Offshore wind power storage costs are lower than thermal power

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Introduction

This paper presents average values of levelized costs for new generation resources as represented in the National Energy Modeling System (NEMS) for our Annual Energy Outlook 2025 (AEO2025) Reference case. In February 2024, Arup was commissioned by the Department for Energy Security and Net Zero (DESNZ) to update the Levelised Cost of Electricity (LCOE)1 for onshore wind, offshore wind and large-scale solar PV (>5MW) technologies in Great Britain out to 2050. Offshore wind power, while a promising renewable energy source, presents particular challenges when it comes to energy storage.

Offshore wind power storage costs are lower than thermal power

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