Ireland's OpenHydro Group to Harness Tidal Energy Potential in Channel Islands

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Researched by Industrial Info Resources (Sugar Land, Texas)--Ireland's leading wave-energy technology company, OpenHydro Group (Dublin) has acquired a 20% stake in Alderney Renewable Energy Limited (ARE) (Alderney, Channel Islands). The acquisition is estimated to be in the range of $13.7 million to $16.4 million. As part of the contract, OpenHydro will install and commission a series of open-center turbines on Alderney's sea bed. The first phase of the project will see the installation of 285 turbines. These turbines will be connected to France's electricity grid and ensure steady supply of power to Europe and the Channel Islands. ARE holds a 65-year exclusive license to develop and generate tidal energy in the Channel Islands. When fully complete and operational, this project will consist of 3,000 turbines and an investment in excess of $4.1 billion.

Earlier, ARE obtained five-year exclusive rights to survey, research and develop tidal energy in the Alderney region. An environmental impact assessment was also carried out to study the effect of the installation process and devices on marine life. The report was submitted to the Alderney Commission for Renewable Energy.

OpenHydro Group specializes in the design and development of tidal energy solutions. Established in 2005, the company, owned by Irish hotel magnate Brendan Gilmore, received investments of $15 million from Emera Incorporated (TSX:EMA) (Halifax, Nova Scotia). OpenHydro offloaded a 7.4% stake to Emera. Additionally, investment company One51 plc (Dublin) holds a 10% stake in OpenHydro. OpenHydro is currently working on tidal energy projects in the U.K. and France. The company is also commissioning a project in the Bay of Fundy, off the coast of Nova Scotia. The open-center turbine technology is designed to be installed directly on the ocean bed, and will not be visible from the surface. The system is silent and causes no navigational issues. The choice of location and site for installation is critical to the success of a tidal-energy generation plant. Velocity of tide, access to an electricity grid and depth of water are the three important parameters for selection. Open-center technology depends on sea currents that are produced by gravitational forces rather than volatile factors such as weather and the seasons. The power generation is therefore perennial and steady. As the system is located beneath the sea, it is not prone to damage caused by strong winds and storms.

The Channel Islands lie off the coast of Normandy in France and consist of eight inhabited islands. In 2001, the United Kingdom published a list of 42 sites with potential to develop wave energy. This included five locations in the Channel Islands, two of which were in Alderney. Alderney, the third largest of the inhabited islands, is an ideal choice to develop tidal energy. The island is located 96 kilometers from England and 15 kilometers from France. The territorial waters of Alderney have one of the largest tidal-energy resources in the world, with a capability to generate 3,000 megawatts of power per tide. The power generated by tidal waves in this region could provide electricity to an estimated 1 million households. Alderney is only eight miles from the nearest power grid at Cap Le Haque in France. Also, Alderney has its own government and holds all rights over its territorial waters, unlike other Channel Islands. This helps in faster approvals, permits and policy decisions.

Wave energy technology is not widely used today, although the concept of harvesting tidal assets has been explored since the 1960s. The world's first tidal power plant, located in Bretagne, France, is more than 40 years old. Although the global tidal-energy resource is around 3,000,000 MW, only 3% of this is in areas suitable for power generation. With efforts in researching and developing new technologies, this energy source, which has an extremely low generating cost, could become a viable and popular choice of energy in the future.

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