OWP | Water & Renewables

Offshore wind projects carry significant risks that can lead to large project delays, cost overruns, and revenue losses. These risks stem from various technical, regulatory, environmental, and financial challenges.

SanCo is focused in preventing (or at least mitigating) projects risks. Examples of major risks associated with offshore wind projects are:

1. Technical Risks.

Construction Delays and Technical Challenges: Offshore wind projects consist of multicontracts and interfaces between a large number of stakeholders, moreover offshore environments are harsh, leading to potential delays due to difficulties during the design&certification, manufacturing and installing turbines, foundations, and undersea cables. Adverse weather, equipment malfunctions, and logistical issues in transporting components can disrupt construction timelines.
Turbine Reliability and Performance: Offshore turbines must withstand extreme weather conditions, corrosion from saltwater, and constant mechanical stress. Equipment failures or underperformance can lead to costly maintenance and extended downtime.

2. Environmental and Permitting Risks.

Environmental Regulations: Offshore wind projects must comply with strict environmental regulations to minimize impacts on marine ecosystems, wildlife (such as birds and marine mammals), and fisheries. Obtaining environmental permits can take time, and non-compliance can result in fines or project halts.
Marine Spatial Planning Conflicts: Offshore wind farms compete for space with other marine activities like shipping, fishing, and military operations, which can cause further delays if conflicts arise during the permitting process.

3. Financial and Market Risks.

Cost Overruns: Offshore wind projects involve large capital expenditures, and unforeseen issues—such as technical setbacks, rising costs of materials, or inflation—can result in substantial cost overruns. Supply chain disruptions, especially related to key components like turbines or cables, are a common cause.
Fluctuating Energy Prices: Revenue projections for offshore wind projects are highly dependent on market energy prices, which can fluctuate due to global economic conditions, energy demand shifts, or competing energy sources (e.g., fossil fuels). This can impact long-term revenue streams.

SanCo is focused to prevent the major offshore wind projects risks, i.e. project delay, overrun cost and revenue loss.

KPI	Germany	UK
Project Delay (beyond 1 year)	>30-40% of projects	>20-30% of projects
Cost Overrun (>10%)	>25-35% of projects	>15-25% of projects
Revenue Loss (>15%)	20-30% of delayed projects	10-20% of delayed projects
CAPEX per MW Installed	€3-5 million per MW	£3-4.5 million per MW
Availability Rate (Operational)	90-93% (early stage); improving to 97%+	95-97%
Revenue Loss per Day (due to delay)	€150,000 - €500,000/day	£200,000 - £600,000/day
Energy Yield Achievement	85-90% of expected yield (early stage)	90-95% of expected yield

We support our clients worldwide, both in mature offshore wind markets, as Germany or UK, and in new markets where

such risks are expected to have a larger impact.

Technical Project Management

SanCo offers individuals working packages, interfaces or/and overall technical project management services.

Ports and Terminals

SanCo offers integrated services in hydraulic, geotechnic, structural and ecology to assist our clients in adapting/selecting port facilities to new demanding activities.

Project Business Case

SanCo will assess the Project AEP, CAPEX and OPEX, and finally the overall Project LCOE/IRR

Multicontract & EPCI

SanCo enhances project´s teams to maximize return on investment by minimizing project delays, cost overrun and revenue losses

Audit & Evaluation

Pre-qualifications Suppliers and Port facilities Audits. External Audits during project execution.
SanCo will help, amongst others, Manufactures in increasing market access, Faster registration, Improving image/brand, Reducing manufacturing costs,etc

MetOcean Data

SanCo provides hindcast and forecast Meteorological and oceanographic time series (10-y, 20y) design data. Design Basis Reports validation and issue.

Park Layout Design and Optimization

SanCo will develop the most LCOE/IRR optimized park layout. Accurate AEP assessment (wakes, blockage, etc)

Design Basis Documents

To issue/approve the reports of best practices and state of the art for design, construction and operation of structures and facilities in coastal and offshore waters.

Floating Wind technology

Floating Wind Projects. De-risking activities

O&M Optimal Strategy and OPEX Assessment

Computer simulation to assess O&M optimal strategies

Integrated Water and Renewables

There are more than 50,000 islands in the world, 17% of the total land area, and more than 700 million people live on them. Islands have plenty of sea water and renewable energy to eficiently be coupled.

Scour Protection

SanCo assesses Scour Development around offshore and coastal structures, and bridge´s foundations. Sanco designs/approves Scour Protection layouts.

Marine Geotechnics

SanCo analysis/approves soil investigation campaign setup and results. Soil-structrure interactions assessment. Design Basis reports approval and issue

Submarines Cables and Pipes

SanCo will help project insurance, owners and suppliers to identify and reduce risks associated to design, installation and maintenance of marine cables and pipelines

Coastal engineering

Assessment of the hydrographic conditions for the design, construction and operation of structures and facilities in coastal and offshore waters. Coastal restoration. Design Basis Reports

Vessels

SanCo derisks vessels activities in offshore wind, coastal and port engineering projects

Communication and Publishing

SanCo will help our Customers to positively and factually communicate the benefits of renewables energies projects to local and global communities and to shareholders.

State-of-the-art White Papers on Renewables matters

White papers provide clarity for market players (insurance companies, investors, owners, etc), the public and Government regarding specific matters of the development of renewables energy.

Please, share with us your problem and SanCo will find the Solution

Maximizing Project´s Return on Investment

by Preventing Projects Delay, Cost Overrun and Revenue Losses

SanCo is focused to prevent the major offshore wind projects risks, i.e. project delay, overrun cost and revenue loss.

We support our clients worldwide, both in mature offshore wind markets, as Germany or UK, and in new markets where

such risks are expected to have a larger impact.