Construction of natural gas-fired power plants has dropped to a 10-year low in western Europe, according to a new Platt’s report.
Strong subsidized growth in alternative energy, weak demand, and low wholesale prices are all contributing to the downturn.
Less than 4 gigawatts (GW) of natural gas-fired power plants are currently being built in western Europe compared to 15 GW in 2012.
Currently there are 35 GW of fully approved combined-cycle gas turbine plants shelved with no plans of moving forward.
According to the report, dozens of projects have been cancelled or suspended in the last few years.
A number of projects are also up for sale, including plants owned by Austria-based Verbund in France and three UK plants owned by UK-based Centrica.
Some plants are also being broken up so that equipment used in the plants can be sold abroad.
Demand for more gas plants is especially weak in Germany, the Netherlands, France and Austria.
“There are only pockets of opportunity for thermal plant development in West Europe,” associate editorial director of the report Henry Edwardes-Evans said.