
through 2030. In the central and Development and Reform with aluminium and cement
Southeast regions, distributed wind Commission (NDRC) and other producers expected to be

112 GWEC.NET
 Markets to Watch

included, the State Council has of technology innovation and

released its “Interim Regulations bigger turbines, as it has in the
for the Management of Carbon West. Chinese OEMs continue to
Emission Trading.” These launch new turbines with greater
regulations aim to toughen rules power ratings and bigger rotors to
for industrial polluters participating remain competitive.
in its national carbon market,
including larger fines for entities OEMs like Mingyang, Haizhuang,
found to be falsifying data on Goldwind, Dongfang, Windey and
emissions reductions. Envision have already rolled out
offshore turbines in the 16–18 MW
China’s carbon market expansion range, with Mingyang most
can ensure the country reaches its recently launching its 22 MW
ambitious ’30-60’ target to reach turbine model, setting a new
peak emissions by 2030 and record for offshore wind. In
carbon neutrality by 2060. February 2023, Envision launched
Additionally, it assists Chinese the EN-220/10 MW model, and two
suppliers to comply with the weeks later, SANY rolled out the
international environmental 230/8-11MW prototype in Beijing
standards for industrial production. – at that time, the largest onshore
This is particularly important for wind turbine in the world. SANY
Chinese industrial players to meet broke its own record when a 15
global regulatory requirements on MW onshore model was launched
ESG as well as the newly enforced at China Wind Power 2023.
EU CBAM. Onshore turbines of 10 MW level
and offshore turbines in 16-18 MW margins, and by late 2023, some of in 2023, doubling the volume
Overcoming growing pains range have appeared in the latest the leading companies were reported for 2022.
More than 10 wind turbine auctions. showing negative EBIT margins
manufacturers are still active in and significant losses for their wind At China Wind Power 2023, the
China. Although the domestic China’s wind manufacturing turbine manufacturing business. Chinese wind industry
market is huge, competition has industry has made significant announced the “Declaration on
become increasingly fierce, with advancements, but it is not immune To survive the domestic price war, the Security of the Global Wind
record-low bidding prices to the challenges faced by the rest Chinese OEMs continue to explore Power Industry Supply Chain” to
repeatedly reported every quarter of the industry (see Chapter 2). opportunities overseas. According underscore commitment to
since 2021. The combination of declining to CWEA, Chinese wind turbine building a safe, stable and
power prices and a race towards manufacturers exported 5 GW of sustainable industry supply chain,
Price pressure has been a driver bigger turbines have undermined wind turbines to overseas markets as well as recognise the need to

GWEC | GLOBAL WIND REPORT 2024 113

 Markets to Watch

diversify the global supply chain body Chinese Wind Energy In the statement, both countries China’s scale and pace of wind
to improve resilience and support Association (CWEA) estimates noted that they “support the G20 growth have been major
countries to benefit from the that China’s newly installed wind Leaders Declaration to pursue contributors to cost reduction and
energy transition. capacity will be at least 75 GW efforts to triple renewable energy innovation in the wind sector to
in 2024 and potentially reach capacity globally by 2030 and date. As the world’s largest
Driving towards the tripling goal 150+ GW by 2030. intend to sufficiently accelerate renewable market and the largest
Guided by its “30-60” goal, the renewable energy deployment in supply chain hub for renewable
Chinese government has set the While China did not sign up to the their respective economies technologies, China is expected to
target that non-fossil energy sideline pledge to triple through 2030 from 2020 levels so play a crucial role in helping
sources will account for over renewables at COP28, President as to accelerate the substitution for achieve the global goal of tripling
80% of total energy consumption Xi Jinping did issue a joint coal, oil and gas generation, and renewable energy by 2030.
by 2060. Wind and solar PV statement with President Biden thereby anticipate post-peaking
capacity is expected to be 10 following a bilateral meeting at meaningful absolute power sector
times bigger than 2020 levels by Sunnylands, California, in emission reduction, in this critical 110. https://www.state.gov/sunnylands-statement-on-
that time. The industry trade November 2023. decade of the 2020s.”110 enhancing-cooperation-to-address-the-climate-crisis/.

114 GWEC.NET
 Markets to Watch

Egypt
Turbulent conditions
impacting offtake
Today, renewable energy makes
up about 11% of Egypt’s total
installed capacity, but this is set to
change. Egypt has ambitious
targets to reach 42% renewable
energy by 2035, and the
government recently announced
plans to increase this to 60%.

At COP27, Egypt signed off on

several large investments in the
wind sector, however given the
current economic and political
turmoil in the region, it is unclear the country have long-term comprising the 262.5 MW Ras government’s primary body
whether the agreed projects will government offtake PPAs with Ghareb Wind project, 250 MW responsible for promoting and
be implemented in the next 3-5 dollar-denominated tariffs. The West Bakr, 580 MW Gabal el Zeit, developing renewable energy,
years as planned. Egyptian Electricity Transmission and Egypt’s flagship wind project, developed both the Gabal el Zeit
Company (EETC), the sole the 545 MW project in Zaafarana. and Zaafarana wind projects. In
The recent devaluation of the electricity offtaker, is now less The Ras Ghareb wind project, 2023, the Egyptian government
Egyptian pound, an expected willing to agree to additional awarded by public tender, was the announced a plan to sell 32 state
second round of devaluation, dollar-based contracts. The Central first privately owned wind project assets, including these two state-
combined with reduced foreign Bank of Egypt has also set in Egypt, developed by a owned wind projects.
currency inflows from tourism and restrictions on transactions in consortium including Orascom
the Suez Canal, have all combined dollars and the Cabinet of Construction, Toyota Tsushu and In late 2023, an initial agreement
to create a shortage of dollars and Ministers is requiring the Central ENGIE. The second privately was reached between British
other hard currencies. In addition, Bank’s prior approval for any future owned wind project was investor, Actis, and the Egyptian
the war in Ukraine and the Gaza- government foreign currency developed by Lekela Power, since government for the sale of Gabal
Israel conflict have added further contracts. acquired by Infinity Power Holding el Zeit, which Actis plans to
strain on the geopolitical situation (IPH). expand. The first four phases of
in the region. Market status Zaafarana, which are nearing their
Egypt’s current installed wind The Egyptian New and Renewable 20-year end of life, have been
Most renewable energy projects in capacity is over 1.6 GW, Energy Authority (NREA), the offered to Maesrk, which is

GWEC | GLOBAL WIND REPORT 2024 115

 Markets to Watch

project in the Gulf of Suez region, worth of MOUs for large onshore The government is also in talks
the 500 MW Red Sea Wind Energy wind and green hydrogen projects. with Greece and Italy on possible
project. The project is sourcing its Progress on the large onshore interconnections through HVDC
wind turbines from Goldwind, wind projects have been subsea cables to export green
which is the Chinese supplier’s somewhat slow and have not energy to Europe. Although
first project in Egypt. advanced beyond the MOU stage. discussions are at an early stage, a
number of developers have
The Emirati-owned AMEA Power is Most green hydrogen projects will expressed their interest such as
constructing a wind project in depend on both solar and wind Copoulozos Group, Siemens
Egypt, the 500 MW Amunet wind projects to make the best use of Energy and Prysmian Group. An
project, using Envision wind Egypt’s renewable resources. export route to Europe will
turbines, also a first project for the Land has been allocated in the encourage future wind and solar
OEM in Egypt. Saudi’s ACWA West of Nile area for the pilot developments in Egypt.
power, along with its local partner, phases of the renewable energy
Hassan Allam Utilities (HAU), signed projects for green hydrogen. Market outlook
investing heavily in Egypt for a a PPA and Usufruct Agreement with Although the area has relatively Given the economic circumstances
large-scale e-fuels project and on the government for a 1.1 GW wind good wind resources, it has in Egypt, EETC is unlikely to enter
the lookout for renewable energy project, across two separate significantly lower capacity factors into agreements for new
sources. Although not confirmed, locations in the Gulf of Suez region. than that of Gulf of Suez. In government-offtake wind projects
the earlier phases of Zaafarana are IPH, a consortium of Infinity Energy addition, the grid infrastructure in in the near future. Furthermore,
expected to undergo repowering and Masdar, are inching closer to the West of Nile area is yet to be there is market speculation that
– a first-of-its-kind project in the agreeing on a 25-year PPA for a 200 developed, which may delay EETC is aiming to shift its role from
Middle East. The government MW wind project. plans for these projects come offtaker to Transmission System
plans to sell phases 4 to 8 of online. Operator (TSO).
Zaafarana to investors in the green Finally, Siemens Gamesa
hydrogen field, however no buyers Renewable Energy (SGRE) has an In 2022, Egypt announced plans to In a separate market development,
have been confirmed yet. MoU with the government for the construct the ’Green Corridor’, a EETC has been working closely
development of the NIAT 500 MW parallel electricity network with the EBRD on setting a
BOO scheme: Projects in the wind project and are looking to connecting all renewable energy structure for wheeling charges to
pipeline partner with another wind sources with a capacity reaching facilitate private bilateral offtake
There are several government developer to take this project 70 GW. Although the timeline for contracts, which will be used for
offtake projects in the development forward. this project remains unknown, it is the upcoming green hydrogen
and construction phase in Egypt, expected that all wind farms projects. Once this wheeling
under the government’s Build, Scaling up wind, hydrogen serving green hydrogen projects charge structure is in place, the
Own, Operate (BOO) scheme. The and grid in the country will be connected private offtake market is expected
Orascom consortium is At COP27, the Egyptian via the green corridor once to unlock new opportunities for
constructing its second wind government signed over 20 GW constructed. wind energy in Egypt.

116 GWEC.NET
 Markets to Watch

India over 2.8 GW onshore wind

capacity was commissioned – the
highest annual installation level
through single stage/e-reverse
auction bidding;

Driven by an overarching vision since 2017. GWEC expects Inter-State Transmission System
l 

under Prime Minister Modi, India continued recovery and has (ISTS) charges waiver up to June
is on a path to become a revised its onshore wind outlook 2025;
‘Developed Nation by 2047’. To for 2024-2028 to 22.8 GW. As per
achieve this vision, India has the National Electricity Plan of the Wind specific renewable
l 

introduced several strategic central government for the period purchase obligations (RPOs) from
initiatives, such as: “Self-reliant ending 2032, India’s installed wind 2023 to 2030;
India” through “Make-in India”; capacity is estimated to amount to
targeting 500 GW of renewable around 73 GW in 2026-2027 and Announced firm and
l 

energy capacity by 2030, including 122 GW in 2031-2032. dispatchable renewable power

140 GW of wind; reaching net zero supply tenders, as an upgraded
by 2070; and a ‘National Green Concluded wind and hybrid version of the round-the-clock
Hydrogen Mission’, among others. tenders affirm that there is a tender for renewable and storage
pipeline of more than 13 GW of projects;113
While thermal power continues to wind projects in India, as of
dominate the power generation September 2023. To advance the Mandated minimum share of
l 

mix, India is expected to more than attainment of targeted volumes of renewable energy consumption
double its onshore wind and solar annual wind and renewable for the electricity distribution
PV capacity by 2028 and achieve auctions, the central government licensees (DISCOMs)114 and the
its milestone of 50% non-fossil fuel has provisioned administration of ability for consumers to purchase
generation before 2030.111 auctions by public sector green electricity;115
undertakings (PSUs) such as
Onshore wind recovering from a NHPC, NTPC, Indian Railways,
growth slowdown SJVN and PTC. State utilities have 111. IEA, Renewables 2023.
112. https://cdnbbsr.s3waas.gov.in/
Globally, India ranks fourth in total announced standalone wind, RTC, s3716e1b8c6cd17b771da77391355749f3/
wind installations, with 45 GW of FDRE and hybrid auctions totalling uploads/2023/04/2023040359.pdf.
113. ‘FDRE gives a truly viable alternative to coal, hydro
installed onshore wind as of 21 GW of capacity in 2023.112 and other dispatchable power-based technologies for
January 2024. It is the second- power procurement. The key differentiator of FDRE
tenders from RTC/ESS tenders, is the enhanced
largest wind market in the Asia The step-upt in wind demand will clarity for the project developers on the quantum,
Pacific region after China. accelerate onshore wind growth, duration and PPA schedule aiding the developers in
efficiently sizing the system and tariff discovery.
alongside other policy enablers: 114. https://pib.gov.in/PressReleasePage.
In 2023, due to a range of policy aspx?PRID=2004184
115. https://cdnbbsr.s3waas.gov.in/
and institutional interventions by 10 GW of annual onshore wind
l 
s3716e1b8c6cd17b771da77391355749f3/
central and state governments, bids targeted from 2023-2027 uploads/2023/10/202310052144833558.pdf

GWEC | GLOBAL WIND REPORT 2024 117

 Markets to Watch

Total onshore wind installations and gap to reach 2030 wind target (GW)

140

74

2024-2030
22 Offshore
Wind
Tender
+10% Target
44.7
40.1 41.9
37.5 38.6 37.0
35.1
26.7

13.1

2010 2015 2018 2019 2020 2021 2022 2023 2024-2028 Gap 2030 Wind
Onshore Target
Wind
Outlook
Source: GWEC Market Intelligence

Improvements in the timely

l  Despite positive policy and payments, as well as land allocation.
disbursal of payments by regulatory momentum, the current The industry is also experiencing
DISCOMs; onshore wind forecast through the increased turbine prices due to
end of the decade still leaves a commodity price inflation and
Transmission planning to
l  sizeable gap between wind higher cost of financing.
integrate 48 GW onshore wind market growth and the
capacity by 2030; government’s 140 GW target of Addressing market barriers is key
installed capacity by 2030. to enabling offshore wind
A revised ‘National Repowering
l  Good progress has been made to
& Life Extension Policy for Wind A few challenges continue to deter finalise the first offshore wind
Power Projects - 2023’ to progress on onshore wind, seabed tender, including the
facilitate repowering of wind including state-level issues for right publication of the revised ‘Strategy
turbines. of way, PPA sanctity and delayed Paper for Establishment of

118 GWEC.NET
 Markets to Watch

Offshore Wind Energy Projects’ JVs, for example between ONGC Gearing up as an export hub fibre. For example, in January
showcasing three models to award and NGEL, L&T and Navantia, As the second-largest hub for 2024 at the Vibrant Gujarat
37 GW of capacity through 2030.116 NGEL and Gujarat Pipavav Port as onshore wind turbine assembly Summit, Reliance announced that
The offshore wind lease rules have well as Stiesdal and L&T for and key component production in it would set up India’s first carbon
been released as well, and in early floating wind and an energy the Asia Pacific, India is fibre facility at Hazira, Gujarat, for
February 2024, the central tender island. The Asian Development strategically well-placed for wind use in blade manufacturing in the
agency, SECI, announced offshore Bank (ADB) and World Bank are manufacturing expansion. It can wind sector.
wind seabed leasing of 4 GW reportedly exploring low-cost benefit from a “China + 1”
capacity in Tamil Nadu. financing for offshore wind in approach adopted by many Additionally, the successful award
India too. major supply chain actors. of offshore wind tenders is likely
Viability gap funding (VGF) has Domestic manufacturing is to attract investments in domestic
also finally been approved for an To achieve offshore wind sufficient to meet India’s own offshore wind manufacturing. The
initial 1 GW of offshore wind installation progress, India needs to onshore wind demand through attractiveness of financial and
capacity, in addition to an ISTS address key market barriers such 2030, leaving additional export non-financial incentives offered
waiver up to 2032. GWEC’s India as readiness of ports and grid and trade value ahead if India by the central and state
Offshore Wind Working Group has infrastructure, availability of can significantly scale up governments will be a
been proactively contributing vessels, supply chain or import manufacturing capacity. determining factor in this regard.
industry inputs on offshore wind strategy, assurance for offtake,
developments to authorities. streamlined permitting and India can make additional efforts
clearances, community partnership to reduce imports of a few large
116. https://cdnbbsr.s3waas.gov.in/
There is intense interest among and the availability of a local components such as castings, s3716e1b8c6cd17b771da77391355749f3/
PSUs to forge partnerships and skilled workforce. generators and pultrusion carbon uploads/2023/09/202309271030958532.pdf

GWEC | GLOBAL WIND REPORT 2024 119

 Markets to Watch

Japan
In 2023, Japan achieved its second-
highest wind power installations in
the last decade, marking a
significant milestone. With
cumulative installed wind capacity
of 5,213 MW from both onshore
(5,026 MW) and offshore (187
MW) wind projects, Japan has
solidified its position as a key
player in the Asia Pacific wind
landscape.

This growth momentum was

bolstered by two developments:
First, the results of the Round 2
offshore wind power tender
announced in December 2023
played a critical role. This tender
attracted major international
developers, with RWE emerging
as the first international Japan’s Round 2 offshore wind tender results
developer to win a project in
No. Sea area Winners Output (MW) FiP (JYP/ OEM Operational Base port
Japan, signalling growing kWh) date
confidence in the market. 1 Murakami-city/Tainai-city, l Mitsui&Co., 684 3 GE Haliade -X, June 2029 Niigata Port
Second, the Japanese Niigata Pref. l RWE Offshore Wind 18 MW
government’s increasing focus on l Japan, Osaka Gas

floating wind presents 2 Enoshima Saikai-city, l Sumitomo Co. 420 22.18 Vestas V236, August 2029 Kitakyushu Port
opportunities for market Nagasaki Pref. l TEPCO Renewables 15 MW

expansion. With intentions to 3 Oga-city/Katagami-city/ l JERA 315 3 Vestas V236, June 2028 Akita Port or
Akita-city, Akita Pref. J Power 15 MW Noshiro Port
expand offshore wind beyond
l

l Itochu

territorial waters into its l Tohoku Electric Power

Exclusive Economic Zone (EEZ), 4 Happou-cho/Noshiro-city, To be announced in March 2024 Akita Port or
Japan is poised for further Akita Pref. Noshiro Port
growth. Source: GWEC Market Intelligence.

120 GWEC.NET
 Markets to Watch

Round 2 tender results “zero-premium level” of 3 yen/ Japan Offshore Wind Development Areas within Territorial Waters
boost confidence in offshore kWh. It is likely that these projects
wind market will need to secure revenue from
The Round 2 offshore wind auction corporate offtakers. While this
results announced in December indicates increasing financial
2023 marked another significant viability without relying solely on
milestone for the Japanese wind government subsidies, it is 15. Ishikari, Hokkaido
energy market, injecting a shot of important to acknowledge that the 16. Gann-u and Minami-Shiribeshi, Hokkaido
17. Shimamaki, Hokkaido
optimism for international low FIP amount presents a 18. Hiyama, Hokkaido
developers. This auction, the first challenge for many players and 19. Matsumae, Hokkaido
20. Mutsu bay, Aomori Pref Auction already done (Round 1)
conducted under the Feed-in may jeopardise long-term project Under construction
1. Goto, Nagasaki Pref.
2. Noshiro-city, Akita Pref.
Premium (FIP) scheme, saw three sustainability and profitability. This 12. Aomori Pref. (Japan Sea North)
13. Aomori Pref. (Japan Sea South)
3. Yurihonjo-city, Akita Pref. (North)

out of four projects successful can in turn hamper innovation and 6. Happou-cho/Noshiro-city, Akita Pref.
Prepare
construction
4. Yurihonjo-city, Akita Pref. (South)
5. Choshi-city, Chiba Pref.
awarded. All three successful bids broader value creation for offshore
2. Noshiro-city, Akita Pref.
are bottom-fixed offshore wind wind projects. 7. Oga Kitakata, Akita-city, Akita Pref. Under biddng evaulation
projects scheduled to start 3. Yurihonjo, Akita Pref. (North)
4. Yurihonjo, Akita Pref. (South)
operation by August 2029 and with The Round 3 tender guidelines were
10. Yuza-machi, Yamagata Pref. Under auction (Round 2)
a total capacity of 1,419 MW.117 announced in November 2023, and 8. Murakami/Tainai-city Niigata Pref. 6. Happou-cho/Noshiro-city, Akita Pref.
are expected to feature an even 7. Oga Kitakata, Akita-city, Akita Pref.
8. Murakami & Tanai-city Niigata Pref.
The auction was a historic win for a lower FIP. The tender focuses on the 21. Kuji-city, Iwate Pref. 9. Enoshima/Saikai-city, Nagasaki Pref
25. East area, Toyama Pref.
consortium led by Mitsui & Co, designated promotion zones in 22. Awari-city, Fukui Pref.
Promoting Area
German energy giant RWE and Aomori Prefecture South (600 MW) 10. Yuza-machi, Yagamata Pref.
11. Isumi-city, Chiba Pref.
Osaka Gas, securing a 684 MW and Yuza Town Yamagata prefectures 12. Aomori Pref. (Japan Sea North)
wind farm off the coast of Niigata (450 MW). 13. Aomori Pref. (Japan South Sea)
14. Kujukuri, Hokkaido
5. Choshi, Chiba Pref.
prefecture. This marked the first 14. Kujukuri, Chiba Pref. 15. Ishikari, Hokkaido

successful bid by an international Venturing beyond Offshore

11. Isumi-city, Chiba Pref. 16. Gann-u and Minami-Shiribeshi, Hokkaido
17. Shimamaki, Hokkaido
developer in the Japanese offshore territorial waters Wind Power
Development
at General
18. Hiyama, Hokkaido
19. Matsumae, Hokkaiodo
wind sector and was followed by Currently, offshore wind Sea Area
Promoted in May 2023
RWE’s announcement of further development in Japan primarily
Upcoming Area
planned expansion in Japan. takes place within its territorial 20. Mutsu bay, Aomori Pref.
waters, which extend up to 12 21. Kuji-city, Iwate Pref.
23. Hibikinada Kitakyushu, Fukuoka Pref. 22. Awara-city, Fukui Pref.
The tender results revealed highly nautical miles from the coast and 24. Karatsu-city, Saga Pref 23. Hibikinada Kitayushu, Fukuoka Pref.
competitive price bids, with two cover approximately 430,000 square 9. Enoshima/Saikai-city, Nagasaki Pref. 24. Karatsu-city, Saga Pref.
1. Goto, Nagasaki Pref. 25. East area, Toyama Pref.
out of the three winning bids at kilometres. However, Japan’s EEZ,

117. The winner of the remaining 356 MW farm off the coast of Happo-Noshiro in Akita prefecture will be announced in
March 2024, as revisions to the plan are needed due to overlapping use for port facilities by another Akita project. Source: Japan Wind Power Association, 2024.

GWEC | GLOBAL WIND REPORT 2024 121

 Markets to Watch

spanning a significant 4.47 million Regulatory clarity and a clear supported by the Green Innovation current MW-scale floating wind
square kilometres – the sixth largest development roadmap will be Fund (GIF). About JPY 150 trillion projects, the industry has continued
in the world – offers vastly more necessary to ensure the effective ($1 trillion) of public and private to advocate for bigger floating
space for both bottom-fixed and and swift deployment of offshore investment is targeted for industries wind projects to ensure cost-
floating wind farm development. wind projects. The proposed including automotive, storage effectiveness and competitiveness.
legislation or a legal revision is batteries and renewable energy.118
The government has recently expected to move forward around As the government continues to
concluded that constructing wind the same time as the country’s However, the broader green move forward with its plans,
power facilities within the EEZ is marine strategy update in May 2024. investment policy currently lacks Japan’s wind energy market is
technically feasible, provided they alignment with the overall carbon poised for continued growth and
are backed by appropriate Accelerating commercial-scale neutrality goal, as funding is also innovation, further contributing to
domestic legal frameworks. This floating wind being allocated towards the country’s clean energy
positive assessment paves the way In October 2023, the government technologies which are debatable ambitions.
for the government’s planned announced four candidate areas for in terms of long-term
framework for responsible and demonstration floating wind decarbonisation potential such as
sustainable wind energy projects (Phase 2) with ammonia co-firing with coal and 118. https://www.reuters.com/markets/carbon/
japan-needs-invest-12-trln-decarbonisation-over-10-
development in the EEZ. approximately 30 MW per location, LNG-fired power generation. With yrs-industry-ministry-2022-05-13/

122 GWEC.NET
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Kenya from the previous year, making it

the third most important source of
generation behind geothermal and
Kenya’s installed capacity and generation mix, as of June 2023

Kenya has become a renewable hydropower. 5% 3% 2% 5% 3% 0%

energy champion for the African
25% 45%
continent, under the leadership of The 310 MW Lake Turkana 11%
10% Geothermal
President Ruto and with flagship project alone is the largest plant Hydro
platforms like the inaugural Africa of any technology on the grid, as Installed Electricity Thermal
Wind
Climate Summit hosted in Nairobi well as the largest wind farm in capacity mix generation mix Solar
12% in Kenya 17% in Kenya
in September 2023. It was at this Africa, providing nearly 13% of Imports
2022/23 2022/23 Bioenergy/Biogas
summit that African Heads of the electricity generated in Kenya. WHRC
State and governments agreed on The other wind farms in the 23%
the Nairobi Declaration on country are the 25.5 MW Ngong
Climate Change and Call to Wind and 100 MW Kipeto Wind 19%
19%
Action. This Declaration called projects.
upon the international community
Source: Electricity Sector Association of Kenya (ESAK)
to contribute to increasing Africa’s There have been changes in the
renewable generation capacity ownership structures of the two
more than five-fold, from 56 GW private wind farms with Biotherm announced plans to build a 1 GW
in 2022 to at least 300 GW by renewables, owner of the Kipeto wind park in Marsabit County with Wind power is expected to play
2030. wind farm and itself owned by an initial capacity of 200 MW. This
Actis, being purchased by a area is close to the Lake Turkana a significant role in supporting
Wind power is expected to play a consortium of Engie and project, with a similar high the renewable energy goals of
significant role in supporting the Meridiam. The Lake Turkana wind capacity factor expected.
renewable energy goals of the farm has also seen the entry of Independent power producers the Nairobi Declaration.
Nairobi Declaration, and is already Milele Energy and Blackrock (IPPs) are expected to add an
a major source of generation in Group, with the exit of Finfund, additional 150 MW by 2027. Plans
Kenya. Norfund, IFU, Vestas and other are also underway for the There are developers working on
shareholders. expansion of the Kipeto and Lake wind projects targeted at distant
Market status Turkana Power projects. loads via the transmission system.
Wind energy in Kenya accounts for A promising outlook for The Energy and Petroleum
more than 12% of the installed wind power However, the plans for new-build Regulatory Authority is aiming to
power generation capacity in There have been announcements and expanded projects will be introduce regulations for wheeling
Kenya (grid and captive), as of of new large-scale wind projects limited by the securing of offtake of electricity in the Kenyan grid.
June 2023. In terms of generation, ahead, although the next projects and the availability of sufficient These are expected to spur the
wind power provides around 17% are not due for commissioning until transmission capacity and captive wind industry, where
of Kenya’s electricity, a 7% increase 2026. State generator KenGen capabilities. several projects are being

GWEC | GLOBAL WIND REPORT 2024 123

 Markets to Watch

planned to supply Power-to-X Kenya, for wind power to continue hydroelectric plants and thermal implementing agency of the
initiatives and directly supply expanding there is a need to plants to date, though there is a Kenya Green and Resilient
large industries. support the grid in ensuring push to install battery energy Expansion of Energy (GREEN)
stability and providing related storage systems (BESS) to supply programme, which will see the
With around 22% of installed ancillary services. This has been ancillary services. KenGen has generator build grid-scale
capacity coming from VRE in procured from legacy been appointed as the battery storage by 2026.

124 GWEC.NET
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The Philippines around 1.7 GW of new onshore

projects through 2026.

As one of the countries most The Philippines has been

vulnerable to the adverse impacts exploring offshore wind potential
of climate change, the Philippines since 2020, although progress in
has continuously affirmed its this area has been slower
dedication to energy security, compared to other renewable
self-sufficiency and the energy sources. Despite strong
acceleration of investments in technical potential, there are
renewable energy. hurdles in regulation, seabed lease
acquisition, grid connection, ports
To underscore this, the Philippine and supply chains. Additionally,
Energy Plan (PEP) aims for a 35% environmental impact assessments
share of renewables in the power and community engagement are
mix by 2030 and 50% by 2040. The critical considerations for wind
latest iteration of the PEP includes energy projects in the Philippines.
scenarios for offshore wind that
project a low-growth scenario of 19 The DOE, supported by the
GW and a high-growth scenario of executive branch, has established
50 GW by 2050. These projections specific frameworks and action
emphasise the expected impact of plans to drive offshore wind
offshore wind in addressing the development. In 2022, the Marcos
escalating energy demand of the
Philippines while supporting Priority workstreams underway to boost offshore wind development:
renewable energy and Permitting and Marine Spatial Planning With funding from the Energy Transition Partnership (ETP), the DOE has commenced with two important projects that will 1) produce a
marine spatial planning (MSP) tool to identify and map constraints in sea areas for offshore wind; and 2) develop a streamlined permitting
socioeconomic goals. process for offshore wind developers.
Infrastructure The DOE, National Grid Corporation of the Philippines (NGCP) and Philippines Ports Authority (PPA) are addressing port and transmission
Market status: Onshore and challenges, supported by the ADB. An ongoing assessment is evaluating 10 existing ports for expansion and upgrade to support offshore
offshore wind wind construction. Massive upgrades to the grid are also essential to accommodate capacities from renewable energy projects. Initiatives
The Department of Energy (DOE) such as the Smart and Green Grid System (SGSS) aim to develop a parallel grid capable of handling significant VRE capacities, notably
offshore wind. These infrastructure developments are exploring Public-Private Partnership (PPP) arrangements to expedite investments
has already approved 85.6 GW of
Supply Chain and workforce In 2024, GWEC is undertaking a study on offshore wind supply chain readiness in the Philippines, which will aid industry and policymakers
wind service contracts as of
in identifying strategic investment opportunities to scale up manufacturing and workforce.
December 2023, 63 GW of which
The Department of Environment and In February 2024, DENR released the latest guidelines for offshore wind developers to secure ECCs. Developers are now required to apply
are for offshore wind. Total onshore Natural Resources (DENR) for an interim ECC for the pre-development stage and then the enhanced ECC for the actual development phase. The interim ECC covers a
wind capacity stands at 443 MW, Environmental Compliance Certificate checklist of requirements specific to resource assessment, geotechnical studies and environmental baseline surveys.
though recent auctions committed (ECC) Guidelines

GWEC | GLOBAL WIND REPORT 2024 125

 Markets to Watch

Market development mechanisms for renewables in the Philippines

Renewable Energy Market (REM) Enhance Net Metering Green Energy Auction Program (GEAP)
Established by the DOE to facilitate the Allows end-users to generate electricity Competitive electronic bidding of RE capacities
compliance of the Mandated from RE-based systems up to 100kW
Participants with the RPS for own use and sell their excess to the grid GEA-1 (17 June 2022) GEA-2 (3 July 2023)
RE Awarded RE Awarded
On-Grid Rules Resource Capacity (MW) Resource Capacity (MW)
Solar 1,490.38 Solar-Ground 1,878.982
Biomass 3.4 Solar-Floating 9.390
Wind 273.20 Biomass 90.000
Hydro 99.15 Wind (onshore) 1,462.384
Total 1,866.13 Total 3,440.756

GEA —3 will invile Geothermal, Impounding Hydro,

Pumped-Storage Hydro and Run-of-River Hydro

Green Energy Option Program (GEOP) Preferential Dispatch Renewable Portfolio Standards (RPS)
Provides end-users the option to choose RE RE preference in wholesale for On-Grid Areas and Off-Grid Areas
resources as their source of energy electricity spot market dispatch
On-Grid
Must dispatch Mandates load-serving entities to
Solar, Wind, ROR source a minimum percentage of RE
Hydro (FIT or Non FIT) in their respective power supply portfolios

Priority Dispatch 2.52% starting 2023

Biomass, Geothermal Off-Grid
or impounding Hydro The minimum RE requirement is based
on the optimal power supply mix an
off-grid area

Source: DOE 2023 Energy Investment Forum, Energy Sector Updates and Investment Opportunities

administration removed foreign integrating all permits into the and administration procedures for
ownership restrictions, enabling Energy Virtual One-Stop Shop offshore wind contract awards,
100% foreign-owned companies to (EVOSS) platform. The DOE has including a provision for a
invest in renewable energy since released implementing maximum five-year Certificate of
development. Subsequently, guidelines delineating OSW Authority period for developers to
Executive Order 21 was issued, development stages and secure permits and conduct
streamlining the permitting permitting requirements. pre-feasibility studies.
process through a whole-of-
government approach. This policy In February 2024, the DOE Considerations for future offshore
framework empowers the DOE to published a draft Omnibus wind offtake
enhance permitting efficiency by Guideline detailing governance Sustaining momentum in the wind

126 GWEC.NET
 Markets to Watch

sector hinges on a robust offtake revenue outlook to attract

regime. The Green Energy investment. The DOE expects 6
Auctions Program (GEAP) serves GW of offshore wind capacity to
as the primary offtake mechanism be commissioned by 2030.
for onshore wind, offering a Collaboration between the DOE
transparent pipeline and tariff and NGCP is crucial to identify
structure. The inaugural auctions in suitable substation connection
2022 secured approximately 2 GW points – future offtake designs
of renewable energy capacity, with should consider a location-specific
delivery commitments spanning capacity approach.
2024 to 2025. Notably, 374 MW was
allocated to onshore wind at a Another key consideration is
ceiling rate of PHP 6.0584/kWh balancing competition with fair and
($0.11/kWh). sustainable remuneration for
developers. Comprehensive cost
The second round, concluded in mapping, incorporating input from
July 2023, saw 3.581 GW of stakeholders and financial
committed capacity, with deliveries institutions, is vital for project
scheduled from 2024 to 2026. This viability.
round, however, was
undersubscribed with only one- Lowering performance bond
third of allocations awarded; 3.5 requirements and mandating
GW of onshore wind was targeted, technical studies can alleviate
but only 1.46 GW of bids were financial burdens, allowing focus on
successful, due in part to a lower project de-risking. Tariffs should
ceiling tariff of PHP 5.8481/kWh also be indexed to maintain financial
($0.10/kWh). viability over the contract term.

Developers were reluctant to Despite the challenges ahead,

participate in the last auction round there is optimism about wind
due to tight timelines, low tariffs, energy development in the
stringent performance bonds and Philippines. With continued
grid constraints, according to a government support, favourable
GWEC survey. technical resource, technological
advancements and strengthening
As a new sector in the Philippines, market conditions, the sector is
offshore wind will require a stable poised for growth.

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 Markets to Watch

Saudi Arabia technology, the government has

set ambitious renewable energy
targets.
In 2016, Saudi Arabia’s wind
energy industry was practically
non-existent. Today, the country
The Kingdom of Saudi Arabia operates a 400 MW wind farm and
(KSA), the world’s second-largest Today, Saudi Arabia’s energy mix plans to reach 3.17 GW of installed
oil producer, is on an ambitious consists of <1% renewable energy, capacity within 3 years.122
path to diversify its economy and around two-thirds oil and around
energy mix. This path is part of the one-third gas. By 2040, the country The 400 MW Dumat al Jandal is
KSA’s effort to become a regional aims to generate half of its energy Saudi Arabia’s first utility-scale
hub for the energy transition, supply from renewable energy and wind energy project, recently
leading in investment and reach net zero by 2060. In 2021 it reaching its commercial operation
innovation in particular. was estimated that the Ministry of date (COD). Located in the Al Jouf
Energy’s spending on power and region, it is owned by EDF (51%)
Growth prospects for wind energy renewable energy projects would and Masdar (49%) and consists of
in KSA are strong, driven by the reach $293 billion by 2030, which 99 4.2 MW Vestas turbines. This
increasing energy demand is now expected to increase as flagship project also boasts one of
associated with its growing KSA has since doubled its the lowest wind energy tariffs in the
population and energy-intensive renewable energy targets. region, reportedly $19.9/MWh.
water desalination programme. By
2040, Saudi Arabia is expected to From nodding-donkeys to Dumat al Jandal is set to be the first
desalinate around 30 billion m3 of nacelles of many utility-scale wind farms in
water daily.119 Additionally, wind With wind speeds ranging from Saudi Arabia. The National
energy is poised to support the 6-8 m/s, Saudi Arabia’s onshore Renewable Energy Program
country’s new large-scale wind potential is estimated at (NREP) launched the Round 4
infrastructure projects such as around 200 GW across 7 different tender for three wind energy
NEOM. regions.120 In addition, the technical projects – Yanbu (700 MW), Al
offshore wind potential off Saudi Ghat (600 MW) and Waad al
In 2016, the government launched Arabia’s coasts is estimated to be Shamal (500 MW). In 2022, the
Saudi Vision 2030, a national plan up to 28 GW for conventional Saudi Power Procurement
to diversify its economy and fixed-bottom installations and Company (SPPC) shortlisted 18
reduce dependence on oil. 78GW for floating offshore wind companies, including major
Renewable energy, with wind installations.121 energy players such as Masdar,
playing a leading role, is a central
pillar of this strategy. Recognising 112. GWI, Global Water Market 2017, 2016.
120. Allhibi, Chowdhury, Zaid, Loganathan and Alam, Prospect of wind energy utilization in Saudi Arabia: A review, Energy
the environmental concerns Procedia, 2019; https://www.acwapower.com/news/saudi-arabia-is-unlocking-the-potential-of-wind-energy/.
associated with fossil fuels and the 121. https://gwec.net/wp-content/uploads/2021/06/Saudi-Arabia_Offshore-Wind-Technical-Potential_GWEC-OREAC.pdf.
122. https://masdar.ae/en/renewables/our-projects/dumat-al-jandal; https://www.saudigulfprojects.com/2022/12/
potential for cost-competitive wind saudi-arabia-announces-pre-qualified-bidders-for-3-3gw-round-4-renewable-energy-projects/.

128 GWEC.NET
 Markets to Watch

Sumitomo, and Marubeni. A few and significant network

large Saudi Arabian developers, development. There are also
such as ACWA Power and Alfanar, environmental impact challenges
have also been shortlisted. Projects to mitigate, including the potential
are expected to reach operations impact of wind farms on bird
by 2026. migration and local wildlife.

NEOM, the futuristic smart city, is The growth outlook for wind
at the forefront of the renewable In December 2023, the KSA
energy push in Saudi Arabia. government announced a target of
NEOM is developing a 2.2 GW 20 GW renewable energy capacity
green hydrogen project in Tabuk, additions annually up to 2030, as
northwest Saudi Arabia, using a part of achieving 130 GW or 50%
combination of wind, solar and renewable generation by 2030.
storage to cater to the project’s According to the Ministry of
energy needs. The Neom Green Energy, there are 1,200 sites
Hydrogen Company (NGHC) is a identified in various regions for
joint venture between NEOM, pre-development preparation in
ACWA Power and Air Products. the country to further initiate solar
The project’s 1.37 GW wind farm is and wind projects.
currently in its construction phase
and expected to be fully The next 3-4 years will be critical
operational by 2026, with the first for evaluating Saudi Arabia’s
batch of Envision turbines success in diversifying its energy
delivered at the port of NEOM in production and investing in
October 2023. renewable energy industries such
as solar and wind. Renewable
While Saudi Arabia boasts strong targets need to be coupled with
wind resources and optimistic sound national policies that
renewable energy goals, the facilitate the extensive roll-out of
country faces several obstacles in renewables and provide a
realising its wind energy potential. conducive environment for further
Its grid system will need to adapt investments. If Saudi Arabia’s
to a higher share of VRE, and the model is successful, it will set a
country’s infrastructure for wind precedent in the Middle East for
farms is still in its early stages, other oil-dependent countries to
demanding specialised expertise follow.

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 Markets to Watch

South Korea on a “feasible and balanced power

mix” has also revived nuclear
power to achieve carbon neutrality.
lacks transparency, with project
owners being required to navigate
through 29 different laws from 10
South Korea has demonstrated a different government ministries
strong interest in leveraging its Offshore wind market status and authorities with little criteria
renewable energy potential to South Korea boasts an abundant guidance.
contribute to its energy transition. 624 GW of technical potential for
Its 57 coal-fired plants are a major fixed-bottom and floating offshore Although a Marine Spatial Plan has
source of air pollution, and its wind, largely concentrated in the been in place since 2020, the areas
heavy dependence on fossil fuel West, Southwest, South and allocated to energy development
imports and energy price volatility Southeast regions, as well as on are limited, and it remains up to the
strengthens the country’s need to Jeju Island. project owners to select sites
step up its clean energy pursuit. viable for project development.
Current operational capacity However, site exclusivity granted
Since 2017, the South Korean stands at 133 MW, or just 1% of its by the authorities through a Public
government has introduced several 2030 installation target, suggesting Water Permit will only occur once
key initiatives to reduce energy urgency to speed up the the project receives an Electricity
generated from coal and support development and construction Business License (EBL).
the growth of renewable energy. timelines. Significant challenges
The Carbon Neutrality Act in 2021 related to the permitting legislative As authorities assess the level of
locked in South Korea’s framework, local consensus, grid local consensus garnered,
commitment to achieve net zero by connectivity and infrastructure are significant delays have been
2050. To realise this, over 60% of hindering the efficient deployment attributed to opposition from local
total power generation must be of offshore wind. Wider supply communities and the fishing
sourced from renewables. chain challenges and increasing industry. As of December 2023,
costs could also lead to delays. 22.6 GW of EBLs had been issued,
Under the 10th Basic Plan for out of which only 203 MW of
Power Distribution published in Permitting challenges and the projects have reached a final
2023, the Ministry of Trade, “One-Stop Shop Bill” investment decision, demonstrating
Industry and Energy (MOTIE) The key regulatory frameworks the severity of this roadblock.
announced a target of 21.6% of governing the renewable energy
renewable energy in South Korea’s sector in South Korea include the The Offshore Wind Power
total energy mix by 2030, and 14.3 “Electricity Business Act” and the Promotion Act, more commonly
GW of installed offshore wind “Act on the Promotion of the referred to as “OSS Bill”, has had
capacity. At the same time, the Development, Use and Diffusion of three iterations proposed by
current administration under New and Renewable Energy”. The representatives from both main
President Yoon Suk Yeol’s position permitting process is complex and political parties seeking to

130 GWEC.NET
 Markets to Watch

streamline the permitting process prompting MOTIE to announce

and introduce government-led site plans to stabilise the REC market
selection. While it is clear that in 2024.
MOTIE recognises the need for
reform, the bill has not yet passed. In December 2023, the second
round of tendering by KEPCO for
A ‘two-track system’ is likely to be fixed-price contracts for onshore
implemented, given the bulk of and offshore wind concluded. Four
projects that will contribute to the successful offshore project bidders
2030 target will be developer-led. with a cumulative 1.5 GW capacity
However, the government has not are expected to enter into a REC
ruled out disqualifying licenses for sale and purchase agreement with
projects that are assessed as the RPS obligator within 36 months.
inadequate for development, for There was an emphasis on price
example for projects that have not highlighted in the evaluation
gained local consensus. criteria (60 out of 100 points), and
ambiguity remains on the non-
Current procurement schemes price factors worth 40 points.
The renewable portfolio system
(RPS) replaced South Korea’s FIT in Continuing wind power
2012, mandating power generating momentum
facilities with installed capacity Excessive focus on reducing costs
over 500 MW derive a minimum and the lack of strategic support networks, as well as the upgrade of
proportion of their power through for supply chains in qualifying for grid and port infrastructure to A ‘two-track system’ is likely to
renewable sources. Renewable subsidies may have longer-term make them suitable for the large
energy suppliers obtain renewable implications for South Korea’s volumes of onshore and especially be implemented, given the bulk
energy certificates (RECs) in MWh supply chains. In addition to offshore wind in development. of projects that will contribute
units, the value of which realising wind power potential, the
differentiates between offshore and country needs strategic industrial Increasing awareness of the to the 2030 target will be
onshore wind. planning and incentive-based economic benefits associated with
approaches to facilitate an the deployment of wind energy
developer-led.
RECs are purchased by generators industrial transformation that and stronger inter-ministerial and
according to their mandated RPS serves the growing needs of the bipartisan collaboration would also
quota; additional RECs can be renewable energy sector. unlock challenges associated with
traded on the spot market. The gaining local consensus for
spot price of RECs has risen by This should ultimately include projects and keep existing projects
nearly 50% from 2022 to 2023, strategic support for supply chain on-track.

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 Markets to Watch

The US highlighting the need for

permitting reform and transmission
expansion.
pitfalls, including what effect a
potential Trump presidency would
have, is an essential exercise when
US over the next 7 years,
compared to the expected 390
GW in February 2023. Breaking
The historic Inflation Reduction Act analysing the future of the wind this figure down, onshore wind
(IRA) package has propelled the While it is clear the IRA – and its industry. represents 23% of the market,
US to the forefront of the energy significant investment incentives growing from 7.5 GW in 2024 to 16
transition, creating a ripple effect – cannot be replicated by most Taking stock of IRA-related GW in 2030 and offshore wind
throughout the world, impacting countries in the world, its present progress expectations are approximately 14
supply chains and the renewable and future achievements serve as Due to the IRA, power market GW by 2030.
energy investment landscape. real-time case studies for the consultants such as BloombergNEF,
Domestically, the IRA is socio-economic benefits of S&P Global and Wood Mackenzie Utility-scale solar accounts for 53%
transforming the American energy deploying more clean energy. now expect 408 GW of utility wind, of the forecast, from 25 GW in 2024
system, from grid modernisation to Tracking its progress and its solar and storage to be built in the to 36 GW in 2030, while the energy

132 GWEC.NET
 Markets to Watch

storage market, in which GE Vernova, Siemens Gamesa and marking the lowest level since high-capacity factors. In 2023,
standalone storage can now claim Vestas have a combined capacity 2014. The US installed 6.4 GW of several US offshore wind projects
the Investment Tax Credit (ITC), to assemble approximately 15 GW wind in 2023, just less than half the under development encountered
expects to add 81 GW by 2030, annually. This is 15% higher than volume it had installed two years financial difficulties due to inflation,
capturing 20% of the market. the previous year, primarily due to earlier in 2021. supply chain constraints, interest
GE Vernova’s newly inaugurated rate increases and other
One the primary objectives of the nacelle manufacturing facility in Cumulative operating onshore macroeconomic factors.
IRA is to develop domestic Schenectady, New York, from wind power has now reached
renewable energy supply chains. where the company’s largest above the 150 GW mark, but wind Many projects had locked in
To date, 123 new manufacturing onshore turbine will be rolled out installations are experiencing a contract prices prior to the
facilities or facility expansions have for the US onshore wind market. slowdown due to market saturation pandemic, the unprecedented
been announced since the in certain areas, and permitting inflation that followed it and the
passage of the legislation.123 This The US still depends on specific and development delays in others. higher cost of commodities.
includes 12 onshore wind power imports to meet domestic demand, Furthermore, the first generation of
manufacturing facilities, 9 offshore trading primarily in the wind Recent reports and analysis from offshore wind energy contracts did
wind facilities, along with 78 solar sector with Mexico, Germany, American universities and media not include inflation adjustment
facilities, 20 grid-scale battery India, Spain and Denmark. In 2023, outlets show rising local opposition factors, despite being 20- to
storage facilities or facility the US onshore wind industry to renewable energy projects. 25-year contracts. This
expansions and 4 grid connection imported $1.5 billion of wind According to analysis from USA combination of factors, plus
facilities. From this total, 44 facilities equipment across five product Today, at least 15% of all counties permitting delays, created serious
have either completed or are areas: blades and hubs, generation in the country have effectively economic issues for contracted
currently under construction. Once parts, generation sets, nacelles and halted new utility-scale wind, solar projects that had not yet reached
all in operation, these 120+ towers. It is worth noting that or both.125 These blocks come as construction.
facilities will support nearly 42,000 blades and hubs hold the the result of outright bans,
new manufacturing jobs.124 dominant share with over $900 moratoriums, construction Despite a tumultuous year for the
million imported in 2023. However, impediments and other conditions American offshore wind market,
Focusing on the US’ domestic wind imports fell 34% in 2022 and a standing in the way of renewables the outlook is still positive. The next
market shows the IRA is building further 26% in 2023 – marking the projects, posing a significant tranche of offshore wind contracts
on a solid foundation. At present, lowest levels of import volumes in barrier to the federal government will be able respond to today’s
there are 16 active primary the past 10 years as local target to achieve 100% renewable economic landscape by including
(blades, towers, nacelles) wind capabilities have expanded. energy by 2035. inflation adjusters and taking a
manufacturing plants located regional approach to procurement,
across 12 states. Moreover, there Addressing the IRA’s key Despite financial headwinds, a
are over 450 wind-related growth enablers resilient offshore wind market 123. According to American Clean Power.
manufacturing facilities in the US While the IRA injects optimism into Offshore wind is an essential 124. https://cleanpower.org/investing-in-america/.
125. https://eu.usatoday.com/story/news/
supporting more than 20,000 the future wind outlook, 2023 saw a technology for the country’s clean investigations/2024/02/04/us-counties-ban-renewable-
manufacturing jobs. decrease in installation growth energy future due to its scale and energy-plants/71841063007/.

GWEC | GLOBAL WIND REPORT 2024 133

 Markets to Watch

as pioneered by the states of Investing in a modernised, Atlantic Offshore Development’s

Massachusetts, Connecticut and resilient, renewables-based grid (MAOD’s) petition seeking
Rhode Island. The electricity grid in the US is transmission rate incentives for its
more than a century old and in 230-kV substation and adjacent
The Biden administration has a need of modernisation. Many of land required to interconnect up to
goal of approving 16 Construction the cables, towers, substations and four HVDC converter stations. This
and Operation Plans (COPs) by other components are 50-70 years $193 million transmission project is
2025. As of February 2024, six old and past their useful lives. meant to connect offshore wind
COPs have been approved. To These outdated and stressed with an onshore substation in the
achieve current market systems have left the grid Pennsylvania-New Jersey-
projections of 42.3 GW of offshore vulnerable to blackouts during Maryland interconnection.
wind energy by 2035, 12 COPs increasingly common extreme
need to be approved by the end weather events such as drought, Reconciling progress with pitfalls
of 2024. extended heatwaves, wildfires and The world’s most significant piece
extreme cold conditions. of climate legislation in recent
New York awarded 4 GW of years was never going to have an
offshore wind offtake in October Progress is being made on grid easy road for implementation, but
2023 and announced in February buildout and modernisation in early indicators are positive. The
2024 the selection of two ‘shovel- parallel to the significant pipeline of response to the investment signal
ready’ re-bid projects in the fourth renewables projects. There are at sent by the IRA has been strong,
offshore wind solicitation, sending least 22 high-voltage transmission spurring record investment into
a positive signal to the industry that projects in development across the wind and renewable energy
a recalibration of expectations country, such as the Gateway projects and factories as well as
between public and private sector project that will transport electricity grid infrastructure.
has been achieved. from wind energy from Wyoming to
Southern California and the Pacific The biggest single challenge
New Jersey awarded 3.7 GW in Northwest. The Grain Belt Express remains winning over the hearts
January 2024 and has upcoming project, which was recently awarded and minds of the American public,
solicitations this year. ‘FAST 41’ status by the Federal and disentangling an evidence,
Massachusetts, Connecticut and Permitting Improvement Steering science and economics-based
Rhode Island will award capacity Council, will deliver renewable energy transition from culture wars
for a joint solicitation in August energy generated in Kansas to and identity politics. The coming
2024. Maryland has a solicitation neighbouring power pools. year, including the election period
in July 2024. Maine, California, ahead, will be a true test of the
Carolina and Louisiana In yet another example, the Federal strength of the IRA, and the
solicitations have yet to be Energy Regulatory Commission resilience of the American energy
scheduled. (FERC) recently granted Mid- transition.

134 GWEC.NET
 Markets to Watch

Vietnam 2050, a pledge made by the Prime

Minister at COP26 in 2021. The
next step is to have a PDP 8
Following a difficult year for wind Implementation Plan and detailed
in 2022 in Vietnam, 2023 showed regulatory framework to turn these
some positive developments. targets into reality.

Early in 2023, Vietnam issued a Market status: Onshore and

new price ceiling for “transitional intertidal wind
projects” (projects which have a In addition to the roughly 5 GW of
PPA but missed the October 2021 onshore and intertidal projects
FIT deadline), which resulted in installed by end of 2023, there is
822 MW of onshore and intertidal another 3 GW of transitional
projects being commissioned by projects in the process of PPA
year-end. While the tariff is negotiation with Vietnam Electricity
considered too low by most (EVN). The Ministry of Industry
developers, their choices were and Trade (MOIT) issued the price
few (some cash flow versus no ceiling for these projects (about intertidal wind projects can be 2,500 MW in the North, 500 MW in
cash flow). 20-25% lower than the previous FIT constructed. The PDP 8 Centre, 2,500MW in South Central
prices) and each project must Implementation Plan is being and 1,000 MW in the South.
The government also issued the renegotiate a new PPA with EVN. drafted by MOIT and the
long-awaited Power Development government aims to approve it In addition, the PDP 8 also has a
Plan VIII (PDP 8) in May. The PDP 8 The terms of the new PPA are within the first half of 2024. New target for offshore wind projects
sets the energy strategy for the viewed as less favourable for wind projects must also enter into a for export. While there isn’t a
country for the period of 2021-2030 developers. For example, MOIT PPA negotiation process with EVN specific volume designated for
with a vision to 2050. It includes a only allows projects that have all to determine the price – a process offshore wind, the total electricity
target for onshore wind of 21.8 GW necessary permits to dispatch which will remain until MOIT issues export capacity for renewable
by 2030, up from the roughly 5 GW during the negotiation process and a new auction mechanism for wind energy is estimated to range
of installed capacity by end of 2023. they will enjoy a tariff of only 50% projects in the coming years. between 5-10 GW by 2030. One
The target for offshore wind is 6 of the ceiling price in this period. project has already been
GW by 2030 (with no installations The difference between the 50% Market status: Offshore wind identified and received a site
currently), rapidly increasing tariff and the final tariff will be paid Vietnam does not have any real survey license: PTSC &
thereafter to 91 GW by 2050. once the negotiations are finished. offshore wind projects, only Sembcorp, linked to the
intertidal projects located near to governments of Vietnam and
These ambitious targets for wind The government needs to issue the shore. The 2030 target for Singapore, respectively, was
energy reflect the commitment of new policy and legal frameworks offshore wind in PDP 8 is very approved as a special case by the
Vietnam to transition to net zero by before any new onshore and ambitious, divided by region: Prime Minister.

GWEC | GLOBAL WIND REPORT 2024 135

 Markets to Watch

The regulatory framework for demand. The government has government also started the
offshore wind in Vietnam is under- been struggling to keep up with construction of a $1 billion, 519-km
developed. Coupled with the power demand and in the period 500 kV grid line to connect the
typical development and of May-June 2023 in the northern south with the north, due to be
construction timeline of 6-8 years region of Vietnam there were finished in June 2024.
for offshore wind projects, blackouts. According to the World
achieving the connection of the Bank, these blackouts caused The entire grid needs significant
first generation of offshore wind by manufacturing companies to lose upgrades to be able to absorb
2030 will be challenging. approximately $1.4 billion, or 0.3% new wind, solar and other projects.
of the country’s GDP. 126 As such, grid investment of
The development of the new legal approximately $3 billion annually
and regulatory frameworks is The main reasons for the until 2030 was identified in PDP 8.
time-consuming, and potentially blackouts were hydropower plant
new law(s) are needed, which in operational issues due to El Niño COP28 and the Just Energy
Vietnam typically takes 2-3 years. causing low rainfall, as well as Transition Partnership
Many of the new regulations also large thermal projects down for At COP28 in Dubai, the Prime
cross multiple ministries and maintenance. In addition, while Minister of Vietnam issued the
government departments. there was more than 20 GW of Resource Mobilization Plan (RMP)
Recognising these hurdles, GWEC new wind and solar projects built for Vietnam’s JETP, which includes
has been advocating for the from 2018-2023, MOIT highlighted offshore wind as a focus area. The
establishment of an inter- that most renewable energy RMP lays out the strategy to deploy
ministerial task to accelerate the projects are concentrated in the the $15.5 billion committed by the
process – a measure which the central and southern regions. International Partners Group (IPG)
government initiated in late 2023. Furthermore, the capacity of the to support Vietnam in its energy
grid system is not sufficient to transition journey, half of which will
GWEC has proposed a type of transmit the energy from south to be mobilised among private
fast-track or pilot mechanism to be north when needed. investors.
applied for the first offshore wind
projects. The government has The government has recognised Vietnam was also one of the 132
signalled that it is open to a pilot these problems and has made a countries to sign up to the sideline
scheme, but what shape this will strong commitment to ensuring pledge to triple global renewable
take is still unclear. sufficient electricity supply in the energy capacity by 2030. GWEC is
northern region in 2024. Policies working closely with the
Challenges with grid now include reserving water in the international community to support
management hydro dams, and preparing fuel Vietnam in its achieving its goals,
126. W
 orld Bank, Taking Stock: Making Public Investment
Vietnam is a relatively fast-growing and maintenance plans for the including the country’s journey to
Work for Growth, 2023. economy with rising electricity thermal power plants. The net zero by 2050.

136 GWEC.NET
 Markets to Watch

MARKET STATUS

GWEC | GLOBAL WIND REPORT 2024 137

 Market Status

Overview New installations

GW
50%

116.6 GW of new wind power Despite North America retaining 116.6

capacity was added to the power third place, its market share Onshore 10.8
grid worldwide in 2023, 50% more decreased by five percentage Offshore
than in 2022, bringing total points due to onshore wind 95.3 93.6
6.9
installed wind capacity to 1,021 installations in the US dropping to 21.1
GW, a growth of 13% compared their lowest level since 2014. Brazil 77.6
with last year. had a record year in 2023 and Latin 8.8
America remained the fourth- 60.8
New installations in the onshore largest market with a 5% global 6.2
wind market passed the milestone market share in 2023, followed by
of 100 GW while new offshore Africa & Middle East (0.9%).
wind capacity commissioned last 54.6 88.4 72.5 68.8 105.8
year reached nearly 11 GW, The world’s top five markets for new
making 2023 the highest and the installations in 2023 were China, the
second-highest year in history for US, Brazil, Germany and India.
new wind installations for onshore Compared with 2022, the only
and offshore, respectively. change is that India overtook fifth
place, a position previously held by
Thanks to the strong rebound of Sweden. Together, the top five 2019 2020 2021 2022 2023
new installations in China and markets made up 80% of global
India, Asia Pacific consolidated its new installations in 2023, collectively New capacity in 2023 installed by New capacity 2023 and share of top
region (%) five markets (%)
position as the world’s largest wind 9% higher than the previous year.
market last year with 71% global This is primarily due to China’s
market share, experiencing a 15% global market share surging by 16% 1% APAC China
Europe US
YoY growth compared with 2022. points compared with 2022. North America 1% 12% Brazil
5% LATAM 1% Germany
As the second-largest market, The top five markets by total wind 7% Africa & ME
2% India
Netherlands
Europe commissioned 18.3 GW of power installations at the end of 2% Sweden
16% 2% France
new wind power capacity, of which 2023 remained unchanged: China,
2% Canada
16.2 GW in the EU-27, the US, Germany, India and Spain 116.6 GW 71% 3% 116.6 GW UK
Other
representing a record amount for together made up 72% of the 4%
the bloc. However, Europe’s global world’s total wind power 5%
market share declined by 9% YoY installations in 2023, the same 65%
in 2023. percentage as the previous year.

138 GWEC.NET
 Market Status

Onshore Wind Market –Status 2023 New capacity 2023 and share of top five onshore
markets (%)

2023 saw annual onshore wind every province with the same 2024, with a strong onshore market Top 5*
Other
installations surpass the 100 GW regulated price as coal power. expected to return from 2025.
milestone for the first time. With After two years of relatively low
105.8 GW of new onshore wind growth, onshore wind installations In addition to China and the US, the 18%
capacity added to the grid last in China finally bounced back in top onshore wind markets were
year, global cumulative onshore 2023 with grid-connected wind Brazil (4.8 GW), Germany (2.4 82%
105.8 GW
wind capacity reached 945 GW, a capacity surpassing 69 GW, a new GW) and India (2.8 GW).
YoY growth of 12%. record. Such explosive growth has
demonstrated that the country is ‘Grid parity’ in China, tax credits in
Asia Pacific and Latin America had on track to reach its ‘30-60’ target the US and auction/tenders
a record year mainly due to the of peak emissions by 2030 and elsewhere remain the top three
outstanding performance of China carbon neutrality by 2060. market support mechanisms *China, US, Brazil, Sweden and India
and Brazil. Although Europe and behind the new onshore wind
Africa & Middle East did not beat In the US, the IRA propelled capacity added in 2023,
the previous record, the two renewable energy investment collectively accounting for a
regions still experienced their across the country, including in the combined 95% market share, 4%
second-best years in new onshore domestic wind supply chain. higher than the previous year. New capacity 2023 by market support
wind installations last year. Developers installed more new Feed-in Tariff support schemes mechanism (%)
wind capacity in the fourth quarter gained a small amount of market
Total onshore wind additions in than the previous three quarters share compared with 2022, mainly
North America, however, dropped combined, and only 6.4 GW of due to Japan achieving a record China (grid parity)
by 16% in 2023 compared with the onshore wind capacity was added year in onshore wind installations. Auction/tenders
4% US (PTC)
previous year. The decline was last year, the lowest level since 1% FiT
driven primarily by the slowdown 2014. After record installation levels Excluding China, in 2023, onshore 6% Other
of onshore wind growth in the in 2020 and 2021, the amount of wind capacity awarded worldwide
world’s second-largest wind power new capacity entering the onshore through wind-specific, technology-
market – the US. wind pipeline has stalled. Wind neutral, renewable and hybrid 23%
installations last year were auctions increased by 73% 105.8 GW
66%
Since 2021, China’s onshore wind depressed by market saturation in compared with 2022. The total
development has been driven by a certain areas and delays caused by reached 23.7 GW, of which more
market support mechanism called permitting, supply chain than half was in Europe.
‘grid parity’, meaning that constraints, inflation and grid
electricity generated by onshore interconnection. However, the The total onshore wind volume
wind would be remunerated in situation is expected to change in awarded in 2023 amounted to 6.4

GWEC | GLOBAL WIND REPORT 2024 139

 Market Status

The total onshore wind

volume awarded in
2023 amounted to
6.4 GW in Germany,
nearly double the
volume awarded in the
previous year.

GW in Germany, nearly double the

volume awarded in the previous
year. This progress is credited to a
higher bid price ceiling and the
implementation of EU emergency
measures that improve and
streamline permitting to further
accelerate renewable energy
projects. However, to shed the EU’s
dependence on Russian fossil fuels
while meeting climate targets, the
current volume of annual wind
power auctions in Europe is not
enough and their pace needs to
speed up further.

China approved 27.5 GW of

onshore wind capacity under the
‘grid parity’ mechanism in 2023,
with another 51 GW of announced
onshore wind capacity under the
same support mechanism expected
to be approved by the provincial
governments this year.

140 GWEC.NET
 Market Status

Offshore Wind Market –Status 2023 New offshore installations (MW)

10.8 GW of new offshore wind mainly due to an intervention only one unit was commissioned.
capacity was fed into the grid from the central government,
worldwide last year, bringing the starting in Q2 2023, to ensure that France commissioned 360 MW of
l 
CAGR +14.8%
total global offshore wind capacity the offshore wind industry would offshore wind in 2023. At the
to 75.2 GW by the end of 2023. develop at a healthy pace. Fécamp (250 MW) and Saint- 21,106
New additions were 24% higher Brieuc (496 MW) wind farms, 49
than the previous year, making Europe had a record year in
l  SGRE offshore wind turbines 2,317
2023 the second-highest year in 2023, with 3.8 GW of new were grid-connected. The
offshore wind history. offshore wind capacity from 11 remaining turbines (84 units) are 1,001

wind farms commissioned across expected to be commissioned

China led the world in annual
l  six markets accounting for most later this year. 1,764

offshore wind developments for of the new capacity.

the sixth year in a row with 6.3 Denmark installed 41 units of
l 

GW added in 2023, bringing its The Netherlands commissioned

l  SGRE’s SG-8.0-167 DD wind 257
342
total offshore wind installations to 1.9 GW of offshore wind capacity turbines at the Vesterhav Syd and 1,111 10,852
1,312
38 GW, 3.7 GW (11%) higher in 2023, replacing the UK as the Nord wind farms in the North Sea 1,715
752 833
than Europe. Last year was the region’s largest market in terms last October, with the two small 8,771
752
second year since the Chinese of new additions. More than 170 projects fully commissioned at 237
2,671
1,179
offshore wind market entered the units of SGRE’s SG-11 DD the beginning of this year. 6,243
6,852
era of ‘grid parity’. Following a offshore wind turbines were 483 939
70% YoY decline in new connected across the zHollandse In the German Baltic Sea, the
l  1,764 2,216
16,900
installations in 2022, GWEC Kust Noord (760 MW) and the Arcadis Ost 1 offshore wind
1,111
Market Intelligence predicted Hollandse Kust Zuid 1-4 (1.5 GW) project comprising 27 Vestas 5,052 6,333
752
that the offshore wind growth wind farms. V174-9.5 MW offshore wind 3,845
momentum would return last turbines was fully connected to 2,493
year. This was based on around The UK connected 833 MW of
l  the grid before the end of 2023. 123 60 888 1,259 758
12
15 GW of offshore wind contracts capacity offshore, of which 820 2019 2020 2021 2022 2023
having been awarded to wind MW from the remaining wind In Norway, the remaining four
l 
US Other Asia China
turbine OEMs in 2022 and more turbines at the 1.1 GW Seagreen SGRE SG-8.6-167DD wind Other Europe Germany UK
than 30 offshore wind projects, and 13 MW from the 1.2 GW turbines, which were installed on
totalling 14.8 GW, being under Dogger Bank (phase A) projects. a concrete SPAR-type floating
construction in China by Q1 Seven Haliade-X 13 MW offshore foundation at the 94.6 MW The offshore wind market has grown from 1.6 GW in 2013 to 10.8 GW in 2023,
taking its market share in global new installations from 4% to 9%. GWEC Market
2023. However, last year ended wind turbines were mechanically Hywind Tampen floating wind Intelligence expects the global offshore wind market to continue to grow at an
up being relatively flat. This was installed at the latter last year, but project, were connected last year, accelerated pace (for details, see Market Outlook).

GWEC | GLOBAL WIND REPORT 2024 141

 Market Status

making it the world’s largest installed by Hanjin last year. In Europe, Germany awarded 8.8
floating wind project. GW of offshore wind via a zero-
The US is the only market with
l  subsidy tender. Out of this, 7 GW
Elsewhere, a total of 13 MW of
l  offshore wind in operation in the across four sites was centrally
floating wind capacity was Americas. GE Vernova installed pre-surveyed and featured a
commissioned in 2023. It six Haliade-X 13 DD offshore ‘dynamic bidding’ system. The
included a 2MW floating demo, wind turbines at the 806 MW remaining 1.8 GW awarded across
DemoSATH, in Spain and two Vineyard Wind 1 wind project, four sites was not centrally pre-
units – a 7.25MW anti-typhoon and SGRE also installed a few surveyed. Ireland awarded 3.1 GW
machine from Mingyang and a 4 turbines at the 130 MW South of offshore wind capacity through
MW wind turbine from Shanghai Fork Wind project before the end its first offshore wind energy
Electric – installed on three- of last year. However, no offshore auction, ORESS 1. Following suit,
column semi-submersible turbines were commissioned in France awarded 1 GW of offshore
floating platforms in China. 2023 according to American wind for the Centre Manche 1 site,
Clean Power (ACP). and Lithuania awarded 700 MW
Outside of China and Europe,
l  from its first offshore wind auction.
three other markets In total offshore wind installations,
l 

commissioned new offshore wind China took the crown from the UK No energy companies submitted
capacity last year. Taiwan (China) in 2021 and further consolidated bids to the UK’s CfD Allocation
commissioned 692 MW of its global market share in the past Round 5 (AR5) auction last year,
offshore wind turbines across two years. Germany, the primarily due to the strike prices
Formosa II, Yunlin, Greater Netherlands and Denmark are being too low and not reflecting
Changhua 1 & 2a and Changfang the other three markets that make rising costs. In response to the
Phase 2 in 2023. In Japan, all the up the top five, as was the case in challenges facing the wind
turbines at the 140 MW Akita 2022. industry, however, the bid price
Noshiro Port wind farm were ceilings under CfD AR6 were
installed by the end of 2022, but Allocation mechanisms increased to £73/MWh (€83.9/
the 55 MW Akita Port project was With 39.4 GW of offshore wind MWh) for bottom-fixed offshore
not commissioned until the end of capacity awarded worldwide, 2023 wind and to £176/MWh (€202.3/
January 2023. Additionally, the was a record year. Excluding MWh) for floating offshore wind.
Nyuzen offshore wind project, China, where 18.2 GW of offshore
consisting of three units of wind projects were allocated Moving beyond the turbulence
Mingyang’s MySE 3.0MW under the ‘grid-parity’ mechanism, in 2023
typhoon-proof wind turbines, was 21.2 GW of offshore wind capacity In 2023, a ‘perfect storm’ battered
completed last October. In South was awarded through auctioning, the offshore wind industry.
Korea, one unit of 4.2 MW of which 15.5 GW in Europe, 4 GW Challenges such as inflation,
offshore wind prototype was in the US, and 1.4 GW in Japan. increased capital costs and supply

142 GWEC.NET
 Market Status

chain constraints including for Commonwealth Wind, Park City experienced in 2023, governments agreements with the state and
vessels created uncertainty in the Wind and SouthCoast Wind – saw and developers have retained their re-bid in the latest procurement
sector, forcing developers to their offtake agreements commitments to develop offshore round to negotiate new 25-year
renegotiate signed project terminated or the whole project wind. It is the industry’s consensus contracts.
contracts and, in some cases, to development cancelled. that the worst has passed, and the
even terminate offtake agreements offshore wind sector has entered In the UK, the government
and stop project development due Four projects located in New York 2024 poised for a new wave of announced in March 2024 that it
for construction in the next five tried to renegotiate their PPA price growth. would provide GBP 800 million
years (2023-2027). last year, but their request was (EUR 936 million) to support
denied by the New York State In the US, the New York State offshore wind in the CfD AR6,
In addition to the 1.4 GW Norfolk Public Service Commission. Energy Research and which is expected to procure
Boreas offshore wind farm that had However, the state launched its Development Authority approximately 4-6 GW of offshore
won the UK’s CfD AR4 auction in fourth, expedited offshore wind (NYSERDA) selected in February wind. According to GWEC Market
2022, ten offshore wind projects solicitation in December 2023 and 2024 Equinor’s Empire Wind 1 Intelligence’s global wind auction
totalling 10.9 GW off the east coast allowed projects that previously (810 MW) and Ørsted and database, 2024 will be a record
of the US were affected by supply petitioned the Commission for Eversource’s Sunrise Wind (924 year in offshore wind auctions, with
chain and financial challenges. Of financial relief to participate. MW) projects in the state’s fourth more than 60 GW of offshore wind
these, five projects totalling 5.5 offshore wind solicitation. Both capacity expected to go through
GW – Ocean Wind 1&2, Despite all the turbulence projects had previously secured auctions and lease processes.

GWEC | GLOBAL WIND REPORT 2024 143

 Market Status

All regions increased new installations, except Annual wind installations (onshore
and offshore combined) increased
in all regions except North
North America and Europe America and Europe in 2023, with
a YoY growth rate of 50.3%.

Onshore wind: Asia Pacific and

l 
Changes in new onshore and offshore installations, 2022–2023 (GW) LATAM had a record year in 2023
with YoY growth rates of 106%
2.1 116.6 and 21%, respectively. Last year
36.7 -2.2 1.1 0,6 -2.2 1.9
1 also saw onshore wind installation
in Africa & Middle East increase
by 182% compared with 2022,
while new onshore wind capacity
added in North America and
Europe in 2023 dropped by
15.6% (1.5 GW) and 13.4% (2.2
77.6
GW), respectively. New
installations in Canada increased
by 71% last year, but US onshore
wind installations went down to
their lowest level since 2014. The
decline in Europe was primarily
due to lower installations in
Finland, Spain, Turkey and
Sweden compared with the
previous year.

Offshore wind: New offshore wind

l 

installations increased by 24%

(2.1 GW) compared with 2022,
which was mainly due to the
recovery of the Chinese offshore
wind market (25% YoY).
Total 2022 China US LATAM Africa, ME Europe India Other Offshore 2023 Additionally, the Netherlands set
onshore onshore onshore onshore onshore onshore onshore a record with nearly 2 GW of new
capacity commissioned in 2023.

144 GWEC.NET
 Market Status

Actuals 2023 vs GWEC forecast

Actuals for 2023 vs GWEC forecast
China onshore
After the Chinese market was fully reopened by the end of 2022, we expected onshore wind installations in China to bounce
back in 2023, as more than 80 GW of onshore wind capacity was awarded to Chinese turbine OEMs through auctions in
2022. Although installation activities were slowed down due to government’s intervention in Q2 2023, recent Chinese NEA
statistics shows that almost 70 GW onshore capacity was grid-connected last year. Actuals 2023
Forecast Q3 2023
USA onshore
Although the IRA signed into law in August 2022 has propelled the renewable energy investment in the US including the
investment in domestic wind supply chain, only 2.7 GW of onshore wind capacity was added in 9M 2023, the lowest since

27
2018. After record installation levels in 2020 and 2021, the amount of new capacity entering the onshore wind pipeline has

,3
69
stalled. Additionally, some onshore wind project development was delayed last year due to the clarification on domestic
content bonus credit guidance was not released until May 2023.

India onshore
Onshore wind market continued to recover in India in 2023. The country installed 2.4 GW onshore wind power in the first 10
months of 2023. However, the new onshore wind installations in 2023 is still lower than our Q3 2022 projection, which is

00
primarily driven by grid related delays as well as a 200 MW project cancellation caused by litigation..

,0
55
Germany onshore
Germany aims for increased share of renewables in electricity generation to 80% by 2030 as per the revised Renewable
Energy Act (EEG 2023) to reduce reliance on Russian fossil-fuel imports. Driven by the strong political will as well as the
improved situation on permitting, the country installed 2.5 GW of onshore wind capacity in the first three-quarters and added
another 1 GW into the grid in the last one, making 2023 the best year in new installations since 2018.

Brazil onshore
The Brazilian wind industry has demonstrated a strong resilience during the COVID 19 pandemic and the political turbulences.
New onshore wind installations record has been reported every year since 2021. Same as the previous years, the strong
growth in 2023 was primarily driven by the free market through private PPA..

France offshore
According to project plans, the 496 MW Saint Brieucoffshore wind project and the 497 MW Fécampoffshore wind project
were expected to be commissioned in 2023. Although all the turbines have been installed at Saint Brieucproject by end of
2023, only 136 MW was commissioned. The Fécampoffshore wind farm did start producing the first electricity last July, but
only 224 MW were commissioned by the year end according to turbine supplier SGRE.

UK offshore
GWEC Market Intelligence expected that the remaining offshore turbines (totalling 820 MW) at the 1.1 GW Seagreen,
offshore wind farm would reach commercial operation in 2023 and half of the turbines at the 1.2 GW Dogger Bank A
offshore wind project would be commissioned by the year end, but only 7 units of wind turbine (91 MW) at Dogger Bank A
were installed, of which only one unit is commissioned last year.

0
00
2

3
40

00

8,
33
6,

7,

6,
Germany offshore

18

0
6

80
0

4,
80
6

0
30
The 257 MW the Arcadis Ost 1 offshore wind farm reached the commercial operation in German Baltic Sea, which was in

3,
80

00
2,
3,

28

0
2,

3,
line with our expectation. Although the 242MW GodeWind 3 project and the 476 MW Baltic Eagle offshore wind project

42
3
0

83
0
1,

7
7
1,
36
also commenced the offshore construction work in 2023 but no wind turbine has been installed by the end of year.

25
25
China offshore China US India Germany Brazil France UK Germany China
As around 15 GW of offshore wind capacity was awarded in China in 2022, GWEC Market Intelligence predicted that the offshore offshore offshore offshore
offshore wind growth momentum would return in 2023. However, actual offshore wind installations is 1.7 GW lower than our
projection, which is mainly due to the central government’s intervention to ensure a health industry development.

GWEC | GLOBAL WIND REPORT 2024 145

 Market Status

New installations onshore (%) New installations offshore (%)

Rest of world 7%
Rest of world 11% China 66% France 3% China 58%

Poland 1% Taiwan 6%
Finland 1%
France 1% UK 8%
Canada 2% 10.8 GW
Sweden 2% 105.8 GW
India 3%
Germany 3%
Netherlands 18%
Brazil 5%
US 6%

Total installations onshore (%) Total installations offshore (%)

Rest of world 16%

Rest of world 9% China 50%
China 43%
Denmark 4%
UK 2%
Netherlands 6%
Sweden 2%
Canada 2%
France 2%
945.5 GW Germany 11%
Brazil 3% 75.2 GW
Spain 3%

India 5%
Germany 7% UK 20%
US 16%
Detailed data sheet available in GWEC’s member-only area. For definition of region see Appendix Methodology and Terminology

146 GWEC.NET
 Market Status

Historic development of new installations (GW)

116.6
10.8

CAGR 95.3
+8% 93.6
6.9
21.1

Onshore
Offshore CAGR
+10% 77.6
8.8

63.8
CAGR 3.4 60.8
+22% 6.2
54.9
2.2
53.5
51.7 4.5 50.7
1.5 4.4
45.0
1.2
38.5 39.1 40.6
0.9 0.9 36.0
0.6
1.6
26.9
0.4
20.3
0.3
14.7
11.5 0.1
8.1 8.2 0.1
6.5 7.3 0.1
0.2 0.3
0.1

6.4 7.1 7.9 8.1 11.4 14.6 20.0 26.5 37.9 38.2 39.8 43.9 34.5 50.2 60.4 52.7 49.0 46.3 54.6 88.4 72.5 68.8 105.8

2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Y2023
Share of offshore ~1% ~3% 5-23% 9%

GWEC | GLOBAL WIND REPORT 2024 147

 Market Status

Historic development of total installations (GW)

1021
75

906
64
830
56

CAGR
+11% 745
36

650
29
591
Onshore 23
Offshore 540
19
CAGR 488
+17% 14
433
12

CAGR
370
+26% 8
319
7
283
238 5
198 4
3
159
94 121 2
1
74 1
48 59
24 31 39 -1
-1 -1
0 -1
0

31 39 47 58 73 93 119 157 195 234 278 312 362 421 473 522 568 621 709 774 842 946
24
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023

Share of offshore ~1% ~2% 3-5% 7%

GWEC made the adjustments to total installations based on the updated statistics GWEC received. For details see Appendix -Methodology and Terminology

148 GWEC.NET
 Market Status

Historic development of new and total grid-connected installations

MW, onshore New installations 2022 Total installations 2022 New installations 2023 Total installations 2023
Total onshore 68811 840873 105764 945477
Americas 14829 203934 14417 218006
USA 8612 144356 6402 150433
Canada 1006 15267 1720 16986
Brazil 4065 25632 4817 30449
Mexico 158 7317 96 7413
Argentina 18 3309 395 3704
Chile 824 3889 688 4577
Other Americas 146 4164 299 4444
Africa, Middle East 349 9698 987 10684
Egypt 0 1702 360 2062
Kenya 0 435 0 425
South Africa 0 3442 0 3442
Morocco 276 1788 138 1926
Saudi Arabia 0 422 0 422
Other Africa 73 1909 489 2407
Asia-Pacific 36860 402713 75836 478472
PR China 32579 333998 69327 403325
India 1847 41930 2806 44736
Australia 1412 10537 942 11479
Pakistan 301 1817 0 1817
Japan 149 4528 572 5026
South Korea 96 1658 165 1821
Vietnam 0 3102 823 3924
Philippines 0 443 150 593
Kazakhstan 418 755 161 916
Other APAC 58 3945 890 4835
Europe 16773 224528 14524 238315
Germany 2403 58106 3567 61139
France 1590 20653 1400 22003
Sweden 2441 14278 1973 16249
United Kingdom 502 14575 553 14866
Spain 1659 29800 762 30562
Finland 2430 5607 1278 6873
Netherlands 933 6227 527 6754
Turkey 867 11945 397 12342
Other Europe 3948 63337 4067 67527

MW, offshore New installations 2022 Total installations 2022 New installations 2023 Total installations 2023
Total offshore 8771 64320 10852 75162
Americas 0 42 0 42
USA 0 42 0 42
Asia-Pacific 6311 34006 7091 41088
PR China 5052 31442 6333 37775
Japan 84 136 62 188
South Korea 0 142 4 146
Vietnam 0 874 0 874
Taiwan 1175 1412 692 2104
Europe 2460 30272 3761 34032
United Kingdom 1179 13918 833 14751
Germany 342 8055 257 8311
France 480 482 360 842
Netherlands 369 2829 1930 4759
Denmark 0 2308 344 2652
Belgium 0 2262 0 2262
Other Europe 90 418 37 455
Footnote: GWEC made the adjustments to new installations and total installation in 2023 based on the updated statistics GWEC received. For details see Appendix -Methodology and Terminology

GWEC | GLOBAL WIND REPORT 2024 149

 Market Outlook 2024-2028

MARKET OUTLOOK 2024-2028

150 GWEC.NET
 Market Outlook 2024-2028

Global wind energy market New installations outlook 2024–2028 (GW)

expected to grow on average Onshore

Offshore
171
182

by 9% each year
CAGR 9.4%
159
37
148 31
131 29
24
117
Global outlook pillars that will underpin this level 18
The inclusion of a goal to triple of success in the next five years: 11
renewables capacity by 2030 in
the final COP28 text is l  urope is accelerating
E
unprecedented and historic for renewables development to
wind and other renewable achieve energy security in the 106 113 124 130 140 145
energy technologies. The wind aftermath of Russia’s invasion of
industry is becoming more Ukraine. The continent has
optimistic about its short-term started turning its ambitious
and long-term growth and more targets into actions from 2023.
confident about its role in
delivering the tripling target. l The US has implemented what 2023 2024e 2025e 2026e 2027e 2028e
has been called the largest
GWEC Market Intelligence investment in climate action the GWEC’s Market Outlook represents the industry perspective for expected installations of new capacity for the next five
years. The outlook is based on input from regional wind associations, government targets, tender results, announced
expects new installations to world has ever seen – the IRA, auction plans, available project pipeline, and input from industry experts and GWEC members. An update will be
surpass the previous record and helping to not only deliver new released in Q3 2024. A detailed data sheet is available in the member only area of the GWEC Intelligence website.

reach 130 GW in 2024. 791 GW clean power over 2023-2032, but

of new capacity is likely to be also to create a local supply chain, l After a turbulent 2023, from Southeast and Central
added in the next five years jobs and society-wide benefits. governments and developers Asia to MENA countries is
under current policies. This have retained their commitments expected to gain momentum
equals 158 GW of new l  lean energy has become the
C to develop offshore wind. from the middle of this decade.
installations each year until 2028. top driver of China’s economic Floating wind technology, as well
growth. Driven by the ‘30-60’ as Power-to-X solutions, will Global wind power growth in
The projected CAGR for the next pledge, the Chinese further unlock offshore wind’s 2024-2028 will continue to rely on
five years is close to 10%, even government has set the target potential in supporting the three market support
though the level of installed that non-fossil energy sources global energy transition. mechanisms: 1) ‘grid-parity’
capacity for 2023 was the highest will account for over 80% of total scheme (China); 2) tax credit
in history. We believe there are five energy consumption by 2060. l Growth in emerging markets (PTC and ITC) and technology-

GWEC | GLOBAL WIND REPORT 2024 151

 Market Outlook 2024-2028

neutral credits in the US; and 3) l  rowth in China, Europe and

G onshore wind markets will However, the US and emerging
wind-specific, technology-neutral, the US will remain the become more diversified by markets in APAC will start
renewable and hybrid auctions backbone of global onshore the end of the forecast period gaining sizable market share
(Europe, Latin America, Africa & wind development in the next with nearly half of the annual from 2026 with 5-8 GW of new
Middle East and Southeast Asia). five years. Together, they are growth coming from markets offshore wind expected to be
In addition, corporate/private expected to make up more outside of China. added over the rest of the
power purchase agreements than 80% of the total capacity to projection period. By the end of
(PPAs) will drive wind energy be built in 2024-2028. Global offshore outlook the forecast period, annual
growth in the next five years. l The CAGR for offshore wind in the installations outside China and
l  hina will continue to be the
C next five years is 28%. With such Europe are likely to make up
Global onshore outlook growth engine in the near term, an exciting growth rate, annual more than 20% of total additions.
l T heCAGR for onshore wind in making up more than 60% of offshore wind additions are likely
the next five years is 6.6%. total installations in 2024. But to triple by 2028 from 2023 levels. l I n total, 138 GW of offshore
Expected average annual installations will accelerate in wind capacity is expected to
installations are 130 GW. In Europe and the US from 2025, l  hina and Europe will continue
C be added worldwide in
total, 653 GW is likely to be as well as in emerging markets dominating growth in the near 2024–2028, with annual
added in 2024–2028. in Southeast Asia, Central Asia term with more than 85% global installations expected to
and MENA from 2026. Global market share in 2024-2025. average 27.6 GW.

152 GWEC.NET
 Market Outlook 2024-2028

Onshore wind in Asia, Europe and the US will be the growth engine
while offshore wind gains momentum
Offshore wind the end of this forecast period.
New onshore and offshore installations outlook by region (MW, %) The global offshore market is
expected to grow from 10.8 GW in Considering recent project
2023 to 37.1 GW in 2028, bringing cancellations and PPA
its share of new global installations renegotiations, GWEC Market
116,616 130,796 148,048 158,944 170,890 182,500 from today’s 9% to 20% by 2028. In Intelligence has downgraded its
Europe, more than 42 GW of US offshore wind growth projection
9% 1% 14% 16% 18% 18% 20% offshore wind capacity is expected and believes that the Biden’s
5% 2% to be built in 2024-2028, of which Administration’s 30GW by 2030
2% 2% 3% 44% is likely to be installed in the federal target is no longer feasible.
5% 1% 4% 3%
7% 6% 3% 3% 4% UK, primarily driven by the However, 10 GW of offshore wind
1% 7% 7% 4%
7% 1% 7% 1% 1% 7% expected commissioning of CfD capacity is likely to be
12% 9% 10% 9% 1% Allocation Round 3, 4 and 6 commissioned in the US in the next
12% 9% projects, 15% in Germany, 11% in five years, making it the largest
14% 15% Poland, 8% in the Netherlands, 6% offshore wind market after China
14%
15% in France, and 5% in Denmark. and the UK in terms of new
additions.
In Asia, Chinese offshore wind
deployment is expected to enter a China
59% 54% 47% 44% 44% 41v% fast-track once regulations for China has committed to further
guiding and supporting project expanding the role of renewables
development in the deep sea are in its energy mix, aiming for
in place. The country will retain its renewable energy to contribute
leading position in this region with more than 50% of new electricity
2023 2024e 2025e 2026e 2027e 2028e 72 GW to be added in the next five consumption by the end of the 14th
years, followed by Taiwan (China) Five-Year Period (2021-2025). The
Offshore Pacific Latin America Europe
(6.9 GW), South Korea (3.1 GW) explosive growth in renewable
Africa, ME North America Asia ex China China
and Japan (1.7 GW). As a route-to- energy installations in China in
market strategy for offshore wind 2023, amounting to 290 GW, has
development is still to materialise, demonstrated that the country is
no real offshore wind projects are on track to achieving this ambitious
A detailed data is sheet available in GWEC’s member only area likely to be built in Vietnam until target. Given that China has the

GWEC | GLOBAL WIND REPORT 2024 153

 Market Outlook 2024-2028

world’s largest and most electricity consumers revised last

competitive wind energy supply October, we believe that 22.8 GW
chain – and that clean energy has of onshore wind capacity will be
become one of the growth engines added in India in the next five
for the Chinese economy – GWEC years, accounting for 45% of the
Market Intelligence has upgraded predicted additions for the region.
its onshore wind installations
forecast for this market. We now With the price ceiling set by
predict that 360 GW of new wind Vietnam’s Ministry of Industry and
capacity can be added to the grid Trade in January 2023, EVN
in the next five years. started negotiating PPAs with
investors for installed projects that
Asia excl. China missed the COD deadline in 2021.
Although new installations in India Last year saw 823 MW of onshore
in 2023 were less than our wind capacity reach agreement
forecast, we expect the country’s with EVN, but another 2 GW of
onshore wind market to continue installed wind projects is still
to recover in 2024. We anticipate it waiting for grid connection
to reach 4.8 GW in 2025, driven approval. That capacity is likely to
by the expiry of the 100% be approved in the next two years.
interstate transmission charge New installations in Vietnam in the
waiver (ISTS) in June 2025. In rest of the forecast period are
2023, more than 5 GW of onshore expected to be driven by the new
wind capacity was awarded, market support mechanism,
including 1.3 GW of standalone which the government has yet to
wind auctioned capacity. Winners confirm.
are expected to be announced
this year for another 13 GW of Elsewhere in the region, onshore
auction capacity launched last growth is expected to come from
year. Considering the 13 GW of Japan and the emerging markets of
standalone wind and hybrid southeast and central Asia. GWEC
projects that was under Market Intelligence expects the
construction by the end of 2023, Philippines, Kazakhstan and
the 10 GW annual onshore wind Uzbekistan to become the rising
auctions target for 2023-2027, and stars, together making up 17% of
the renewable purchase the new capacity expected for this
obligations (RPOs) for designated region in 2024-2028.

154 GWEC.NET
 Strap

Pacific compared with six in 2022. The GW of utility-scale generation to 2024-2030 Outlook, which takes
175 MW of onshore wind capacity announcement by the Australian the National Electricity Market into account the latest
was commissioned across three government of an expansion of the annually to meet the Federal developments in EU regulation,
projects in New Zealand in 2023, Capacity Investment Scheme to Government’s target of 82% national policies, announcements
with another 200 MW expected to support the addition of 23 GW of renewables by 2030, we believe of signed PPAs, project
be connected in 2024. Growth in new renewable electricity that the growth momentum is likely development timelines and the
New Zealand, however, is likely to generation capacity between 2024 to continue for the rest of the ability of wind to secure further
stop from 2025 unless developers and 2027, and a further 9 GW of decade, and 9.5 GW of onshore capacity in upcoming auctions and
can solve the permitting issues dispatchable capacity, is expected wind capacity can potentially be tenders.
impacting their project pipeline. to get large-scale investment back added to the grid in the next five
on track. According to Clean years. Under this scenario, record
2023 was a particularly poor year Energy Council (CEC), 15 wind onshore wind installations in
for new investment in utility-scale projects worth more than 4 GW Europe Europe are expected every year
generation in Australia. There were were either under construction or Our forecast for Europe for the from 2025 to the end of the
no new financial commitments to committed at the end of 2023. As next five years is in line with forecast period. Excluding
utility-scale wind projects, Australia will need to add at least 6 WindEurope’s recently released non-EU-countries, the EU will add

GWEC | GLOBAL WIND REPORT 2024 155

 Strap

93 GW of onshore wind capacity manufacturing plants serving wind

to the grid in the next five years. and other renewable technologies
This equals 18.6 GW of new were announced as of February 9,
installations each year until 2028, 2024, and onshore wind pipeline
which is however much lower capacities grew by 6 GW last year.
than the average rate that EU With developers continuing to refill
needs to meet its 2030 energy their pipeline in 2024, we predict
and climate target. As a champion that the US onshore wind market
in European onshore wind will be back in full swing from
installations, Germany will 2025/2026 and reach 16 GW by
continue to lead the market the end of the forecast period. In
growth in this region – accounting total, 71.5 GW of onshore wind
for 26% of total onshore wind capacity is expected to be added
additions in the next five years, in 2024-2028 in North America, of
followed by Spain (10%), Turkey which 91% will be built in the US
(8%), France (8%), Finland (6%) and the rest in Canada.
and the UK (6%).
Latin America
North America Latin America had a record year in
Annual onshore wind installations new wind power installations in
in the US declined for the third 2023 with more than three-quarters
year in a row, but this situation is of the new additions coming from a
expected to change from 2024. As single market: Brazil. The strong
a tax credit-driven wind market, US growth momentum in this country
onshore wind has been through a has been primarily linked to
series of boom-bust cycles in projects being developed through
recent decades. The IRA, which the free/bilateral market of private
was signed into law by the Biden PPAs. However, annual growth in
Administration in August 2022, not LATAM is likely to drop to 4-5 GW
only provided much-needed in the next two or three years as
long-term visibility for investors growth in Brazil slows down as a
but also stimulated new investment result of a low power clearing price
in domestic clean power (PLD) – the reference price in the
manufacturing. free/bilateral energy market – as
well as relatively slow growth in
According to ACP, 123 new, electricity consumption due to the
expanded or reopened expansion of distributed generation.

156 GWEC.NET
 Strap

Despite market growth being and Colombia being the top three capacity installed the previous Intelligence predicts that new
interrupted by an unconducive markets, together contributing year. With projects awarded onshore wind additions for this
energy policy environment in 78% of the additions for the through the REIPPP Bid Window 4 region will grow fivefold by 2028
Mexico and economic and region. auction coming online in South compared with 2023. In total, 19
political instability in Argentina, Africa, as well as GW-level GW of new capacity is expected
GWEC Market Intelligence Africa/Middle East onshore wind projects starting to to be added in 2024-2028, of
expects 28.7 GW of onshore wind Africa & Middle East installed be commissioned in MENA which 12 GW (63%) will come
to be added in this region in the nearly 1 GW of wind power countries – especially Egypt and from Africa and the rest (37%)
next five years, with Brazil, Chile capacity in 2023, almost triple the Saudi Arabia – GWEC Market from the Middle East.

GWEC | GLOBAL WIND REPORT 2024 157

 Market Outlook 2024-2028

Regional onshore and offshore wind outlook for new installations (GW)

23.9
22.2 25.1 27 5.2
20.9 4.7
18.3 22.6
6.9 20.9
6.2 3.9 1.8
15.1 5.4
14.4 16.1 3.1 1.6
4.8
14.5 1.6
5.6 2.3
6.3 17
16 1.4
15.5
0.8 3.1 3.4
13.5
9.5 1 2.3
8.1 1.8
0.3 1.5
0.6

2023 2024e 2025e 2026e 2027e 2028e 2023 2024e 2025e 2026e 2027e 2028e 2023 2024e 2025e 2026e 2027e 2028e
North America onshore Latin America onshore Europe onshore Africa onshore Middle East onshore

88.1 89.4 37.1

81.9 83 2.8
79.6 9.4 30.8
3.7 75.8 8.6 1.6 28.6
5.6 7.1 8.5 4.5 5
2.8 4.8 4.5 2.6
4 0.9 23.9 2.4 14.2
10.7
17.7 5.5 8.6
69.3 70 70 70 75 75 17.8
3.6
10.8
17.6 20.2
3.8 13.1 16.8 17.6
7.1

2023 2024e 2025e 2026e 2027e 2028e 2023 2024e 2025e 2026e 2027e 2028e
China onshore India onshore Other Asia-Pacific onshore Asia-Pacific offshore Europe offshore North America offshore

158 GWEC.NET
 Strap

APPENDIX

GWEC | GLOBAL WIND REPORT 2024 159

 Appendix

Global Wind Report 2024 Methodology and Terminology

Data definitions and adjustments received. GWEC made the adjustments Latin America: South, Central America experts and wind turbine
GWEC reports installed and fully to both new and cumulative installations and Mexico manufacturers.
commissioned capacity additions and in 2022 for all the markets where
total installations. New installations are updated statistics are available. Europe: Geographic Europe including Used terminology
gross figures not deducting Norway, Russia, Switzerland, Turkey GWEC uses terminology to the best
decommissioned capacity. Total Definition of regions and Ukraine of our knowledge. With the wind
installations are net figures, adjusted GWEC adjusted its definition of industry evolving, certain terminology
for decommissioned capacity. regions for the 2018 Global Wind Sources for the report is not yet fixed or can have several
Report and maintains these in the GWEC collects installation data from connotations. GWEC is continuously
Historic installation data has been 2024 edition, specifically for Latin regional and country wind adapting and adjusting to these
adjusted based on the input GWEC America and Europe. associations, alternatively from industry developments.

Acronyms
AI  Artificial Intelligence GOWA Global Offshore Wind Alliance ML Machine Learning Convention on Climate Change
APAC  Asia-Pacific GST Global Stocktake MOU Memorandum of Understanding UHV Ultra-High Voltage
ASEAN  Association of Southeast Asian GWEC Global Wind Energy Council Mt Metric Tonnes VRE Variable Renewable Energy
Nations HSSE Health, Safety, Security, and MW Megawatt VGF Viability Gap Funding
CAGR  Compound Annual Growth Rate Environment MWh Megawatt Hour WACC Weighted Average Cost of Capital
CFD  Contracts for Difference HVDC High-Voltage Direct Current NDCs Nationally Determined Contributions
C&I  Commercial and Industrial IEA International Energy Agency O&M Operations and Maintenance
COD Commercial Operation Date IFC International Finance Corporation OEMs Original Equipment Manufacturers
CO2 Carbon Dioxide IMF International Monetary Fund OPEC Organization of the Petroleum
CO2e Carbon Dioxide Equivalent IRENA International Renewable Exporting Countries
COP Conference of the Parties Energy Agency OSW Offshore Wind
DEI Diversity, Equity and Inclusion IPCC Intergovernmental Panel on OWSC Offshore Wind Service Contracts
DSR Demand-Side Response Climate Change PSU Public Sector Undertaking
EMDEs Emerging Markets and IRA Inflation Reduction Act PV Photovoltaic
Developing Economies ISO Independent System Operator PTC Production Tax Credit
ESG Environmental, Social, Governance ITC Investment Tax Credit R&D Research and Development
EU European Union JET Just and Equitable Transition RECs Renewable Energy Certificates
FDI Foreign Direct Investment JETP Just Energy Transition Partnership REE Rare Earth Element
FID Final Investment Decision JV Joint Venture RPS Renewables Portfolio Standards
FIT Feed-in-Tariff LCOE Levelised Cost of Electricity STEM Science, Technology, Engineering
FIP Feed-in Premium LCRs Local Content Requirements and Mathematics
FPIC Free, Prior and Informed Consent LCCs Low-Cost Countries TSO Transmission System Operator
GDP Gross Domestic Product LATAM Latin America TW Terawatt
GFANZ Global Financial Alliance for Net Zero LNG Liquefied Natural Gas TWh Terawatt Hour
GHG Greenhouse Gases MDBs Multilateral Development Banks UNFCCC United Nations Framework

160 GWEC.NET
 Appendix

About GWEC GWEC Market Intelligence Areas

Market Intelligence
Market Insights
GWEC Market Intelligence provides a Asset Owners
Market statistics, Policy and Regulations
seriesof insights and data-based analysis Database of asset owners
market outlook, Country profiles, policy
on thedevelopment of the global wind in key markets,
industry. Thisincludes a market outlook,
auction updates, updates, offshore updates
investment trends
country profiles,policy updates, deep- project pipeline
dives on global windsupply chain and
offshore wind among manyother exclusive
insights.
Technology/ Supply Chain
Energy Transition
GWEC Market Intelligence derives its Wind turbine data, technology O&M
Shift to value-focused, new
insightsfrom its own comprehensive trends, component assessment, ISP - OEM - Self Perform
wind-based solutions,
databases, localknowledge and leading offshore wind database for key markets
industry experts. market design
installation vessels

The market intelligence team consists

ofseveral strong experts with long-
standingindustry experience across the
world.

GWEC Market Intelligence collaborates

withregional and national wind
associations as wellas its corporate GWEC Market Intelligence is housed on a
members and MI subscribers. Members-only area on the GWEC website
for our members and subscribers to have
Who can all of ourinsights on the global wind
access GWEC Market Intelligence? industry at their fingertips.
l Wind energy associations Click here to get your login
l Market Intelligence subscription

Contact
[email protected]

GWEC | GLOBAL WIND REPORT 2024 161

 Appendix

GWEC Market Intelligence Products in 2024

Product Frequency Expected Release date

1. Wind Energy Stats/Market Data

Wind Stats 2023 (historic annual, accumulative, decommission data) Annual April 2024
Global Wind Report 2024 Annual April 2024
Wind Energy Statistics (wind energy generation data, wind energy penetration rate, jobs) Annual April 2024

2. Country Profiles/Policy Updates

Country Profiles Onshores/Country Profiles Offshore Annual April 2024 (onshore)
Ad-hoc Policy Updates Ad-hoc September 2024 (offshore)

3. Market Outlook
Global Wind Market Outlook 2024-2028 (Q1 and Q3) Database + Report Semi-Annual April 2024 (Q1 Outlook)
November 2024 (Q3 Outlook)
India Market Outlook Report 2024-2028 Annual TBC

4. Supply Side Data

Global Wind Turbine Supply Side Data Report 2023 (by OEM, by technology, by turbine ratings, models and drive train, etc) Annual May 2024

5. Auctions/Tenders
Global Wind Auction Quarterly Q4 2023 results - February 2024
Auction Trends and Learnings Quarterly Q1 2024 results - May 2024
Q2 2024 results - August 2024
Q3 2024 results - November 2024
6. Offshore Wind Market
Global Offshore Wind Report 2024 Annual September 2024
Market Entry Opportunities (database) Annual/Quarterly After each Global Offshore Wind Task Force meetting
Global Offshore Project Pipeline (database, in operation and under construction) Annual/Quarterly June 2025
Global Offshore Turbine Installation Vessel Database and Report Annual/Quarterly October 2024

7. Components Assessment
Generator (Q4 2024), Global Wind Supply Chain Deep Dive (Q4 2023), Gearbox (Q4 2022), Blades (Q4 2020) Special Report December 2024

8. Wind Asset Owners/Operators

Asset Owners and Operators Database (Onshore & Offshore Ranking) Annual June 2024
Asset Owners and Operators Status Report (including strategical trends) Annual

9. O&M
O&M Service Provider Database (ISP - OEM - Self-perform) Annual January 2024
O&M Service Provider Status Report (including regional trends) Annual

10. Energy transition, Digitalisation, New Technologies

Auction design and non-price criteria, community engagement and social acceptance for permitting,
supply chain policy analysis, repowering Special Report Throughout the year

162 GWEC.NET
 Global Leaders

GWEC Global Leaders

The Global Wind Energy Council’s Global Leaders are an exclusive leadership group of decision-makers and top-tier members who form the basis of the
Association’s Executive Committee, which drives the work programme and plays a major role in shaping GWEC’s priorities for its efforts in the short and
long-term strategy.

Siemens Gamesa Ørsted Iberdrola Equinor

A pioneer from the outset, Siemens Gamesa The Ørsted vision is a world that runs entirely on With over 170 years of history behind us, We are looking for new ways to utilise our
has been a core player in the wind industry for green energy. Ørsted develops, constructs, and Iberdrola is now a global energy leader, the expertise in the energy industry, exploring
the last 40 years. By working together with our operates offshore and onshore wind farms, solar number one producer of wind power, and one opportunities in new energy and driving
customers and partners, we have installed 137 farms, energy storage facilities, renewable of the world’s biggest electricity utilities in innovation in oil and gas around the world. We
gigawatts in 80 countries. And step by step, hydrogen and green fuels facilities, and terms of market capitalisation. We have brought know that the future has to be low carbon. Our
we’re further expanding wind energy: to tackle bioenergy plants. Moreover, Ørsted provides the energy transition forward two decades to ambition is to be the world’s most carbon-
the pressing challenge of climate change; and energy products to its customers. Ørsted is the combat climate change and provide a clean, efficient oil and gas producer, as well as driving
to provide sustainable, affordable, and reliable only energy company in the world with a reliable and smart business model, to continue innovation in offshore wind and renewables. We
energy to societies across the world – all the science-based net-zero emissions target as building together each day a healthier, more plan to reach an installed net capacity of 12-16
while increasing energy security through validated by the Science Based Targets initiative accessible energy model, based on electricity GW from renewables by 2030, two-thirds of this
renewable energy for generations to come. (SBTi). Ørsted ranks as the world’s most will be from offshore wind. With five decades of
sustainable energy company in Corporate ocean engineering and project management
Knights’ 2022 index of the Global 100 most expertise, focus on safe and efficient operations,
sustainable corporations in the world and is in depth knowledge of the energy markets,
recognised on the CDP Climate Change A List Vestas skilled personnel and a network of competent
as a global leader on climate action. Vestas is the energy industry’s global partner partners and suppliers, Equinor is uniquely
on sustainable energy solutions. We design, positioned to take a leading role in the offshore
Shell manufacture, install, and service wind turbines wind industry. From building the world’s first
Shell is building a global integrated power
across the globe, and with +151 GW of wind floating wind farm to building the world’s
business spanning electricity generation,
turbines in 86 countries, we have installed more biggest offshore wind farm we are well
trading and supply. Shell entered the offshore
wind power than anyone else. underway to deliver profitable growth in
wind business in 2000 as part of a consortium
Through our industry-leading smart data renewables be a leading company in the
that installed the first offshore wind turbine in GE Renewable Energy capabilities and +129 GW of wind turbines energy transition.
UK waters. Today, we have deployed, or are GE Renewable Energy harnesses the earth’s
under service, we use data to interpret,
developing, over eight gigawatts (GW) of wind most abundant resources – the strength of the
forecast, and exploit wind resources and deliver
across North America, Europe, the UK, and Asia. wind, the heat of the sun and the force of water;
best-in-class wind power solutions. Together
We see offshore wind as a critical way of delivering green electrons to power the world’s
with our customers, Vestas’ more than 29,000
generating renewable electricity for our biggest economies and the most remote
employees are bringing the world sustainable
customers and moving Shell towards its target communities. With an innovative spirit and an
energy solutions to power a bright future.
of being a net-zero emissions energy business entrepreneurial mindset, we engineer energy
by 2050 or sooner, in step with society. products, grid solutions and digital services that
create industry-leading value for our customers
around the world.

GWEC | GLOBAL WIND REPORT 2024 GWEC.NET 163

 Global Leaders

Corio SSE Envision Energy Masdar

Corio Generation is a specialist offshore wind SSE Renewables is a leading developer and Envision Energy is a world-leading green Abu Dhabi Future Energy Company (Masdar)
business dedicated to harnessing renewable operator of renewable energy, headquartered technology company, providing renewable is the UAE’s clean energy champion and one of
energy worldwide. Our 20+ GW development in the UK and Ireland, with a growing presence energy system solutions for global enterprises, the world’s fastest-growing renewable energy
portfolio is one of the largest in the world, internationally. Its strategy is to lead the governments, and institutions. With the mission companies, advancing the development and
spanning established and emerging markets, as transition to a net zero future through the of ‘solving the challenges for a sustainable deployment of renewable energy and green
well as floating and fixed-bottom technologies. world-class development, construction and future’, Envision Energy continuously reduces hydrogen technologies to address global
operation of renewable power assets and it is the production, storage, and synergy costs of sustainability challenges. Established in 2006,
With our leading industrial expertise and deep building more offshore wind energy than any renewable energy through technological Masdar has developed and partnered projects
access to long-term capital, we work closely with other company in the world. Part of the innovation. Encompassing three major business in over 40 countries, helping them to achieve
our partners in the creation and management of FTSE-listed SSE plc, SSE Renewables is taking sectors - Smart Wind Turbines, Energy Storage, their clean energy objectives and advance
projects from origination, development and action to double its installed renewable energy and Green Hydrogen Solutions, Envision sustainable development. Masdar is jointly
construction, and into operations. capacity to 8GW by 2026 as part of its Net Energy collaboratively constructs owned by Abu Dhabi National Oil Company
Zero Acceleration Programme, and increase comprehensive solutions for energy (ADNOC), Mubadala Investment Company
Corio Generation is a Green Investment Group
renewables output fivefold to over 50TWh transformation. It also manages Envision- (Mubadala), and Abu Dhabi National Energy
(GIG) portfolio company, operating on a
annually by 2031. Hongshan Carbon-Neutral Fund and owns Company (TAQA), and under this ownership
standalone basis. GIG is a specialist green
Envision Racing Formula E team, who the company is targeting a renewable energy
investor within Macquarie Asset Management,
conquered the Formula E Teams’ portfolio capacity of at least 100 gigawatts
part of Macquarie Group.
Championship in 2023. (GW) by 2030.
Today, Envision Energy leverages its global
ReNew network of R&D and engineering centers across
ReNew is the leading decarbonisation solutions China, the United States, UK, France, Germany,
company listed on Nasdaq (Nasdaq: RNW, Denmark, etc. to continuously lead global green
CIP RNWWW). ReNew’s clean energy portfolio of technology development. Envision Energy
Founded in 2012, Copenhagen Infrastructure ~13.4 GWs on a gross basis as of December joined the Science Based Targets initiative
Partners P/S (CIP) today is the world’s largest 31, 2022, is one of the largest globally. In (SBTi) and committed to achieving the
dedicated fund manager within greenfield addition to being a major independent power “Business Ambition for 1.5°C” in 2021. It has
renewable energy investments and a global producer in India, we provide end-to-end achieved carbon neutrality across its global
leader in offshore wind. The funds managed by solutions in a just and inclusive manner in the operations by 2022 and will achieve carbon
CIP focuses on investments in offshore and areas of clean energy, green hydrogen, neutrality throughout its value chain by 2028.
onshore wind, solar PV, biomass and energy- value-added energy offerings through
digitalization, storage, and carbon markets that Envision was ranked second in Fortune’s 2021
from-waste, transmission and distribution, “Change the World” list and was ranked among
reserve capacity, storage, advanced bioenergy, increasingly are integral to addressing climate
change. the Top 10 of the 2019 ‘World’s 50 Smartest
and Power-to-X. Companies’ by the MIT Technology Review.
CIP manages ten funds and has to date raised
approximately EUR 19 billion for investments in
energy and associated infrastructure from more
than 140 international institutional investors. CIP
has approximately 400 employees and 11
offices around the world

164 GWEC | GLOBAL WIND REPORT 2024 GWEC.NET

 Appendix

Leading Sponsor Co-leading Sponsor

Supporting Sponsor

Associate Sponsors

Podcast Sponsor

Suzlon Jeetendra Nalawade, Dy. General Manager – Corporate Communications NES Fircroft Vicki Codd, Group Marketing Director ([email protected])
([email protected]) Techstorm
Masdar [email protected] Advanced
WindEnergy Material Martijn Van Breugel, Director of Business Development ([email protected])
Hamburg [email protected] GULF 
Marty Sinthavanarong, Head of International Business Development
Harting Electric Guanghai Jin, Team Leader Industry Segment Management Energy ([email protected])
([email protected]) Sungrow Lu Changwan, Marketing Dept. PR Communications Specialist
Bureau Veritas Paul Trevillyan, Global Sales Director – Onshore Wind ([email protected])
([email protected]) Goldwind Liu Guangyu ([email protected])
Lincoln Electric Bryan O’Neil, Director, Global Offshore Oil & Gas Segment
([email protected])

GWEC | GLOBAL WIND REPORT 2024 165

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