Plans to build a new onshore wind farm in the UK have received “significant” backing from a major developer.
Canary Wharf Group (CWG) will finance construction of a new renewable energy facility in Britain by Brookfield Renewable Partners (BRP).
Inside the deal: BRP is a renewable energy company headquartered in Canada and Bermuda and a subsidiary of investment management firm, Brookfield Corporation, also headquartered in Canada.
Brookfield Corporation has around USD$800 billion in assets under management and more than 200,000 employees.
Some of its concerns include infrastructure, real estate and energy companies, hotels, and construction contractor Multiplex, in Australia.
BRP has more than 25,000MW of installed renewable energy capacity across five continents.
It also acquired a 50% stake in CWG in 2014.
Power Purchase Agreement
CWG has signed a 15-year Power Purchase Agreement (PPA) with Brookfield, guaranteeing more than 70% of its electricity consumption and “long-term price certainty”.
The deal has the potential to provide enough renewable energy for all residents, offices and retail space across its 150-acre Canary Wharf stock, it said.
“The agreement will also create a stable revenue stream to support Brookfield’s construction of a windfarm,” it added.
It is understood the new wind farm will have a generating capacity of up to 60MW.
CWG said while it has already reduced its emissions by 26% across several assets, it remains one of the “biggest challenges” in the sector.
Adding: “CWG has procured renewable electricity for the estate since 2012. However, renewable energy PPAs, signed directly with project developers rather than bought through retail energy suppliers, allow CWG more control through guaranteeing the source, and supporting the overall supply of renewable energy in the UK.”
Tom O’Brien, managing partner and CEO of Brookfield’s Renewable Power & Transition Group, said: “It is important that we continue to invest in and build the infrastructure required to help businesses accelerate their transition to cleaner forms of energy and achieve their net-zero targets.”
Although the location of the new onshore wind farm was not specified, it is expected to be commissioned by 2026.
CWG was approached for further comment.
Enjoyed this? Try What it took to rebuild Portland Port in six months – and who did it
Get industry news in 5 minutes!
A daily email that makes industry news enjoyable. It’s completely free.