Centrica and EIG Global Energy Partners have sold the 194.5MW Lynn and Inner Dowsing offshore wind farm and 26MW Glens of Foudland onshore project to the UK Green Investment Bank and investment outfit Blackrock.
The £423m deal marks the first time a UK offshore wind farm will be 100% owned by non-utility investors and follows a strategic decision by Centrica to exit the ownership of wind assets.
The GIB will own 61% of the offshore wind farm off Lincolnshire with Blackrock controlling the remainder. The latter will own 100% of Glens of Foudland in Aberdeenshire.
Centrica will continue to purchase 100% of the power and 50% of the ROCs until 2024. It will also provide O&M support until March 2017.
GIB fund managing direction Karl Smith said: “The unique partnership that we have entered into demonstrates the ability of the Offshore Wind Fund to capitalise on opportunities presented by the UK offshore wind sector, as well as highlighting the quality of existing assets in UK waters.”
Blackrock managing director Rory O’Connor added: “This landmark transaction demonstrates Blackrock’s significant investment programme in the UK renewables sector. For investors, the sector can provide opportunities for less correlated, inflation-linked, long-duration income and attractive risk-adjusted returns.”
Image: the Lynn and Inner Dowsing wind farm (Centrica)
