GIG and Total Successful in Securing Seabed Lease Rights to Jointly Develop 1.5 GW Offshore Wind Project
08 February 2021 - A 50/50 joint venture between Macquarie’s Green Investment Group (GIG) and Total has been successful in securing rights to a seabed lease in the Eastern Regions zone in the Crown Estate’s Offshore Wind Leasing Round 4.
The project, which will be located off the UK’s East
Anglian coast, could deliver up to 1.5 gigawatts (GW) of renewable electricity
and represents a significant early-stage investment in the UK offshore wind
sector for both companies.
It will also:
- Support significant employment opportunities and play a critical role in helping the UK meet its ambitious net zero target.
- Enable the two partners to expand in the UK, which is Europe's most mature market for offshore wind and provides steady growth perspectives and a clear route-to-market.
Both GIG and Total are global renewable energy
developers and investors and bring significant expertise, technical capability,
and a track record in successful energy development to the project. GIG has
supported almost 50% of the UK’s offshore wind capacity in operation1. Total
continues to build up a strong position in offshore wind after its involvement
in the 1.1 GW Seagreen project off the east coast of Scotland and in Erebus, a
96 MW floating offshore wind project in the Celtic Sea, leveraging its long-standing
industrial activity in the UK.
GIG and Total are currently partnering in South Korea
to co-develop a major portfolio of floating offshore wind projects.
Julien
Pouget, Senior Vice President Renewables, Total, said: "Total is
delighted to have been awarded 1.5 GW as part of the 4th Round
of offshore wind leases from The Crown Estate with our partner GIG. We continue
to support the energy transition goals of the UK. This project is our largest
renewables development in Europe to date and an important step toward our 2050
net zero ambition. This success builds on our historical expertise in the UK
offshore and is paving the way to expansion of our renewable energy offering in
the country in line with our strategy of becoming a broad-energy company."
Mark Dooley, Global Head of Green
Investment Group, said: "With this investment, we’re continuing our
pioneering role in the UK’s energy transition, and helping to establish
offshore wind as the backbone of its new low-carbon energy system. Building on
our track record as one of the country’s largest funders of offshore wind, this
represents a significant increase in our commitment to the UK’s offshore wind
sector. This adds to our growing portfolio of renewable developments in Europe
and grows our global offshore wind development portfolio to over 13 GW."
Total and GIG were awarded this lease for an annual option fee of £83,000 per MW/year, during the development phase. There will now be a Habitat Regulations Assessment (HRA) of the possible impact of the project on relevant nature conservation sites in the allotted area. Following successful conclusion of that process the final agreements for lease will be signed sometime in 2022.
Photo) A wind-measuring LiDAR installed in Ulsan for GIG and Total's Ulsan floating offshore wind farm development project.