This article addresses the key technical risks and contractor interdependencies which asset owners need to consider when sourcing a Service Operation Vessel (SOV) for an offshore wind farm. By reading this article, you will gain an understanding of the risks associated with employer-provided SOVs and how early mitigation measures can improve long-term operational performance and profitability.
Why read this article?
- Gain insights into how vessel compatibility can significantly impact long-term profitability
- Identify key considerations that could improve vessel availability and operational performance
- Understand why crew logistics is a critical priority in early development
As the offshore wind market matures, technological development continues to push wind farm development into deep waters that increasingly require Service Operation Vessels (SOVs) to transfer technicians.
Compared to Crew Transfer Vessels (CTVs), sourcing SOVs comes with several constraints, including:
- Shortage of SOVs due to rapid wind farm development and immature markets
- Stricter Original Equipment Manufacturer (OEM) requirements for vessel specifications due to extended time at sea and the need to store and transport cargo
- Older SOVs risk non-compliance with newer environmental consent requirements, and may not be compatible with the asset’s design
In parallel, particularly in emerging markets, there is a growing trend of OEMs de-risking their service contracts to exclude logistics services. This means owners are responsible for sourcing and procurement of crew logistics throughout the asset’s operational lifetime.
Together, these factors are driving more asset owners to secure newly built SOVs for their offshore wind farms, which significantly increases project complexity and risk. Identifying vessel design requirements well in advance will play a key role in optimising vessel availability, reducing operational risk, limiting uncertainty to the operational expenditures (OPEX), and retaining control over a critical part of the value chain.
Vessel Incompatibility’s Impact on Long-Term Performance and Profitability
A lack of vessel compatibility can have wide-ranging impacts, from wind farm accessibility to inefficiencies in daily operations. If the vessel causes delays to maintenance or repair activities, or if daily operations are not optimised, the owner may risk production losses and increased OPEX.
Wind Farm Accessibility
The vessel incompatibility has a significant impact on wind farm accessibility, as it determines whether the SOV can connect to turbines safely and reliably. If the vessel is not optimised for site-specific weather and sea conditions or is incompatible with the wind farm design, it can have a significant impact on profitability.
This may lead to the following risks for the project:
Inefficiencies in Daily Operations
The vessel should be engineered for compatibility with OEM requirements to ensure that technicians, tools, and components can be transferred safely and efficiently both on and off board the vessel and between the vessel and the turbine. Even minor daily inefficiencies can accumulate and have a major impact over the operational lifetime.
If the vessel is not optimally compatible with operational requirements, the following risks can arise:
Key Considerations for Owners to Limit Impacts on Profitability
Asset owners can proactively limit impacts on operational performance by identifying requirements early and defining appropriate mitigation measures. This requires careful consideration of site specifications, port selection, system specifications and OEM interfaces dependencies.
The items below highlight key considerations that potentially could impact operational performance and profitability and, if identified late, may have a long-term impact on the business case or be costly to resolve.
Site Specifications and Port Selection
- Have you assessed prevailing weather conditions such as wave heights and tidal range?
- Have you evaluated the distance to port and its impact on fuel consumption?
- Have you reviewed local environmental regulations, such as restricted sailing speeds due to marine conservation requirements?
System Specifications
- Have you evaluated the gangway connection method to limit operational constraints?
- Have you defined crane requirements and lifting capacities?
- Have you checked blade clearance requirements?
OEM Interfaces Dependencies
- Have you clarified the availability of documentation and intellectual property (IP) restrictions?
- Have you confirmed the OEM’s minimum technical requirements to ensure cargo does not exceed limitations and that the comfort class fulfils all criteria?
- Have you evaluated the operational plan to assess the duration at sea?
Early Focus on SOV Requirements is Key to Successful Operations
The owner needs to address the site specifications, port selection, system specifications and OEM interfaces dependencies in early development to ensure the SOV meets all requirements and is engineered to optimise vessel availability and daily operations.
Depending on the phase of the project, the following scenarios could arise:
- If vessel constraints are identified during development, most vessel modifications can be implemented without additional project cost and aligned with service and EPC contractors prior to contract signature
- If vessel constraints are identified during construction, minor design modifications could be implemented at low cost, while major modifications may result in significant economic burden or risk non-compliance with service contracts
- If vessel constraints are identified during operations, it may result in increased turbine downtime or, in the worst case, high costs to dock the vessel for design modifications, charter a replacement vessel to maintain operations or significant capital expenditures (CAPEX) to modify the assets.
The figure below presents a high-level overview of vessel and service contractor activities throughout the development, construction and operations phases of a wind farm.
Keep in mind…
1. Identify Wind Farm Specifications in Early Development
Some risks, such as site conditions and port accessibility, can be identified at an early stage. In addition, a thorough review of EPC design contracts helps identify constraints related to vessel design specifications prior to signing vessel and service contracts.
2. Understand the Impact on Service Contracts
Wind farm specifications serve as important input with key contractor agreements, such as OEM service and maintenance agreements, which help avoid major variation orders later in the project.
3. Master Interface Management
Given that some risks are unforeseen, continuous alignment and transparency between the owner, OEM, and vessel supplier are essential to identify any required design modifications ahead of critical construction milestones.
Want to learn more about logistics requirements for your offshore wind farm?
Just reach out to us – we are always happy to answer your questions and discuss operational efficiencies and interface management.
Dean Hickey | contact@peak-wind.com
More about Operations Preparations
