Points to business models for offshore charging

As of today, offshore service vessels — so-called SOVs — are not battery powered. On the contrary, they account for 15–20 per cent of the total greenhouse gas emissions over the lifetime of an offshore wind farm. But this may change.

One promising alternative being considered in order to make the sector emission-free is fully battery-powered SOVs.

“In the initial phase, we must expect hybrid vessels to dominate. Full electrification will require coordinated financing, harmonization of regulatory frameworks, and the establishment of supportive market mechanisms,” says researcher Samson Afewerki at NORCE.

He is behind a new report titled Business models for electrification of Service Operation Vessels: Enabling decarbonized offshore wind maritime operations. This new research has been carried out as part of the Ocean Charger project, funded by the Research Council of Norway.

“Offshore charging will require innovative solutions, and with today’s battery systems, it is challenging to realise, especially when energy supply is based on ports. However, power is available in the offshore wind farms, enabling regular and frequent charging of batteries directly offshore,” Afewerki says.

The Ocean Charger technology was developed to address this gap in the market. As part of the project, NORCE has now identified these five business models that can operationalize offshore charging of SOVs:¨

• PayPerUse (PPU)
• Subscription-based charging
• EnergyasaService (EaaS)
• Infrastructure leasing
• Joint venture or partnership-based models

“Commercialisation and practical use in the market depend on the development of viable business models for operators and users of the technology,” Afewerki says.

He points out that the applicability of these business models will in the meantime, be influenced by several factors.
First, the length and structure of SOV contracts play a role. In addition, differing national regulatory regimes mean different business models.. One example he highlights is the OFTO regime (United Kingdom) and TSO regime (Germany/the Netherlands), and thus the ownership structure of the offshore wind farm.

Furthermore, the broader contractual ecosystem governing the operation and maintenance of offshore wind farms is also a factor that will influence the choice of appropriate business models.
Read the full report here: (link)

“While models such as EaaS and infrastructure leasing are well suited to markets where the ownership of the offshore substation (OSS) is separated from wind‑farm operators (particularly under OFTO/TSO regimes), PPU and subscription models may be valuable in markets where offshore wind‑farm operators retain direct control over both infrastructure and power generation,” the NORCE researcher explains.

Key considerations in the operationalization of offshore SOV charging also involve pricing models and liability regarding charging costs:
“Charging prices for vessels will be influenced by the design of offshore Power Purchase Agreements (PPAs). These may, for example, be fixed prices, such as in Contracts for Difference (CfDs), or they may involve exposure to the wholesale electricity market,” Afewerki says.

Facts about the Ocean Charger project

Ocean Charger is funded by the Research Council of Norway, with support from the government’s Green Platform initiative. The project has contributed to the development of new maritime infrastructure. Vard Design is the project owner, together with its sister companies Seaonics and Vard Electro.
The goal is emission‑free vessel operations by connecting vessels to the wind farm grid and charging batteries on a regular basis.

Partners in Ocean Charger include Rem Offshore, Solstad Offshore, SINTEF Energy, SINTEF Ocean, DigiCat, Sustainable Energy, Equinor, Source Energie, Corvus Energy, Plug, Shoreline, Marin Energi Testsenter, NORCE, the University of Bergen, and Maritime CleanTech.

Reference:

Afewerki, S. (2025). Business models for electrification of Service Operation Vessels – enabling decarbonized offshore wind maritime operations. Report no. 15‑2025, NORCE Health and Social Sciences.