A COMPANY developing pioneering turbines for use in tidal power generation has received a ‘letter of intent’ from the controversial proposed West Somerset Lagoon project to buy 250 turbines, which could provide power for more than two million homes.

Cardiff-based SETB has been contacted by the directors of the West Somerset Lagoon Ltd (WSL) project which wants to build an £11 billion, 14-mile structure stretching from Minehead to Watchet.

The Welsh company’s turbines, designed to make tidal range electricity generation more commercially viable, are 30 feet in diameter and rated at 10 megawatts.

They would be subject to successful validation of SETB’s ‘very low head turbine’ (VLHT) technology through a proposed demonstration in Barry Dock.

SETB, formerly known as Severn Estuary Tidal Bar, is now looking to secure £5 million to carry out the tests with the turbines, which it projects could produce a levelised cost of electricity of £114 per megawatt-hour (MWh).

WSL is seeking development funding and SETB said this week it believes the ‘letter of intent’ provides a significant indication of potential commercial demand for its technology.

In the construction industry, a ‘letter of intent’ is a preliminary written document from a project developer to a contractor expressing an intention to enter into a fully binding contract in the future.

An SETB spokesperson said: “The agreement marks a significant commercial milestone for this company and highlights the opportunity to harness the enormous renewable energy resources of the Severn Estuary and Bristol Channel.

“For decades, tidal range schemes in the region have faced challenges over construction costs, commercial viability, and potential environmental impacts.

“SETB believes its new turbine could help address these barriers by generating electricity efficiently at much smaller differences in water level than conventional tidal turbines.

“This could extend generating periods and reduce the scale and cost of the civil engineering infrastructure required for tidal range projects and would compete economically with other low-carbon generation technologies.”

SETB chairman Steve Prendergast said: "The Bristol Channel has some of the greatest tidal energy resources in the world but turning that potential into commercially viable electricity has proved a major challenge.

"We believe our technology could help change that by reducing costs and making better use of the energy available during each tidal cycle.

"The interest from West Somerset Lagoon is an important indication of the potential market for our turbines and the scale of the opportunity for the region.

"Developments of this kind could deliver predictable, home-grown renewable electricity while creating opportunities for investment, engineering, and skilled employment across the South West.

“SETB believes its turbine could also deliver significant environmental benefits on the Bristol Channel.

“By generating electricity over a longer tidal cycle, it could reduce impacts on sensitive habitats, while its low rotational speed of approximately 25 rpm could reduce the risk of injury to fish passing through the turbine.

“Both are key environmental concerns that have historically challenged tidal range developments and the project would provide an important next step toward demonstrating the technology's potential for major tidal range developments.”