Global wind capacity to double by 2027, according to MAKE
According to the consulting firm, MAKE, the world’s total wind capacity is set to double by 2027.
The world is set to receive an additional global capacity of 65GW within the next nine years, increasing at a Compound Annual Growth Rate (CAGR) of 4%.
The industry is expected to have a high momentum between now and 2020, with annual capacity additions increasing by 30% between 2017 and 2020.
The second wave of momentum is forecast between 2023 and 2027, growing at more than 30% in the time frame.
The rate of growth depends on the industry’s ability to continue winning capacity awards at auctions, and to remain on time and budget when executing awarded capacity.
The US’s wind industry is currently under strain due to new policies pushing project timelines into 2019 and 2020.
MAKE has forecast that the nation’s new capacity will decline by almost three times as much between 2022 and 2027 compared to the four previous years, due to the value of production tax credit.
Latin America is anticipated to have a CAGR of more than 14% during the review period, due to auctions in Brazil, Mexico, Argentina, Columbia, and Peru this year.
Europe’s wind output is reliant on the success of its offshore wind capacity, MAKE claims, as over the next 10 years it will make up more than 25% of new capacity.
In the Middle East and Africa, additions of annual capacity are set to triple by 2027, with Saudi Arabia expected to be awarded 1.2GW of wind contracts.
China’s recent NEA warning mechanism has impacted the growth of wind capacity in Asia and Oceania, but even so capacity is still expected to rise.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.