Rising construction costs have cancelled one of Europe’s largest offshore wind projects set to be built off England’s east coast. Sweden’s state-controlled developer Vattenfall AB said it will terminate its 1.8-GW Norfolk Boreas project in the North Sea for the UK, writing off $530 million in costs and termination fees.
“We have seen cost increases in the supply of offshore wind of up to 40% ... for the entire market,” said Vattenfall President and CEO Anna Borg, in announcing the firm's half-year results. “Of course it hits projects that are in development especially.”