Dutch offshore wind energy fabricator Sif has sounded a note of caution about the sector’s immediate future, highlighting a slowdown in tendering activity and market hesitancy that is creating uncertainty for the supply chain. In its third-quarter update, the company reported that offshore wind park project awards are being postponed or even cancelled, reflecting broader challenges in the UK and Europe.
Chief executive Fred van Beers attributed these market challenges to difficulties in running successful large-scale tenders, with lower-than-expected subsidy allocations and delays in auction results hindering project progress. “The market remains challenging with a limited number of new tenders, and the United Kingdom and European countries struggling to run successful large-scale tenders,” he said. Van Beers emphasised the need for swift decision-making and effective rollout of EU measures to regain momentum in the offshore wind market.
Despite these market headwinds, Sif reported stabilisation in its production lines and an improvement in quarterly results. “Production, contribution and EBITDA all slightly improved on the previous quarters,” van Beers noted. The company’s adjusted EBITDA for the third quarter was €13.8 million, up from €5.2 million a year earlier, with throughput reaching 44Kton compared with 42Kton in Q3 2024. Sif’s order book stood at 586Kton at the end of September, including 200Kton under exclusive negotiation.
Looking ahead, van Beers expressed confidence in Sif’s 2026 order book, which he described as “filled with firm contracts.” However, he noted that the 2027 outlook would become clearer in early 2026. The current slowdown in tendering activity and market hesitancy could have significant implications for the offshore wind sector. It may lead to delays in project development, reduced investment, and potential job losses in the supply chain. Moreover, the uncertainty could deter new entrants and investors, further slowing the sector’s growth.
To mitigate these risks, governments and industry players must work together to address the challenges in running successful tenders and ensure timely decision-making. The effective rollout of EU measures could provide a much-needed boost to the market, helping to regain momentum and accelerate the transition to renewable energy. The offshore wind sector’s future depends on overcoming these hurdles and creating a more stable and predictable market environment.