RenewableUK Cymru has stated that it is ‘incredibly disappointed’ to learn there are no floating offshore wind winners in this year’s UK Government renewable energy auction, including Erebus, Wales’ first planned floating windfarm off Pembrokeshire.

This week the Department for Energy Security and Net Zero announced the results of the UK’s fifth Contracts for Difference (CfD) auction round (AR5) to incentivise the build out of renewable energy projects and deliver our net zero targets.

The flagship Welsh 100MW test and demonstration windfarm, due to be commissioned in 2026, was the leading opportunity for Wales to kick start a burgeoning industry, producing clean electricity, driving investment, delivering on Wales’ net zero targets and unlocking the first of thousands of jobs and opportunities for local people.

Wind energy is a central component of the Welsh Government’s adopted target to meet 100% of our energy needs from renewable sources by 2035. Despite a UK Government target to deploy 50GW of offshore wind by 2030, including 5GW of floating offshore wind, this latest auction has produced no offshore wind winners.

RenewableUK Cymru’s Director Jess Hooper said: “As Wales’ first floating offshore wind project, Erebus is entirely dependent on this form of revenue support to succeed, and the success of Erebus is critically important not only to Wales and the wider South West region, but also for the UK Government’s own floating offshore wind targets.

“This result will now delay investment decisions for developers, supply chain companies, ports and infrastructure, all with knock-on effects.

“Despite the industry’s clear warnings, the UK Government has not taken inflationary costs and supply chain squeeze into account in this latest auction, focusing solely on competition through cost reduction.

“This is a huge wake-up call that if we want to deliver on our targets in this decade of delivery we need to see considerable reforms to the CfD auction design and industrial strategy to support its development and deployment.”

Hailed as the pioneer of floating wind development in the Celtic Sea, the Erebus project boasts the next generation of 14MW turbines on floating platforms 40km off the coast, generating enough clean energy to power 93,000 homes and contributing to the UK’s floating offshore wind targets and energy security.