Greencoat Renewables will purchase the Cavan and Offaly windfarms from Statkraft once they become operational in 2022.
Norwegian renewable energy company Statkraft announced yesterday (21 December) that it will construct two new windfarms in Ireland.
The windfarms will be based in Cloghan in Co Offaly and Taghart in Co Cavan. Construction is set to begin in early 2021 and will be managed by Statkraft.
When they become operational in 2022, they will be sold to Irish company Greencoat Renewables while Statkraft will retain long-term management of the sites. The total value of project is €123m.
Statkraft secured fixed-price contracts for 15 years for the two windfarm projects earlier this year through the Government’s Renewable Electricity Support Scheme (RESS). It also secured approval for two solar energy projects.
The company has 4,000 employees across 17 countries, with nearly 60 staff in Ireland. As well as producing hydropower, wind power and solar power, it specialises in trading energy and EV charging networks. It constructed its first wind and battery projects in Ireland last year and by 2025 hopes to have installed facilities totalling capacity of 6GW of wind energy and 2GW of solar energy.
Managing director of Statkraft in Ireland, Kevin O’Donovan, said that the company occupies a “leading role in the global transition to a low-carbon future”.
“I am really pleased to see the financial partnership with Greencoat Renewables contributing to delivering Ireland’s carbon reduction targets,” he added. “We believe that Ireland will be one of the leading growth markets for wind and solar power, given the country’s significant renewable energy resources.”
Greencoat Capital is managing the investment. A partner at the firm, Paul O’Donnell, said: “Securing our first assets under RESS is an important milestone for us as the RESS auctions will continue to support the growth of the Irish renewables market. We expect this combination of contracted revenues and forward purchases to become commonplace in both Ireland and Europe over the next few years.”
Earlier this month, it was announced that Greencoat Renewables had raised €125m in an oversubscribed share placing to invest in renewable energy projects.