1. 6 december 2012 ATO/we@sea Cost reduction offshore wind ATO/We@Sea conference Ernst van Zuijlen / Chris Westra 6 december 2012

2. 6 december 2012 ATO/we@sea Target of the TKI Cost reduction by 2020 40% Yearly Costs O&M Costs Depreciation Finance / risk WACC Capital 1/ Yearly Output Gross Output Losses Levelised costs / kWh COSTS OUTPUT COSTPRICE COSTS COSTPRICE

3. 6 december 2012 ATO/we@sea Target Levelised costs offshore wind at 100 / MWh 2010: 166 /MWh 2020: 99 /MWh

4. 6 december 2012 ATO/we@sea Actual average Capex (per MW) adapted from Greenacre et al. (2010).Greenacre et al. (2010) dssdsdsd

5. 6 december 2012 ATO/we@sea Further cost increases Planning and consent procedure Building and operational Risk – Experiences (grout, gear boxes......) – Perception of risk Lack of standardisation Further at sea, deeper water

6. 6 december 2012 ATO/we@sea Bigger, deeper, further

7. 6 december 2012 ATO/we@sea UK findings (cost reduction; 1) Larger turbines with higher reliability and energy capture and lower operating costs. Increased competition in key supply markets

8. 6 december 2012 ATO/we@sea Innovative turbines Norwegian Sway 10MW offshore wind turbine, the ST10. The company claimed an estimated 15-20% reduction in turbine cost, and a considerable reduction in cost per kWh produced.

9. 6 december 2012 ATO/we@sea UK findings (cost reduction; 2) Economies of scale and standardisation (mass produced deeper water foundations. Optimisation of installation methods. Wind farm design en supplier involvement Reduced WACC!!

10. 6 december 2012 ATO/we@sea The Dutch approach R&D: TKI / FLOW / we@sea programme

11. 6 december 2012 ATO/we@sea Project Leeghwater A demonstration / pilot plant About 8 consortia x 2 installations @ 6 MW PILOT PLANT ~100 MW DEMONSTRATION FARM ~200 MW Various consortia for test projects within the pilot plant (BOOT)

12. 6 december 2012 ATO/we@sea Dutch cost reduction policy options Measures to be taken by the government: Socialisation of the offshore grid Long term stable policy Optimised regulatory framework Risk sharing (finance) More space available close to the shore (Hollandse kust)

13. 6 december 2012 ATO/we@sea Spatial planning Hollandse Kust Option with minimal space Option with maximal space (2 Nautical miles (NM) and 5 NM from platforms) 2 oktober 2012 Aanwijzing HK en TNW concept ( 500 meter from shipning lanes

14. 6 december 2012 ATO/we@sea NL Translation UK findings (Ecofys) All efforts needed: – R&D – Demonstration – Market development – Socialisation of grid costs – Policy optimisation – Reduction of finance costs

15. 6 december 2012 ATO/we@sea A leading role for the Dutch? Support structures Transport, Installation & Logistics O&M Project development Port facilities

16. 6 december 2012 ATO/we@sea Dutch contributions Of de DOT: Delft Offshore Turbine? 2B-Energy XEMC-DarwinD

17. 6 december 2012 ATO/we@sea Dutch contributions Smart scour protection

18. 6 december 2012 ATO/we@sea Dutch contributions Transfer systems for personnel and small components

19. 6 december 2012 ATO/we@sea Dutch contributions Slip joint – (no grout, no transition piece)

20. 6 december 2012 ATO/we@sea Dutch contributions Integrated design of foundation and tower

21. 6 december 2012 ATO/we@sea www.tki-windopzee.nl

22. 6 december 2012 ATO/we@sea Next goal: implementation *********** Amalia en Egmond Gemini 1 Start of implementation Pilot plant + Demofarm Q10 Gemini 2 Total MW (right) MW per year (left)