Wave energy facility receives £5 million funding

COPENHAGEN, Denmark, April 5, 2006 (Refocus Weekly)

The Welsh European Funding Office will provide £5 million towards a 7 MW wave energy facility off the coast of western Wales.

KP Renewables and Wave Dragon are developing the first stage of deployment for the £12 million project off the coast of Pembrokeshire, near Milford Haven, that will generate electricity for 6,000 homes. The second phase of development will involve construction and operation of another 70 MW of wave energy projects, also in Wales.

The wave power station project was announced in December and the location was chosen after the two companies conducted a pre-environmental assessment of numerous potential sites, and through consultation with local stakeholders. The unit has been under development for eight years and has been tested off the coasts of Ireland and Denmark.

The prototype in Denmark is believed to be the world’s first offshore device to deliver power to a national grid. The units are moored to the seabed, but float to adjust their position according to the direction of waves, which are channeled into a reservoir above sea level to drive turbines.

Subject to environmental impact and other assessments to be conducted during the first phase, the plan is to install another eleven units in deeper water 18 km off the coast of Wales. Those units would be built in 2008 and 2009 to yield a total capacity of 70MW of electricity, and KP Renewables estimates construction could create 1,000 jobs with 20 permanent positions.

KP Renewables was established as an independent renewable energy company in the UK and has already signed power purchase agreements for green power from biomass and carbon recycling projects, as well as wind and wave projects that qualify for Renewable Obligation Certificates. Power retailers must source 10.4% of their electricity from renewables by 2010.

“Wales has a significant marine energy resource and the Wave Dragon project has the potential to harness that power to provide clean, renewable energy,” says economic development minister Andrew Davies. “Our vision is to make Wales a showcase for clean energy production and energy efficiency and our marine assets offer new opportunities for the production of renewable energy and help us meet our targets by 2020. It also offers us the opportunity to develop the supply chain for these emerging technologies, and bring further economic benefits to Wales.”

The Wave Dragon was patented in 1994 by Wave Dragon ApS in Denmark. Since 1997, 14 academic and industrial partners from six EU countries have collaborated in the research and development of the unit, with total investments to date valued at £7 million.

“We believe that the UK’s wave energy potential is even greater than the potential for the UK’s wind energy industry,” adds James Watkins of KPR. “Having already developed a promising pipeline of wind energy opportunities, we felt the need for a strong presence in wave power, which is a crucial component of the UK renewables mix.”

“The successful commissioning of the first stage 7 MW Wave Dragon unit will open up the renewable energy market in the UK for Wave Dragon’s technology,” says Hans Christian Sorensen of Wave Dragon. “The subsequent development, in the second stage, of a full-scale 70 MW installation, will represent the UK’s first true Wave Power Station.”

To encourage deployment of wave and tidal demonstration projects, the government recently published an approvals process for projects in England and Wales, putting into place the conditions that will allow Britain’s marine industry to demonstrate the renewable energy potential of its seas. The required consents in Welsh waters include approval from the Department of Trade & Industry under the Electricity Act 1989 and the Energy Act 2004, consent from the Welsh Assembly Government under Food & Environmental Protection Act 1985, and consent for any onshore grid connection infrastructure


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