REG - SSE Plc - SSE success in ScotWind leasing round

SSEAnnouncement

17/01/2022 10:15

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RNS Number : 6602Y  SSE PLC  17 January 2022

SSE bolsters renewables pipeline with success in ScotWind seabed leasing
auction

SSE Renewables and its ScotWind partners Japanese conglomerate Marubeni
Corporation (Marubeni) and Danish fund management company Copenhagen
Infrastructure Partners (CIP), through one of its funds, have been notified by
Crown Estate Scotland that they have been successful in the ScotWind auction
for new offshore wind leases in Scotland.

The partnership has been awarded the rights for 858 square kilometres of
seabed to develop an offshore wind project of up to 2.6GW of capacity in the
E1 area off the east coast of Scotland. SSE owns a 40% share of the
development rights with Marubeni and CIP each owning 30%.

Due to the water depths of the site, floating wind technology will be
deployed, making this one of the largest commercial scale floating wind farm
opportunities in the world.

Success in ScotWind further demonstrates SSE's position as the leading
offshore wind developer in Scotland, where the company is currently building
Seagreen, which will be Scotland's largest and the deepest fixed bottom
offshore wind farm in the world when completed. SSE Renewables is also
developing the Berwick Bank offshore wind farm, which at up to 4.1GW will be
one of the largest projects in the world when completed by the end of this
decade.

SSE plc recently published its Net Zero Acceleration Programme, which included
fully funded £12.5bn strategic capital investment plans to 2026 alongside
ambitious 2031 targets, aligned with 1.5 degree science based targets. The
plans for renewables include an increase of 4GW of renewables installed
capacity (net) over the 5 years to 2026, doubling installed renewables
capacity to 8GW (net). In addition, the programme includes ambitious new 2031
targets including a fivefold increase in renewables output to 50TWh,
maintaining a sustained renewables pipeline in excess of 15GW, and a trebling
of SSE's owned renewables capacity to over 13GW (net) from c.4GW today. The
ScotWind project brings SSE's secured pipeline to around 11GW with further
opportunities in development to grow this to the sustained 15GW target.

Alistair Phillips Davies, Chief Executive of SSE, said:

"We are delighted to have been successful in winning our preferred site in the
highly competitive ScotWind process, which is testament to the strength of our
partnership with Marubeni and CIP. Projects like these can help reduce the
UK's exposure to volatile wholesale markets, keeping prices down for consumers
and creating skilled jobs in the process. As demonstrated by our recent £15m
investment in a new tower factory at Nigg, as a national clean energy champion
we are committed to delivering the wider jobs and opportunities for Scotland
that a thriving offshore wind industry can bring. This ScotWind project will
also lead to billions more direct and indirect investment into the Scottish
economy over its lifetime. The major increase in offshore wind through
ScotWind will also drive the requirement for investment in the electricity
Transmission network in the North of Scotland and demonstrates again the
strong alignment between renewables and networks at the core of the SSE
Group."

SSE and its partners have already invested significant funds and resources
into pre-award development of the project and following acceptance of the
lease Option Agreement, will continue this development with a view to
submitting a timely consent application. Grid applications have already been
made.

ENDS

Media:  media@sse.com (mailto:media@sse.com)   |  +44 (0)345
0760 530;               MHP Communications:

Sam Peacock, Glenn Barber, Pavel Miller
Oliver Hughes and Simon Hockridge

 07885 224 532 / 07709 496 125

 

Investors: ir@sse.com (mailto:ir@sse.com)   |  +44 (0)345 0760 530 

Sally Fairbairn, Michael Livingston

 

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