The Institution of Civil Engineers (ICE) welcomed Chancellor George Osbourne’s support for Swansea’s Tidal lagoon in yesterday’s budget.
The scheme will now move into the first phase of commercial negotiation on a Contract for Difference (CFD) to determine whether the plan to build a £1bn six-mile horseshoe-shaped seawall in Swansea Bay is affordable.
ICE Wales Cymru director Keith Jones said: “Whilst there are many steps to be taken before this scheme can start, this is an excellent example of a project that could provide regular and predictable renewable energy. The proposed Lagoon presents a promising opportunity to capture the enormous potential source of sustainable energy from the sea.”
The project, which could generate 500GWh per year, is also still subject to planning permission, but the government believes the project could create thousands of jobs and inject millions of pounds into the Welsh economy.
Energy and climate change secretary Ed Davey said: “Britain has some of the best tidal resources in the world – tidal lagoons could provide 8% of our electricity needs, replacing foreign fossil fuels with clean, reliable home-grown electricity and creating fantastic economic opportunities.”