Offshore wind activity provides half a billion-pound boost to UK subsea industry
Growth in the offshore wind sector is a major contributor to an upturn in activity for the UK’s subsea industry according to the findings of the latest Business Activity Review undertaken by Subsea UK, the not-for-profit trade body that champions the industry.
Total subsea revenues derived from renewables rose by over half a billion pounds from just over £1.3bn in 2017 to over £1.8bn in 2019, and the bulk of this increase relates to output from activity in offshore wind. This total reveals a dramatic increase from the £770 million reported in 2013 and demonstrates continued growth in the sector.
The majority of both SMEs and large subsea companies are predicting growth in their revenues from the renewables sector over the next three years, and offshore wind is noted as being a key future market in the short to medium-term.
Neil Gordon, chief executive of Subsea UK said: “The findings of our review, and in particular the growth of renewables-driven revenue, are very encouraging. The drive towards net-zero is presenting exciting opportunities to develop solutions that accelerate the energy transition. With the largest offshore wind market in the world right on our doorstep, the UK subsea industry is well-placed to capitalise on the underwater aspects of these developments and use them to showcase our technical excellence to the rest of the world.
“However, we recognise that global industries are unexpectedly faced with significant challenges and uncertainty as the world responds to the COVID-19 pandemic. At Subsea UK, we are doing all we can to support the subsea industry supply chain. We are gathering intelligence from our 300 members to understand their current priorities and we are working closely with other industry bodies and organisations such as Oil and Gas UK and the OGA to provide clarity for subsea businesses as quickly as possible.
“We are dedicated to making sure the supply chain is kept informed of any relevant developments and opportunities, and many of our planned events will now take place via online platforms. We are hopeful that events scheduled for later in the year will still take place.”