Norwegian utility Statkraft has pulled the plug on new offshore wind investment as part of a wider adjustment to future spending.
The company said this morning the rethink was forced by a change in financial terms from its owner the Norwegian government.
“The most material change is that Statkraft will no longer invest in new offshore wind projects,” said the company. It added some international hydropower projects may also be postponed.
“Offshore wind power is capital intensive. The reduced financial terms from the owner entail that it is not possible for Statkraft to invest in new offshore wind projects,” said chief executive Christian Rynning-Tonnesen.
Offshore projects on Statkraft’s books include the 900MW Triton Knoll off the east coast of England, where it is a partner alongside RWE. It was also planning to build one of the four 1.2GW Dogger Bank projects, developed as part of the Forewind consortium.
Statkraft said the investment plan was adjusted “in order to balance the goal of profitable growth within renewable energy with financial solidity”.
Image: Statkraft’s 317MW Sheringham Shoal wind farm off England (Scira)
Statkraft pulls plug on offshore
Spending cuts means no new investment in 'capital intensive' sector
By EBS