R&D: Ocean energy

We continue the R&D activities in ocean energy with undiminished interest. The technology is still in the development phase and is not expected to be commercially viable until some time after 2020.

Vattenfall has decided to localize its development of commercial ocean energy electricity generation in Scotland due to the favorable conditions at the selected sites. A large part of the work is devoted to securing suitable sites for demonstration projects and acquiring permits for commercial installations.

Ocean energy is a renewable energy source, in which electricity can be generated from thermal differences, tidal streams, waves or differences in salinity. This means that the ‘fuel’ is inexhaustible and free. Moreover, the operation of ocean energy converters does not emit carbon dioxide or other greenhouse gases that contribute to global warming.

Using ocean energy would also increase diversification and security of supply of Vattenfall’s production portfolio, and provide a long-term growth opportunity for Vattenfall. Our goal is to own and operate commercially viable ocean energy farms.

Vattenfall is presently focusing its Ocean Energy engagement in Scotland. With a massive ocean resource, Scotland and the Shetland Islands have a great opportunity to harness a substantial new marine industry. We have now started a pilot project using the Pelamis technology in the Shetland Islands. Through an Irish wave farm development company, we are also following the Wavebob technology.

Read more about Wave power

Wave power – potentials and challenges 
Market conditions  

Wave power – potentials and challenges

Wave power is an unexploited renewable energy source that has several attractive features:

• There is a huge global theoretical potential for energy from the waves, in the order of several thousands of TWh. Even if only a small part of wave potential can be exploited this will still mean potential of several hundreds of TWh. As a comparison, the total annual electricity production in Sweden is approximately 150 TWh.
• Waves have a longer duration than winds, and tend to shift in their incidence to a greater extent compared to winds. This means that electricity can be generated from the waves after winds have died out. It also means that wave power complements – rather than competes with – wind power.
• The environmental and visual impacts of offshore wave power farms are expected to be low.
• Nonetheless, wave power is still an immature technology, and challenges lie ahead. The sea is a harsh environment and the demands on any successful wave power device will be severe. Devices must be able to survive the worst storms, and be able to function with a minimum of maintenance, since weather conditions will limit access. They also need to have an acceptable economic performance to be commercially viable.

Other challenges relate to infrastructure and regulatory issues. Promising locations for wave power are often in areas with a weak power distribution grid. This practical issue will need to be overcome before any large-scale introduction is feasible. Other areas to consider are the effects of wave power on the environment, and the permit application processes.

Since wave power is a new source of energy, little practical experience has been assessed concerning its impact on the environment, nor of the processes and level of detail involved in the granting of permits for wave energy farms.

Market conditions

The best conditions for wave energy are on exposed west coasts in the temperate zones. The temperature differences give rise to winds, which in turn produce waves that increase in height as they near the land. Relate this to Vattenfall’s core markets, the most interesting areas are Ireland, the UK (primarily Scotland) and Norway. 

However, in the initial phase there is a need for market subsidies for wave energy, which the Irish and UK governments in particular have recognised.