Dutch Offshore Wind Sector Stagnates Amid Financial Challenges
Netherlands, Friday, 7 March 2025.
The Dutch offshore wind industry faces significant financing and innovation barriers, risking its global competitiveness unless new funding mechanisms and tender reforms are introduced.
Market Share Decline and Financial Bottlenecks
A comprehensive study released today by consultancy firm JBR, commissioned by Invest-NL and TKI Offshore Energy, reveals a stark decline in European offshore wind manufacturing capabilities. The European market share in turbine assembly has experienced a dramatic drop from 58% to 30% between 2017 and 2022 [1]. The most critical financing gap affects investments ranging between €2 million and €10 million, particularly impacting supply chain innovation and scaling capabilities [2].
Competition and Infrastructure Development
The sector faces mounting pressure from Chinese competitors, while infrastructure expansion continues across the Netherlands. In the northern region, Buss Terminal Eemshaven has recently expanded its facilities to support offshore wind operations, adding 15 hectares of heavy-duty storage and a 200-meter quay [3]. However, these infrastructural improvements may not be sufficient without addressing the fundamental financing challenges facing the industry [1].
Proposed Solutions and Policy Changes
Eva Ferrier, business development manager at Invest-NL, emphasizes the urgent need for action to prevent the offshore wind sector from relocating abroad [4]. The study recommends revising the current Dutch tender system, which primarily focuses on highest bidders, to incorporate broader criteria including innovation, local employment, and sustainability metrics [1]. Additionally, the report suggests leveraging European financing opportunities, particularly the €5 billion European Investment Bank counter-guarantee, to bridge the existing funding gap [4].
Future Outlook and Strategic Priorities
To maintain the Netherlands’ competitive position in the offshore wind sector, industry experts advocate for an action-oriented approach across the entire supply chain [4]. This includes developing new financial instruments to mitigate risks and mobilize capital, while fostering stronger collaboration between government entities, investors, and private companies [1][4].