Offshore wind can bring up to USD 5.4bn to Ontario's economy
(ADPnews) - Dec 9, 2010 - Ontario's offshore wind industry could fetch some CAD 4.8 billion (USD 4.7bn/EUR 3.6bn) to CAD 5.5 billion to the local economy from 2013 to 2026, according to a study of the Conference Board of Canada financed by the offshore unit of Danish wind turbine maker Vestas Wind Systems (CPH:VWS).
The study assessed the direct and indirect economic benefits of the installation of 2,000 MW of offshore wind capacity by 2026.
The Conference Board of Canada projects that these 2,000 MW of offshore facilities would create 3,900 to 4,400 construction jobs per year and 600 permanent positions. Total real capital investment and operations spending for the 15-year period would reach CAD 10.04 billion, the study says.
The contribution to the Ontario gross domestic product (GDP) is seen to reach CAD 4.8 billion in the base case scenario, which provides for a 55% share of local procurement. Under a scenario with 63% of local procurement inputs, the contribution to GDP is seen to rise to CAD 5.5 billion.
On November 23, Ontario presented its Long-Term Energy Plan under which the province will invest CAD 87 billion in nuclear, wind, solar, hydro and biomass power over the next 20 years. One of its major goals is the elimination of all coal-fired power plants by 2014, while renewable energy capacity in the province is planned to reach 10,700 MW by 2018 from 1,657 MW at present. According to the Conference Board of Canada, offshore wind will contribute 1,014 MW of renewable capacity by 2018.
At present, there are no offshore wind power facilities in North America. There are two projects under development in Ontario, located in the Lake Ontario near Kingston, with a combined capacity of 714 MW.
Veselina Petrova is one of Renewables Now's most experienced green energy writers. For several years she has been keeping track of game-changing events both large and small projects and across the globe.