Britain incapable of reaching net zero targets amid supply shortages, report warns

A shortage of ships, steel and concrete is preventing the UK from building wind and solar farms

Britain is incapable of building the wind farms, solar farms and transmission networks essential to net zero, a government report has warned.

A shortage of ships, steel and concrete in the quantities needed to build new infrastructure casts doubt over government targets to decarbonise the energy system, according to a study by management consultancy Baringa.

The problem is compounded by a shortage of skilled workers who can install the new structures.

The report, a “readiness study” for the UK supply chain, was commissioned by the Department for Energy Security and Net Zero (DESNZ) and released without any publicity on April 17.

Authors Rob Gilbert and Stuart Williams said: “Achieving the renewables deployment ambitions outlined in the British Energy Security Strategy will be very challenging without significant coordination across industry and Government to resolve supply chain constraints.”

The UK lacks the ships needed to build offshore wind turbines and even if that were solved, would be unable to connect them to the shore because it cannot produce enough high voltage cables, according to the study.

For solar farms, it warned that the UK was also incapable of supplying enough switchgear and transformers, as well as cables.

Disastrous shortages of skilled labour are also a factor. The report warned: “All renewables sectors face skills-related constraints. Shortages are particularly acute for design and commissioning engineers, project managers, and installation technicians.”

Supply chain issues are most severe for the UK’s offshore wind industry and the devastating report suggests that government hopes of installing 50 gigawatts-worth of capacity by 2030 may be futile.

The UK currently has about 2,765 wind turbines installed around its shores, with a capacity of nearly 15 gigawatts (Gw) – theoretically enough for several million homes when the wind is blowing.

Future turbines are expected to be much larger, so the UK needs to install another 2,500 machines – more than one a day – to reach its 2030 target. Baringa’s report suggests that this is well out of reach.

One of its most damaging findings is that the UK lacks the skills and engineering facilities to expand the transmission network, which is the network of high voltage cables essential for all electricity generators.

Baringa added that a lack of planning and consistency by the Government was blocking investment.

It said: “Despite the huge increase in network build required for the future, suppliers are reluctant to invest in new capacity given uncertainty about long-term demand for specific components, wider regulation, and funding.”

One solution is for the UK to pay over the odds to employ foreign companies to build and install its future energy systems. Most of the UK’s existing wind farms are already part or wholly owned by foreign companies or investors.

However, such a move would undermine industry agreements such as the North Sea Transition Deal, under which the Government has agreed that at least half of the money to be spent on the energy transition would go to UK companies.

Brigitte Amoruso at Make UK, the trade body for UK manufacturers, said: “Although the UK was at the forefront of wind technology innovation, the Government failed to keep the supply chain within the UK for wind turbines and solar panels.

“As a result, these aspects were outsourced to competing nations such as China and Canada. This is a long standing issue for the UK which must be addressed.

“The constant political indecision and changes have only exacerbated the problem. In the absence of a clear and resolute direction from the Government, the process of energy transition is at risk of being significantly delayed and becoming more expensive.”

A DESNZ spokesman said the UK was already addressing many of the problems identified in the report and aiming to create a sustainable supply chain.

They said: “We are confident in and committed to meeting our renewables ambitions, with strong plans for doing so.”