News

New financiers for £1.5bn Galloper windfarm enables project to go ahead

On Friday it was announced by RWE Innogy that the construction of a £1.5bn windfarm off the Suffolk coast was to proceed in November, after three new partners have agreed to back the project. This news comes almost a year after SEE pulled out of funding the scheme.

On Friday it was announced by RWE Innogy that the construction of a £1.5bn windfarm off the Suffolk coast was to proceed in November, after three new partners have agreed to back the project. This news comes almost a year after SEE pulled out of funding the scheme.

Siemens Financial Services, Macquarie Capital and the government’s Green Investment Bank have become joint 25% equity partners in the Galloper windfarm, creating the opportunity for nearly 800 new jobs. The wind farm, which is expected to become operational in March 2018, will supply enough electricity for 336,000 homes and be one of the largest offshore wind farms in the UK (1).

On Wednesday, Dong Energy confirmed it was extending a windfarm in the Irish Sea that will make it the biggest in the world. The combined projects will add 10GW of offshore wind capacity, which is double the current capacity of 5GW (1).

Andrea Leadsom, the Energy Minister, said of the Galloper deal: “This milestone shows how the UK’s offshore wind industry is going from strength to strength” (1).

12 commercial banks, plus the European bank, are due to provide £1.37bn for Galloper’s debt facilities. £225bn worth of backing is to be provided by the EIB (1).