£22m of new funding for wave and tidal energy

The independent company established by the UK Government in 2001 announced the six most promising technologies that will receive new funding to speed up the deployment of full scale prototypes of their leading designs.

Marine energy is currently ten years behind offshore wind energy in its development, but according to the Carbon Trust costs can be dramatically reduced over the next ten years, which could see up to a thousand devices operating in the water by 2020.

The six most promising technologies will be supported with £22m of new funding. Designed and managed by the Carbon Trust, the Marine Renewable Proving Fund (MRPF) uses new funding from the Department of Energy and Climate Change (DECC). The MRPF marks a new level of commitment to developing wave and tidal technologies by helping the UK’s most promising technologies to progress towards early stage deployment and accelerating the first commercial projects in UK waters.

Following a rigorous assessment process, the Carbon Trust has selected Atlantis Resources, Aquamarine Power, Hammerfest Strom UK, Marine Current Turbines, Pelamis Wave Power and Voith Hydro to receive support. Set against a shortage of funding in the sector, the new finance will bridge a funding gap that was stifling progress, creating more certainly around the technical performance of each technology which will trigger increased confidence in the sector.

Tom Delay, chief executive of the Carbon Trust said, ‘The UK must urgently diversify, decarbonise and secure its energy sources and marine energy could over time provide up to 20% of the UK’s electricity. Generating electricity from the UK’s powerful wave and tidal resource not only plays a crucial role in meeting our climate change targets but also presents a significant economic opportunity for the UK. Wave alone presents a £2 billion economic opportunity for the UK.

‘The demonstration of full scale devices at sea is central to realising the full potential of marine energy and getting the first commercial projects in the water is critical to de-risk the technology and attract the necessary private sector investment. This is the start of major new industry that will generate jobs and wealth across the UK.’

Carbon Trust analysis shows that 25% of the world’s wave and tidal technologies are being developed in the UK. Marine energy is an emerging industry with massive growth potential and each successful technology is competing for a stake in what will be a major growth industry. All of the devices receiving MRPF funding will be deployed in UK waters, which will stimulate supply chain opportunities associated with construction and deployment of these technologies. Over 75% of the funding released through the MRPF will go to the UK supply chain.

The MRPF will accelerate the leading and most promising marine devices towards the point where they can qualify for the Government’s existing Marine Renewable Deployment Fund (MRDF) support scheme and, ultimately, be deployed commercially at scale. The scheme will lead to faster progress in the marine energy sector and lower risk investment propositions for the private sector, driving the sector towards large scale deployment.