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Title: 2016 Offshore Wind Market Report

Abstract

The 2016 Offshore Wind Technologies Market Report is intended to provide stakeholders with quantitative information about the offshore wind market, technology, and cost trends in the United States and worldwide.

Authors:
 [1];  [1];  [1];  [1];  [1];  [1]
  1. National Renewable Energy Lab. (NREL), Golden, CO (United States)
Publication Date:
Research Org.:
National Renewable Energy Lab. (NREL), Golden, CO (United States)
Sponsoring Org.:
USDOE Office of Energy Efficiency and Renewable Energy (EERE), Wind Program (EE-4W) (Wind Program Corporate)
OSTI Identifier:
1377012
Report Number(s):
DOE/GO-102017-5031
7721
Resource Type:
Technical Report
Country of Publication:
United States
Language:
English
Subject:
17 WIND ENERGY; offshore wind; market report; emerging technologies

Citation Formats

Musial, Walter, Beiter, Philipp, Schwabe, Paul, Tian, Tian, Stehly, Tyler, and Spitsen, Paul. 2016 Offshore Wind Market Report. United States: N. p., 2017. Web. doi:10.2172/1377012.
Musial, Walter, Beiter, Philipp, Schwabe, Paul, Tian, Tian, Stehly, Tyler, & Spitsen, Paul. 2016 Offshore Wind Market Report. United States. doi:10.2172/1377012.
Musial, Walter, Beiter, Philipp, Schwabe, Paul, Tian, Tian, Stehly, Tyler, and Spitsen, Paul. 2017. "2016 Offshore Wind Market Report". United States. doi:10.2172/1377012. https://www.osti.gov/servlets/purl/1377012.
@article{osti_1377012,
title = {2016 Offshore Wind Market Report},
author = {Musial, Walter and Beiter, Philipp and Schwabe, Paul and Tian, Tian and Stehly, Tyler and Spitsen, Paul},
abstractNote = {The 2016 Offshore Wind Technologies Market Report is intended to provide stakeholders with quantitative information about the offshore wind market, technology, and cost trends in the United States and worldwide.},
doi = {10.2172/1377012},
journal = {},
number = ,
volume = ,
place = {United States},
year = 2017,
month = 8
}

Technical Report:

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  • The 2016 Offshore Wind Technologies Market Report was developed by the National Renewable Energy Laboratory (NREL) for the U.S. Department of Energy (DOE) and is intended to provide offshore wind policymakers, regulators, developers, researchers, engineers, financiers, and supply chain participants, with quantitative information about the offshore wind market, technology, and cost trends in the United States and worldwide. In particular, this report is intended to provide detailed information on the domestic offshore wind industry to provide context to help navigate technical and market barriers and opportunities. The scope of the report covers the status of the 111 operating offshore windmore » projects in the global fleet through December 31, 2016, and provides the status and analysis on a broader pipeline of 593 projects at some stage of development. In addition, this report provides a wider assessment of domestic developments and events through the second quarter of 2017 to provide a more up-to-date discussion of this dynamically evolving industry.« less
  • This report, the 2016 Offshore Wind Energy Resource Assessment for the United States, was developed by the National Renewable Energy Laboratory, and updates a previous national resource assessment study, and refines and reaffirms that the available wind resource is sufficient for offshore wind to be a large-scale contributor to the nation's electric energy supply.
  • Wind power capacity in the United States experienced strong growth in 2016. Recent and projected near-term growth is supported by the industry’s primary federal incentive—the production tax credit (PTC)—as well as a myriad of state-level policies. Wind additions have also been driven by improvements in the cost and performance of wind power technologies, yielding low power sales prices for utility, corporate, and other purchasers.
  • The U.S. Department of Energy's (DOE's) annual Distributed Wind Market Report provides stakeholders with statistics and analysis of the distributed wind market, along with insight into its trends and characteristics.
  • The U.S. Department of Energy (DOE)’s Wind Technologies Market Report provides an annual overview of trends in the U.S. wind power market. You can find the report, a presentation, and a data file on the Files tab, below. Additionally, several data visualizations are available in the Data Visualizations tab. Highlights of this year’s report include: -Wind power additions continued at a rapid clip in 2016: $13 billion was invested in new wind power plants in 2016. In 2016, wind energy contributed 5.6% of the nation’s electricity supply, more than 10% of total electricity generation in fourteen states, and 29% tomore » 37% in three of those states—Iowa, South Dakota, and Kansas. -Bigger turbines are enhancing wind project performance: Increased blade lengths, in particular, have dramatically increased wind project capacity factors, one measure of project performance. For example, the average 2016 capacity factor among projects built in 2014 and 2015 was 42.6%, compared to an average of 32.1% among projects built from 2004 to 2011 and 25.4% among projects built from 1998 to 2001. -Low wind turbine pricing continues to push down installed project costs: Wind turbine prices have fallen from their highs in 2008, to $800–$1,100/kW. Overall, the average installed cost of wind projects in 2016 was $1,590/kW, down $780/kW from the peak in 2009 and 2010. -Wind energy prices remain low: After topping out at nearly 7¢/kWh for power purchase agreements (PPAs) executed in 2009, the national average price of wind PPAs has dropped to around 2¢/kWh—though this nationwide average is dominated by projects that hail from the lowest-priced Interior region of the country (such as Texas, Iowa, Oklahoma). These prices, which are possible in part due to federal tax support, compare favorably to the projected future fuel costs of gas-fired generation. -The supply chain continued to adjust to swings in domestic demand for wind equipment: Wind sector employment reached a new high of more than 101,000 full-time workers at the end of 2016. For wind projects recently installed in the U.S., domestically manufactured content is highest for nacelle assembly (>90%), towers (65-80%), and blades and hubs (50-70%), but is much lower (<20%) for most components internal to the turbine. -Continued strong growth in wind capacity is anticipated in the near term: With federal tax incentives still available, though declining, various forecasts for the domestic market show expected wind power capacity additions averaging more than 9,000 MW/year from 2017 to 2020.« less