Context: The Renewable Energy Challenge in the UK
The United Kingdom has established itself as a global leader in offshore wind energy, with large-scale projects such as Hornsea 3 (2.9 GW) and Dogger Bank (3.6 GW). However, despite this progress, many offshore wind farms remain disconnected from the national grid, preventing the generated electricity from reaching consumers.
Due to this lack of infrastructure, the British government has had to compensate energy companies financially for electricity that cannot be transmitted. This situation has raised concerns about the efficiency of the country’s energy transition and highlighted the urgent need for investment in electrical infrastructure.
Key Companies and Investments in Offshore Wind Energy and Infrastructure
Several companies play a crucial role in expanding energy infrastructure in the UK:
- Scottish Power (Iberdrola) – It has announced a £24 billion investment between 2024 and 2028 to modernise the electricity networks and boost offshore wind energy projects, strengthening the energy transition and the creation of green jobs in the United Kingdom. (1)
- Balfour Beatty, Kier Group, and Costain – These construction companies have experienced significant growth due to infrastructure investments, with combined order books exceeding £30 billion. (2)
- Ofgem and the Eastern Green Link 1 (EGL1) Project – In November 2024, Ofgem approved a £2 billion funding package for Eastern Green Link 1, a 200 km HVDC cable that will connect Scotland with the northeast of England and facilitate the
transmission of renewable energy. (3)
• Morocco-UK Interconnection Project – It plans a solar and wind power facility in Morocco with a capacity of 11.5 GW, connected to the United Kingdom by a 3,800 km HVDC subsea cable that will supply more than 7 million homes. (4)
• Iberdrola – It has announced investments that will double its installed renewable capacity, modernise distribution networks, and strengthen its role in the development of sustainable energy infrastructure. (5)
Strategies and Key Projects for Energy Infrastructure Expansion
The UK is implementing various strategies and projects to enhance its energy infrastructure and facilitate the integration of renewable energy:
- Development of High-Voltage Direct Current (HVDC) Networks – The European InterOPERA project, funded by the European Union through the Horizon Europe programme, aims to establish interoperability standards for multi-terminal HVDC networks. These networks will enable more efficient electricity transmission from offshore wind farms and facilitate the integration of energy islands into the European power system. (6)
- Connection of Offshore Wind Farms to the Grid – Hitachi Energy has been selected to supply high-voltage direct current (HVDC) transmission technology for the Hornsea 3 offshore wind farm, one of the largest in the world. The contract includes the implementation of the HVDC Light™ system, which will enable the transmission of up to 2,900 MW of renewable electricity from the wind farm, located in the North Sea, to the
UK’s onshore power grid. (7) - Investment in Energy Storage and Smart Grids – According to the International Renewable Energy Agency (IRENA), global investments in energy transition technologies — including energy storage — reached a record $1.3 trillion in 2022. (8)
Existing Offshore Wind Farms in the United Kingdom
The United Kingdom remains a global leader in offshore wind energy. By the end of 2024, the installed capacity of offshore wind farms had reached 14.7 GW. In addition, projects totalling 6.3 GW were under construction, and Contracts for Difference (CfD) had been awarded for a further
9 GW, reflecting sustained growth in the sector.
Notable Offshore Wind Farms in Operation
- Beatrice Offshore Wind Farm: Inaugurated in 2019 off the northeast coast of Scotland, Beatrice has an installed capacity of 588 MW. It is one of the largest offshore wind farms currently operating in Scotland, capable of supplying electricity to over
450,000 homes. (9) - Hornsea 2: Inaugurated in 2022, Hornsea 2 is currently the largest offshore wind farm in the world. Located in the North Sea, off the coast of Yorkshire, it has an installed capacity of 1,386 MW and can supply electricity to over 1.4 million British homes. (10)
- Moray East: Located in the Moray Firth since 2022, in the northeast of Scotland, Moray East is one of the largest offshore wind farms in the country, with an installed capacity of 950 MW. (11)
- Greater Gabbard: Located off the coast of Suffolk, Greater Gabbard was one of the first large-scale offshore wind farms in the United Kingdom. It has been in operation since 2012 and has a capacity of 504 MW, enough to supply electricity to approximately 530,000 homes. (12)
- Walney Extension: With a capacity of 659 MW, this wind farm is located off the coast of Cumbria and, upon its inauguration in September 2018, was the largest offshore wind farm in the world. (13)
- London Array: Located at the mouth of the River Thames, was inaugurated in July 2013. With a capacity of 630 MW and 175 turbines, it was the largest offshore wind farm in the world at the time. (14)
Projects Under Development and Planning
- Dogger Bank: Situated in the North Sea, this project will be developed in phases and will have a total capacity of 4,800 MW, making it the largest offshore wind farm in the world once completed. (15)
- East Anglia Hub: Iberdrola is developing the East Anglia Hub complex, with a total capacity of 2,900 MW, comprising three projects in UK waters and representing an investment of over £6.5 billion. (16)
The Crown Estate provides an interactive map showing the location and details of each offshore wind farm in the UK, offering real-time information on their contribution to thenational power supply. (17)
Opportunities for Businesses in the Sector
The expansion of offshore wind energy and infrastructure in the UK presents multiple opportunities for Spanish companies:
- Participation in Large-Scale Projects – Spanish companies with expertise in renewable energy can contribute to projects like Iberdrola’s East Anglia Hub, which integrates three offshore wind developments in the North Sea. (18)
- Development of Innovative Technologies – Growing investment in R&D offers opportunities for companies to develop energy storage and efficiency solutions.
- Expansion of the Service Market – The increasing demand for maintenance and operation of new energy infrastructure creates a growing market for specialized service providers.
Connecting offshore wind farms to the national grid is key to ensuring the efficient use of generated energy and advancing the UK’s energy transition. This process is already underway, with major investments in transmission and storage infrastructure, creating opportunities for companies specializing in technology, construction, and maintenance of power grids and renewable energy in a rapidly growing market.
Footnotes:
(1) ScottishPower. Iberdrola doubles UK investment.
https://www.scottishpower.com/news/pages/iberdrola_doubles_uk_investment.aspx
(2) City A.M. Infrastructure boom lifts Balfour Beatty, Kier Group and Costain. https://www.cityam.com/infrastructure-boom-lifts-balfour-beatty-kier-group-and-costain/
(3) Ofgem. Race to clean power surges ahead: New electricity superhighway greenlit. https://www.ofgem.gov.uk/press-release/race-clean-power-surges-ahead-new-electricity-superhighway-greenlit
(4) Xlinks. Morocco-UK power project. https://xlinks.co/morocco-uk-power-project/
(5) Iberdrola. Galan confirms Iberdrola commitment UK international investment summit Starmer.
https://www.iberdrola.com/press-room/news/detail/galan-confirms-iberdrola-commitment-uk-international-investment-summit-starmer
(6) InterOPERA. InterOPERA press release FINAL. https://interopera.eu/wp-content/uploads/Docs/InterOPERA-press-release-FINAL.pdf
(7) Hitachi Energy. (2022, julio). Hitachi Energy wins order to connect one of the world’s largest offshore wind farms to the UK
power grid. https://www.hitachienergy.com/es/es/news-and-events/press-releases/2022/07/hitachi-energy-wins-order-to-connect-one-of-the-world-s-largest-offshore-wind-farms-to-the-uk-power-grid
(8) International Renewable Energy Agency (IRENA). Finance and investment. https://www.irena.org/Energy-Transition/Finance-and-investment/Investment
(9) SSE Renewables. Beatrice offshore wind farm. https://www.sserenewables.com/offshore-wind/operational-wind-farms/beatrice/
(10) Ørsted. (2018, septiembre 6). World’s largest offshore wind farm officially unveiled.
https://orsted.co.uk/media/newsroom/news/2018/09/worlds-largest-offshore-wind-farm-officially-unveiled
(11) Ocean Winds. Moray East. https://www.oceanwinds.com/projects/moray-east/
(12) SSE Renewables. Greater Gabbard offshore wind farm. https://www.sserenewables.com/offshore-wind/operational-wind-farms/greater-gabbard/
(13) Ørsted. (2018, septiembre 6). World’s largest offshore wind farm officially unveiled.
https://orsted.co.uk/media/newsroom/news/2018/09/worlds-largest-offshore-wind-farm-officially-unveiled
(14) RWE. London Array offshore wind farm. https://uk.rwe.com/locations/london-array-offshore-wind-farm/
(15) Agenda Industrial. (2024, octubre 28). Los 10 parques de energía eólica offshore más impactantes del mundo.
https://agendaindustrial.com/sector-energetico/los-10-parques-de-energia-eolica-offshore-mas-impactantes-del-mundo/
(16) Iberdrola. Complejo eólico marino East Anglia Hub. https://www.iberdrola.com/conocenos/nuestra-actividad/energia-eolica-offshore/complejo-eolico-marino-east-anglia-hub
(17) Offshore Wind. (2015, noviembre 23). Crown Estate creates offshore wind interactive map.
https://www.offshorewind.biz/2015/11/23/crown-estate-creates-offshore-wind-interactive-map/
(18) Iberdrola. Galan confirms Iberdrola commitment UK international investment summit Starmer.
https://www.iberdrola.com/press-room/news/detail/galan-confirms-iberdrola-commitment-uk-international-investment-summit-starmer
Sources:
Agenda Industrial. (2024, octubre 28). Los 10 parques de energía eólica offshore
más impactantes del mundo. https://agendaindustrial.com/sector-energetico/los-10-parques-de-energia-eolica-offshore-mas-impactantes-del-mundo/
Hitachi Energy. (2022, julio). Hitachi Energy wins order to connect one of the world’s
largest offshore wind farms to the UK power grid.
https://www.hitachienergy.com/es/es/news-and-events/press-releases/2022/07/hitachi-energy-wins-order-to-connect-one-of-the-world-s-largest-offshore-wind-farms-to-the-uk-power-grid
Iberdrola. Complejo eólico marino East Anglia Hub.
https://www.iberdrola.com/conocenos/nuestra-actividad/energia-eolica-offshore/complejo-eolico-marino-east-anglia-hub
Iberdrola. Galan confirms Iberdrola commitment UK international investment
summit Starmer. https://www.iberdrola.com/press-room/news/detail/galan-confirms-iberdrola-commitment-uk-international-investment-summit-starmer
InterOPERA. InterOPERA press release FINAL. https://interopera.eu/wp-content/uploads/Docs/InterOPERA-press-release-FINAL.pdf
International Renewable Energy Agency (IRENA). Finance and investment.
https://www.irena.org/Energy-Transition/Finance-and-investment/Investment
Ocean Winds. Moray East. https://www.oceanwinds.com/projects/moray-east/
Offshore Wind. (2015, noviembre 23). Crown Estate creates offshore wind
interactive map. https://www.offshorewind.biz/2015/11/23/crown-estate-creates-offshore-wind-interactive-map/
Ørsted. (2018, septiembre 6). World’s largest offshore wind farm officially unveiled.
https://orsted.co.uk/media/newsroom/news/2018/09/worlds-largest-offshore-wind-farm-officially-unveiled
RenewableUK. (2024). UK wind and global offshore wind 2024 in review.
https://www.renewableuk.com/energypulse/blog/uk-wind-and-global-offshore-wind-2024-in-review/
RWE. London Array offshore wind farm. https://uk.rwe.com/locations/london-array-offshore-wind-farm/
ScottishPower. Iberdrola doubles UK investment.
https://www.scottishpower.com/news/pages/iberdrola_doubles_uk_investment.aspx
SSE Renewables. Beatrice offshore wind farm.
https://www.sserenewables.com/offshore-wind/operational-wind-farms/beatrice/
SSE Renewables. Greater Gabbard offshore wind farm.
https://www.sserenewables.com/offshore-wind/operational-wind-farms/greater-gabbard/
Xlinks. Morocco-UK power project. https://xlinks.co/morocco-uk-power-project/
City A.M. Infrastructure boom lifts Balfour Beatty, Kier Group and Costain.
https://www.cityam.com/infrastructure-boom-lifts-balfour-beatty-kier-group-and-costain/
Ofgem. Race to clean power surges ahead: New electricity superhighway greenlit.
https://www.ofgem.gov.uk/press-release/race-clean-power-surges-ahead-new-electricity-superhighway-greenlit
