The company ensures financial viability for these onshore, offshore and solar wind farms after obtaining Contracts for Difference with the British Government.
The initiatives, among which is the East Anglia Three offshore wind farm, will almost double the company’s installed renewable capacity in the country, with more than 2,120 MW of joint power.
Iberdrola will develop 16 new renewable projects in the United Kingdom after guaranteeing their profitability by obtaining the Contracts for Difference (CfD) with the British Government that ensure their financial viability.
CfDs constitute a financing mechanism that seeks to encourage investment in new renewable technologies, by assuring developers of a fixed indexed price, which allows them to face the initial costs and guarantee a minimum return in the long term, regardless of volatility. of the wholesale market.
Through ScottishPower, its subsidiary in the United Kingdom, the Iberdrola group has won CfD contracts for its large 1,400 MW East Anglia Three offshore wind project; five onshore wind projects with a combined capacity of 396 MW; and ten photovoltaic solar sites with a total of 326 MW of capacity.
The start-up of these initiatives, which will be carried out in Scotland, England and Wales, will mean almost doubling the company’s installed renewable capacity in this country, incorporating a total capacity of more than 2,200 MW.
In this way, Iberdrola has become the company with the largest number of renewable projects backed by the Government of the United Kingdom in the fourth auction held by the Department of Energy BEIS, the result of which was announced today. The projects selected in this round will have 11,000 MW of installed capacity, of which almost 4,000 MW correspond to offshore wind power.
This decision represents an important support for the construction of the East Anglia Three offshore wind farm, which will involve investments of around 4,000 million euros. This site is one of the three offshore projects that are part of the East Anglia Hub, an offshore wind macro-complex that will add an installed capacity of 2,900 MW, enough to supply clean energy to 2.7 million British homes, and will involve an approximate investment of about 12,000 million euros. This infrastructure will be the largest offshore wind project of the Iberdrola group in the world.
The successful result in this latest round of allocations is a continuation of the award of 7,000 MW of offshore wind energy obtained by Iberdrola in Scotland at the beginning of the year in the largest tender carried out to date by the crown body, Crown Estate Scotland . In this auction, the company won three large-scale projects, which will represent a total investment of 22,500 million euros: two, with floating technology, which it will develop in alliance with Shell, and the third on a fixed structure.
Just as the Iberdrola group was a pioneer in promoting onshore wind energy more than two decades ago, the company today leads the development of offshore wind energy, one of the keys to the company’s growth, for which it began its commitment a already 15 years.
Of the 4,000 MW of wind power that the construction company currently has, more than 2,500 MW (65%) correspond to marine projects. Among them, what will be the first commercial-scale wind farm in the United States, Vineyard Wind 1 (806 MW). In this country, the group also promotes Park City Wind (804 MW).
In Europe, Iberdrola has two important offshore wind projects under development: Baltic Eagle (476 MW), in Germany – which will form part of the largest offshore wind hub in the Baltic Sea, with 1,100 MW – and Saint-Brieuc (500 MW) in the French Brittany.