Wind Energy – Kent
German energy giant RWE has abandoned plans for a massive offshore wind farm off Australia’s southern coast, citing unfavourable market conditions and ongoing global uncertainty in the offshore wind sector.
The company announced on its website that, after nearly a year of feasibility studies, it has decided to cease development of the Kent Offshore Wind Project, located off the Gippsland coast in Victoria.
“After close to a year of feasibility studies, RWE has made the considered decision to cease development of the Kent offshore wind project off the Gippsland coast in Victoria,” the company said in a statement.
Australian Energy Minister Chris Bowen acknowledged the decision, noting that the country’s fledgling offshore wind industry has been affected by broader international challenges.
“This decision follows a review of the project’s competitiveness in current market conditions, as well as ongoing uncertainties around supply chain costs and the future design of the auction framework,” Bowen said.
RWE emphasized that the decision applies only to the Kent project and does not signal a retreat from Australia’s renewable energy market.
While the project’s cancellation represents a setback for Australia’s offshore wind ambitions, industry analysts say it underscores the mounting global pressures – from escalating supply chain costs to financing challenges – that are reshaping investment decisions across the renewable energy sector.
