Energy Transition Handbook 2021 - Flipbook - Page 26
For countries with appropriate coastline, tidal power has the potential to be a
predictable and reliable source of energy. The technology uses the energy present in
the natural rise and fall of the ocean tides or currents, which it converts into electricity.
It may take the form of a tidal barrage capturing the motion of the tides and converting
it to energy, tidal stream technology or the construction of tidal lagoons.
This market is at an early stage and historically
there have been significant technological and
economic barriers to entry. In 2019 there was
only 531 MW of marine capacity globally, most
of which was located in France and South Korea.
According to the International Renewable
Energy Agency only 0.01% of jobs in renewable
energy relate to tide, wave and ocean energy.
Yet harnessing energy from the oceans could
be revolutionary and across the world there are
exciting start-ups looking to crack this technology.
High development and construction costs
Risk allocation on unproven technology
Difficulties securing the government support
need to make projects deliverable
Environmental effects – large scale barrages
may have long term environmental effects that
are not known at the outset and might appear
during the project
Hogan Lovells has been advising a cornerstone
investor in the Swansea Bay Tidal Lagoon project
in Wales, comprising 16 hydro turbines, a 9.5km
breakwater wall and seeking to be the world’s first
tidal lagoon power plant generating electricity for
155,000 homes for the next 120 years.