The UK’s leading offshore wind developer is in talks with Net Zero Secretary Claire Coutinho about the fate of its flagship project off the coast of Norfolk, after spiralling costs cast doubt over its viability.
Ørsted, the Danish renewable energy giant, is understood to be in talks with the Department for Energy Security and Net Zero, led by Ms Coutinho, about securing more generous subsidy arrangements for its Hornsea 3 wind farm project.
It would see 231 turbines installed off the coasts of Norfolk and Lincolnshire, generating power for 3m homes.
Subsidies for Hornsea 3 were agreed with the Government last year through contracts for difference (CfDs), with operators guaranteed a minimum price per megawatt hour (MWh) known as the strike price. Ørsted was promised £37.35.
If it’s more expensive then we don’t want it.
And this really is the correct answer too. Sure, saving the planet and all that. But only at a price. If the price is higher than that they goodbye planet.