Bute Energy has secured a 20-year Contract for Difference for its 92MW Twyn Hywel Energy Park.
The company said Twyn Hywel is its first project to enter construction and is due to generate in late 2027.
Bute Energy added that the project, consented in 2024, comprises 14 turbines on the border of Caerphilly and Rhondda Cynon Taf and will produce enough power for approximately 81,000 homes.
The company stated that it is investing £3bn to unlock more than 2.2GW of onshore wind across Wales.
Bute Energy said the scheme places Caerphilly and south Wales at the heart of the energy transition.
Commenting, Bute Energy interim chief executive Martin Chown said: “We are delighted with the outcome of the Auction Round, securing a Contract for Twyn Hywel Energy Park.”
Chown added: “Onshore wind is one of the UK’s cheapest forms of renewable energy can offer best value for money for billpayers.”
Chown stated: “Wales’ improved performance in the auction is a much-needed step change, and shows a real appetite from developers, investors, and governments to realise Wales’ energy potential.”
Chown said: “With a strong partnership between industry and Welsh Government, the path to energy security can represent transformational investment in new jobs, new business opportunities, and community investment.”