Being developed by a special purpose vehicle (SPV) company Tidal Lagoon (Swansea Bay), the £1.3 ($1.49bn) project is said to be one of the world's biggest tidal power plants.
According to the independent review into the feasibility of project, which was carried out by the former Energy Minister Charles Hendry, tidal lagoons have potential to play a cost effective role as part of the UK energy mix.
Last year, Hendry was appointed to assess the economic viability of the project and its role in the UK’s energy mix.
Hendry said: “I believe that the evidence is clear that tidal lagoons can play a cost effective role in the UK’s energy mix and there is considerable value in a small (less than 500 MW) pathfinder project.”
The study also revealed that tidal lagoons can help deliver security of supply while assisting in delivering in the UK’s decarbonization commitments.
UK Business, Energy and Industrial Strategy state secretary Greg Clark said: “The Government’s energy planning is focused on ensuring affordable, secure, low-carbon energy.
“We will now consider recommendations and determine what decision is in the best interests of the UK energy in the long term.”
The report, however, makes 30 recommendations for bringing maximum benefits from the tidal lagoon to the UK market.
Welcoming the review, trade body RenewableUK CEO Hugh McNeal: “Government should finalize negotiations so that work can start on this important infrastructure project as soon as possible.
“This is a new growth sector with huge potential to bring industrial-scale economic opportunities to the UK.
“Each new tidal lagoon will drive down costs due to economies of scale, benefitting consumers, as well as strengthening the security of our energy supply.”
Image: The tidal lagoons have potential to play a cost effective role in the UK’s energy mix. Photo: courtesy of Crown copyright.
