Beyond the Cost of Energy: Aquatera Atlantico is Exploring New Approaches to Assessing the Value of Floating Offshore Wind

The Levelised Cost of Energy (LCoE) has become one of the most widely used indicators for assessing the economic viability of renewable energy projects. Its main strength lies in providing a standardised measure for comparing technologies by relating the costs associated with a project to the energy it is expected to generate over its lifetime. 

However, as the energy transition progresses and renewable energy projects play an increasingly important role in regional development, there is a growing need to adopt a broader perspective on the value they generate. In floating offshore wind, factors such as social acceptance, benefits for coastal communities, and the potential to support marine ecosystems are becoming increasingly relevant to planning and decision-making processes. 

Aquatera Atlántico is contributing to the development of advanced assessment methodologies through the INF4INiTY project, helping to enhance traditional LCoE models by incorporating socio-economic and environmental dimensions that are often underrepresented in conventional assessments. 

These dimensions include value creation for coastal communities, transparency in project development, effective communication between developers and local stakeholders, early stakeholder engagement, and opportunities for local and regional development. 

The aim is to move towards assessment tools that reflect not only the technical and economic performance of renewable energy technologies, but also the environmental and social implications that influence how projects interact with the places and communities where they are deployed. 

These improvements are particularly relevant for innovations designed to support the coexistence of renewable energy generation and marine ecosystem conservation. Integrating biodiversity enhancement measures and Nature-Inclusive Design (NID) solutions into offshore wind infrastructure introduces new challenges for conventional assessment methods, which may not adequately capture their potential environmental and societal benefits. 

Advancing these methodologies can provide more comprehensive tools for comparing design alternatives, informing investment decisions, and supporting strategic planning across the offshore wind sector. Ultimately, the objective is to develop a more holistic understanding of project performance, recognising not only financial costs and energy production, but also the wider costs, benefits, and impacts associated with offshore renewable energy development. 

As part of INF4INiTY, Aquatera Atlántico contributed to the co-development of the project deliverable D7.1: Enhanced LCoE Model. The enhanced model extends the traditional LCoE framework by incorporating socio-environmental externalities into the economic assessment. This approach aims to provide a more comprehensive evaluation of the economic performance and societal value of investments in floating offshore wind technologies incorporating Nature-Inclusive Design solutions. 

Aquatera Atlántico are continuing to explore approaches that bring together environmental and social considerations, technological innovation, and evidence-based assessment to support an energy transition that responds to the needs of communities, territories, and ecosystems.