Turbines set to turn on giant offshore wind farm

The Arklow Bank wind farm - the world's first offshore use of wind turbines above three megawatt capacity - will begin producing electricity before Christmas but it will be another two years before Irish company Airtricity may exercise its option on buying the farm.

Built by US firm GE Wind Energy and featuring seven 3.6 megawatt turbines, the wind farm has recently been completed 10kms from the Arklow coast and is visible from the Wicklow and Wexford coastline.

The wind farm was developed using a foreshore lease granted to Airtricity in 2001. However, because it is the first offshore example of GE's new large-scale turbine technology, the company wants to hold ownership of the wind farm and use it as a demonstration site for a further two years.

It was not clear at the weekend whether the company will seek to sell the electricity generated during this period.

Airtricity, the Republic's largest renewable energy firm which is headed by Mr Eddie O'Connor, holds an option to purchase the project after the demonstration is complete, approximately two years after first operation.

This first phase of the project is expected to produce enough wind energy to meet the annual needs of about 16,000 average Irish households

This Arklow Bank project was first introduced by Airtricity as phase one of a much larger offshore project that the company proposes to build over the coming years.

Airtricity's foreshore lease provides for more than 520 megawatts of offshore power on the Arklow Bank, allowing for significant additional development in years to come.

According to a recent study by Scottish consultants, Garrad Hassan, wind energy could provide 16 per cent of energy needs on the island of Ireland by 2010 if the governments North and South back developments in the sector.

Ireland is in a unique position to promote the growth of wind energy and at least 2,000 megawatts of wind generation could be added to our electricity system, it adds.

The report suggests a North/South alliance could replicate what Denmark and parts of Germany have done to grow wind power. Two thousand megawatts is equivalent to several large gas- or coal-fired stations.

The report says wind currently provides about 2.4 per cent of electricity on the island of Ireland.

It makes clear the 2,000 megawatts prediction is a conservative one and more wind power might be added if regulators make certain changes.

Taxes and market subsidies have already been significant in the development of wind energy both in Ireland and Europe.

In Spain, after years of government support the wind energy industry was shaken by a sudden reduction in incentives, creating a fear of a loss of confidence.

However, 45,000 people work in the industry in Germany where capacity has grown from practically zero in 1992 to 12,500 megawatts last year. GE Wind Energy has more than 13 per cent of the wind energy market in Germany.