How to write the North Sea’s sequel

By Robert Fradley, Offshore Commercial Director at RES

The North Sea is stood at crossroads, caught between two stories. For decades it has served as a powerhouse of northern European economies, providing jobs, stability and energy security. In recent years, with oil and gas production in decline, the pen was poised to write the North Sea’s final chapter, yet with offshore wind taking centre stage, the region is primed for a must watch sequel, this time as the green power plant of Europe.

With ambitious targets to reach 120GW of offshore wind capacity by 2030 and 300GW by 2050, the North Sea could soon supply over half of Europe’s renewable energy. The opportunity is highly compelling. In fact, research suggests that closer cooperation on the clean energy transition in the North Sea could lower bills, create up to 51,000 jobs, and add up to £36 billion to the UK economy alone. 

But achieving this transformation will require more than just technology innovation and investment; it demands the region reimagine its own future and continue to embrace change. To successfully deliver these ambitions, industry must usher in an era of unprecedented collaboration across borders, companies, and disciplines.

A new era of collaboration

The signing of the UK-Norway Green Industrial Partnership is a positive first step towards greater collaboration. In summary, as Norwegian Minister of Trade and Industry Cecilie Myrseth put it at the signing in May: “By combining Norwegian and British strengths, we can create jobs, develop new industries, and enhance our competitiveness”.

The Partnership reorientates the two countries’ longstanding North Sea relationship to support clean energy investment in the region, fostering dialogue and collaboration on offshore wind, grid integration, protecting offshore infrastructure and the cross-border storage of carbon dioxide. 

The initiative will build on existing private industry collaborations, for instance, the 500MW Siravind floating offshore wind project – a joint venture between RES and our Norwegian partner Zephyr. Sourcing world-leading expertise from project partners in different countries, the joint venture plans to establish a floating offshore wind project as part of Utsira Nord.

In a further call to action, over 60 companies recently signed Wind Europe’s New Offshore Wind Deal Proposal, which calls on European governments to address the barriers to developing a homegrown offshore wind industry. The Deal asks governments to commit to 100GW of two-sided Contracts for Difference (CfDs) over 10 years and to undertake cross-border planning to ensure consistent project commissioning. This could be supported by a further 5GW a year financed by corporate Power Purchase Agreements (PPAs).

This level of commitment would provide the stability needed for the industry to invest in the projects, manufacturing capacity and people needed to meet the committed volumes while reducing the cost of electricity by 30% towards 2040 for consumers and businesses.

Technical integration: the grid challenge

Even with strong partnerships and financial frameworks in place, technical barriers remain significant. Alongside scaling floating offshore wind, grid integration stands as one of the most pressing challenges.

The current system suffers from clogged connection queues and the need for the grid to be reinforced in some locations delaying viable developments both onshore and offshore. Without strategic grid capacity being built at pace and cross-border interconnection, we won’t maximise the generation capacity of the projects we build.

From competition to collaboration

Aside from the technical challenges, one of the most difficult transitions that the industry will now face is the need to move away from competing for the same resources. While countries need to maximise the opportunity for themselves, strategic oversight will be essential to ensure the most cost competitive supply chain is built overall.

Without alignment, Europe risks duplicated infrastructure, inefficient port development, and scattered supply chains that lack economies of scale. Instead, countries or regions should be encouraged to hone their specific expertise, building hubs and communities in strategic locations.

The same collaboration will also need to be applied to the workforce. It is thought that North Sea energy jobs across offshore wind, carbon capture, hydrogen and oil and gas could grow to 211,000 by 2030. This will require substantial recruitment, as well as retraining, reskilling and repurposing of the existing workforce.

The next chapter

Primed for its sequel, the North Sea has every potential to become Europe’s green power plant, but collaboration must extend beyond political agreements to practical implementation. Financial mechanisms need firm government commitments. Grid planning must occur across borders. Workforce and supply chain development requires multinational coordination.

This collaboration will not be without challenge, but this is a once in a lifetime opportunity to see a new industry born that will have a hugely positive impact across the economy, jobs and the environment. And once successful here, it will be an exemplary tale to the world of what can be achieved.

Hear more from me on the potential for the North Sea to be Europe’s green power plant on Wednesday 18^th June at 1.45pm at Global Offshore Wind.