Offshore wind cabling manufacturer JDR Cable Systems is to receive funding from the UK government’s Offshore Wind Manufacturing Investment Support scheme securing 440 jobs in the north-east of England.
JDR will open a new subsea cable manufacturing facility in Cambois, near Blyth, Northumberland.
The initial project investment is estimated at £130m, which will be part funded by a grant from the government.
JDR plans to raise the remaining funding with support expected from financial institutions and UK Export Finance.
Further stages of the development could result in over 400 staff working at the site.
The 69,000 square-metre facility will occupy the site of the former coal-fired power station.
Construction is expected to begin in 2022 ahead of a 2024 opening.
The investment will also protect 270 jobs at JDR’s existing facility in Hartlepool.
Business and Energy Secretary Kwasi Kwarteng said: “The UK’s offshore wind sector is a major industrial success story, but we need to ensure local workers and manufacturers fully reap the economic benefits of this booming industry.
“This major investment is a perfect example of how our transition to a low carbon economy can attract new industries, create jobs, reduce our reliance on unreliable fossil fuels and generate export opportunities as we build back greener from the pandemic.”
The Blyth facility will supply the Hartlepool site with state-of-the-art cable cores and high voltage underwater cabling that will enable the UK to compete more effectively with foreign manufacturers and increase its standing in global export markets.
Minister for Investment Gerry Grimstone said: “Just as the UK led the Industrial Revolution two centuries ago, we are now spearheading the Green Industrial Revolution and we are building a manufacturing base that reflects our position as a world leader in offshore wind technology.
“The UK’s clean energy sector offers huge potential to international investors and as our workers build the next generation of wind turbines that help us meet our own climate change commitments, they will be producing the technology that can help countries all over the globe build for a greener future.”
JDR chief executive Tomasz Nowak said: “As the energy transition gathers pace and the UK’s offshore wind sector continues to thrive, turbines are growing taller and farther from shore, calling for higher voltage subsea cables.
“We’re delighted to build on our legacy as a leading provider of subsea cables to the offshore energy sector by investing in this new facility.
“We’re also delighted to continue our investment in the North East of England, and in bringing new jobs to Cambois, Blyth and Northumberland. Our proposed facility is strategically located to capitalise on the rapidly growing and largest offshore renewable energy market in Europe.”
Energy, Clean Growth and Climate Change Minister Greg Hands said: “Our world-leading offshore wind sector is delivering clean energy for millions and opening huge opportunities for green growth, driving investment and creating thousands of high-quality jobs all over the UK.
“We are committed to growing this even more as we meet our bold climate change targets and reduce our exposure to volatile fossil fuels.
“But we want to hear people’s views to ensure that connecting offshore wind farms doesn’t have a negative impact on communities and our precious coastal and marine environment.”
The government is also announcing £3.8m in funding from the £1bn Net Zero Innovation Portfolio to support seven innovation projects that are developing technologies to ensure future offshore wind farms do not negatively impact on UK air defence systems.
Additional funding is also being announced today for the Offshore Renewable Energy Catapult’s Floating Offshore Wind Centre of Excellence, with £2m being provided over four years to further accelerate innovation in the UK’s floating wind sector as part of commitments to deliver 1GW of floating offshore wind capacity by 2030.