UK unveils £70m offshore port hub competition

The UK Government has issued a call for formal applications for port redevelopment projects to support offshore wind.

The call for applications is being issued with a view to offering a letter in principle to a single large port hub developer in early 2021.

It follows on from the Government’s Ten Point Plan and the Prime Minister’s 6 October announcement of £160m of funding being provided to support the offshore wind supply chain.

The ports competition, run by the Department for Business, Energy and Industrial Strategy (BEIS), is for one single award only for a sum of around £70m.

Energy Minister Kwasi Kwarteng said: “The UK is already leading the world in offshore wind energy – establishing a major new offshore wind manufacturing hub, supported by thousands of skilled UK workers, will make sure we capitalise on the huge potential of our green ambitions.

“This is an essential part of our plan to increase capacity to 40GW by the end of this decade – a bold target that will help keep us at the forefront of the green industrial revolution.”

Projects, referring to the proposed portside hub as described in applications received for the award, will be judged and compared on the value for money they offer in accordance with the process set out by BEIS).

The scheme is open to applications until 8 January 2021.

Applications should include an explanation of the rationale behind the applicant’s strategic decision to develop an offshore wind portside hub as well as evidence or investment decision which should include discounted cash flow, or internal rate of return, funding model and requirement for government funding.

Applications also need to include key personnel, key financials, delivery plans for the project’s construction phase, procurement strategy, all planning and consent documentation and evidence of any commercial agreements with offshore wind suppliers or manufacturers intending to occupy the port site after completion.

Source: Renews.biz