Image credit: phault on Flickr

The newly released UK government’s Strategic Environmental Assessment (SEA) states there is about 25 GW of offshore wind energy potential available for exploitation. This assessment will enable the Crown Estate to begin the third round of leasing in UK's waters for offshore wind farm projects.

Along with this, a new licensing regime for cables connecting offshore wind power facilities with the mainland also starts today. The tender process could save power generators GBP 1 billion by getting the best deal.

The third round of leasing for offshore wind energy is an important step in the country's efforts to reach 15% renewable energy stake in total power generation by 2020, and an 80% reduction in carbon emissions by 2050. The UK has already taken the top position in wind power, passing Denmark, which has been the country with the most wind power facilities installed.

The UK has intentions to join the International Renewable Energy Agency (IRENA), which has seen a steady rise in the number of new members in the past months.

Along with wind power capacity installed or under development from the first and second rounds of offshore wind power leasing which represents 8 GW, the total amount of wind power the UK will have installed by 2020 will be a respectable 33 GW of offshore wind power, which is about a quarter of UK's electricity needs.

The planned increse in offshore wind capacity will bring many jobs to the slowed down economy, with some saying as much as 70,000 jobs could be created as a result of the planned projects. Projected revenues are estimated at about GBP 8 billion, but there are many obstacles that may affect the level of deployment such as market take-up, UK consumption trends, energy export opportunities, and regulatory and supply constraints.