Iberdrola has announced that it is partnering with Kansai Electric on an offshore wind project. The deal will witness Kansai co-invest and buy a 49% stake in the Windanker offshore wind farm, according to the announcement.

Windanker Offshore Wind Farm Overview

The German Baltic Sea Windanker offshore wind farm might play a crucial role in Iberdrola’s renewable energy strategy. The construction for the project has started and the capacity is expected to be in the range of 315 megawatts (MW). The fourth quarter of 2026 is when operations are scheduled to start.

Financials and Structure

The offshore wind project is expected to cost €4.1 million per MW and the total estimated value of the project rests at €1.28 billion. The wind farm will feature 21 wind turbines, each with a 15 MW capacity. Clients have already secured the energy produced by the wind far through long term contracts.

Also read: Iberdrola to Build Portugal’s Largest Wind Farm

The Spanish energy giant will utilise its epertise in managing offshore winf farms to oversee the development of the project, operations and the maintenance.

Ties with Kansai Electric

The collaboration builds upon the existing relationship between the two firms. Both of them have come together in the past through the acquisition of Electricity North West (ENW) by Iberdrola.

The partnership will aid Iberdrola to move forward with its asset rotation strategy and accelerate is renewable energy expansion.

Also read: Iberdrola Launches Green Bond in Australia

Iberdrola’s Commitment

As of now, the energy giant currently operates a capacity of 2,400 MW offshore wind power. The company plans to reach 4,800 MW by the end of 2026. In addition to Windanker, Iberdrola has projects building four other offshore wind farms including Baltic Eagle, Germany and Vineyard Wind One in the US; Britain West of Duddon Sands in the Irish Sea UK Iberdrola, French Saint Brieuc in Brittany France and Windanker are expected to be operational around 2023.

Vestas announced securing a firm order for the 1.1 GW Inch Cape Offshore Wind project from Inch Cape Offshore Limited. This joint venture between ESB and Red Rock Renewables selected Vestas to supply, install, and commission 72 V236-15.0 MW wind turbines. The agreement also includes a 10-year service contract, followed by an operational support agreement upon project completion.

Also read: Vestas secures 577 MW order for Golden Plains Wind Farm’s second stage 

Impact on UK’s Energy Transition

Nils de Baar, President of Vestas Northern & Central Europe, said, “We are incredibly proud to have partnered with our trusted customers on this project. Inch Cape will have a significant impact on UK’s sustainable energy future, and we are grateful to stand at the forefront of this transition.”

He added, “Together with our partners, we are making significant strides towards the UK government’s commitment to quadruple offshore wind by 2030, as a cornerstone of its goal to fully decarbonise electricity by 2030.”

Also read: Denmark’s Offshore Wind Tender Faces Setback with No Bids Submitted

Contribution to UK Energy Security

John Hill, Project Director for Inch Cape, said, “Securing the full notice to proceed on the agreement is a great milestone for the project. The 72 V236-15.0 MW turbines are the latest state-of-the-art turbines from Vestas and will generate more than 5TWh of renewable electricity each year, making an important contribution to the UK’s energy security and representing a valuable reduction in carbon emissions.”

Situated 15 kilometers off the Angus coast, the project will assemble its turbines at the Port of Dundee. Turbine installation is set to begin in 2026, with the entire wind farm expected to be fully operational by 2027.

This firm order follows a September 30, 2024 agreement, marking a key step and solidifying Vestas’ role in the UK’s renewable energy expansion.