Banks Renewables, the renewable energy division of North East property and energy business the Banks Group, has secured a transformational £210m investment package to support the construction of its next three onshore wind farms. Key to securing this investment package is the long-term power purchase agreement offered by DONG Energy.
Søren Scherfig, Head of Trading & Portfolio Management in DONG Energy, says:
"We are pleased to enter into a Power Purchase and Balance Services agreement with Banks Renewables, it has been an excellent process for us to create a framework for these PPAs under the CfD programme”.
The three wind farms were all successful in the UK government's first competitive Contracts for Difference (CfD) programme for onshore and offshore projects in 2015, since then Banks Renewables has been working towards putting the commercial structures in place to take them forward.
Søren Scherfig adds:
“This agreement is an excellent example of how DONG Energy leverages its capabilities in balancing wind assets from our unique offshore portfolio in order to provide strong commercial offerings to the benefit of external parties like Banks Renewables."
Leading global manufacturer Senvion has been contracted to supply and install the turbines for all three projects, with Kype Muir, Middle Muir and Moor House each comprising 26, 15 and six turbines respectively. Preparatory work has already begun on the site at the Moor House wind farm, which will be the ninth onshore wind farm that Banks Renewables has built, and is expected to begin generating clean green energy early in 2018. Middle Muir is scheduled to go live later that year, while Kype Muir is due to come online at the start of 2019.