Diffusion of floating offshore wind technology (FOWT) in Sweden

Abstract: Background: This research work takes a strong sustainability approach with the focus on renewable energy technology (RET) diffusion to meet the multifold and complex challenges with CO2 emission targets and geopolitical energy challenges. Global warming, sustainability issues and significant energy crises, suggests that RET is seen as one of the most important solutions to deal with these challenges. Wind energy has been identified to have a leading role in achieving a low-carbon or completely carbon-free energy sector. Sweden is in the forefront of an energy transition having ambitious goals, and the lack of renewable energy sources may potentially become a problem. Diffusion of new technology may facilitate access to new resources at non-exploited areas, why the challenges to implementation of Floating Offshore Wind Technology (FOWT) and how the technology will diffuse in Sweden is the focus of this research study. Objectives: The purpose and aim of this study is to establish an understanding of diffusion and its drivers and challenges related to FOWT in Sweden and contribute with new knowledge in the field of renewable energy sources. FOWT may facilitate access to new wind resources at deep water conditions, why this study research the challenges to implementation of FOWT and how the technology will diffuse in Sweden. Methodology: The research area is limited to Sweden where main drivers and challenges are identified and framed by literature review of Porter’s Diamond model competitiveness factors and interviewing experts within the Offshore Wind Energy (OWE) industry. The qualitative interview results are applied in the Technology Acceptance Model (TAM) framework, where Innovation Diffusion Technology (IDT) model is used as theoretical framework to build up an understanding of the level of FOWT diffusion in Sweden and how it will diffuse. We use the concept of TAM in combination with IDT to explain how FOWT as a new technology is perceived to be used in the OWE industry with a particular focus on the challenges related to the implementation of FOWT in Sweden. Results: We provide guidance for the OWE industry stakeholders and valuable information of what need to be in focus to resolve challenges for implementation, and the diffusion of FOWT in Sweden. Our general assessment show that the market is positive about the technology. On the other hand, we find that the challenges are multifold and further complicates the implementation phase. Although FOWT has support from climate and environmental impact, the technology has limitations that can negatively affect the Behavioral Intention to Use (BIU). Conclusions: The challenges to implementing FOWT are multifold and concluded to be high risk premium for investors with limited scale effects due to substantiated grids and infrastructure. Collaboration issues between investors and government agencies are obvious, this in terms of inefficient permit processes and general understanding of the impact of the technology for decision-makers within the FOWT value chain. The interview results and IDT analysis direct that FOWT is in the stage of persuasion and will from this stage progress further to the decision and implementation phase of diffusion. Our arguments are based on the identified level of knowledge maturity present among the interviewed stakeholders, and the fact that policy and specialist reports include FOWT when evaluating RET alternatives for new areas. The IDT framework is concluded to be a good tool to further understand what can be done to facilitate diffusion. The study conclude that TAM can be used to identify challenges related to stakeholder perspective and perception also for non-information technology related technologies. Our study suggest that collaborative approach is needed in Sweden to resolve challenges for implementation. Recommendations for future research: The data is collected during a relatively short time period and limited number of interviews are conducted, therefore further studies are needed in the same area to bring more clarity to the FOWT diffusion mechanisms. We identify an opportunity for future research to further focus on the negative aspects of why the Swedish OWE industry perceives these factors as strong obstacles affecting the BIU. In parallel further of interest is to look at FOWT from a larger perspective such as Scandinavia and the understanding if cooperative activities can accelerate FOWT diffusion.