DUBAIUAE, December 1, 2023 /PRNewswire/ —
- Masdar, the UAE’s clean energy powerhouse, to acquire 49 percent stake in RWE’s 3GW Dogger Bank South (DBS) offshore wind projects, as part of £11 billion investment in the UK’s renewables sector
- One of the world’s largest offshore wind development projects, DBS will power up to 3 million British homes, boost the UK economy and create thousands of jobs
- The deal was signed in COP28 in the UAE shows the commitment of Masdar, of which he is also the chairman COP28 President, to invest in accelerating net zero in the UK and Europe by harnessing the region’s vast offshore wind potential
Masdar joins forces with RWE in £11bn investment to jointly develop massive 3GW offshore wind projects in UK
Abu Dhabi Future Energy Company PJSC – Masdar, the UAE’s clean energy powerhouse, is part of an £11bn investment in the UK’s renewable energy sector and is buying a 49 per cent stake in RWE’s 3 gigawatt (GW) Dogger Bank South projects (DBS) – which form one of the largest planned offshore wind farms in the world. DBS is capable of powering millions of British homes, reducing emissions and creating up to 3,000 jobs. Closing of the transaction is subject to customary approvals and is expected in the first quarter of 2024.
The agreement was signed on the sidelines of the UN climate change conference COP28, in the UAE. The £11 billion joint investment will give a huge boost to the UK economy and demonstrates the UAE’s long-term commitment to supporting net zero targets in Great Britain and around the world. It builds on the £10bn UAE-UK Sovereign Investment Partnership (UK-UAE SIP) to invest in technology, infrastructure and energy transition.
The 3GW DBS projects bring together global clean energy pioneers Masdar and RWE, a leading renewable energy company headquartered in Germany. The mega facility is expected to generate enough energy to power 3 million typical British homes. The projects are expected to create 2,000 jobs during construction and more than 1,000 direct and indirect jobs during their operational phase.
CEO of Masdar, Mohammed Jameel Al Ramahiand RWE CEO Dr Marcus Krebbersigned the agreement of COP28 at Expo City Dubai, on December 1.
It is located over 100 kilometers from the northeast coast of England, the DBS offshore wind farms will be divided into two sites, DBS East Array and DBS West Array. Each site will have a capacity of 1.5 GW and cover 500 square kilometers. Masdar will acquire a 49% stake in the landmark renewable energy project, while RWE, with a 51% stake, will remain responsible for development, construction and operation throughout the projects’ lifecycle.
The construction phase could start as early as the end of 2025, and the first 800 MW of electricity is planned to be commissioned in 2029. The DBS projects are expected to be fully operational by the end of 2031.
H.E Sultan Al JaberMinister of Industry and Advanced Technology of the UAE, Chairman of Masdar and COP28 The President said: “As one of the largest offshore wind farms in the world, the Dogger Bank South project will have a huge impact on reducing emissions while providing millions of UK families and businesses with clean, affordable and secure energy. The world needs to triple renewable energy capacity and double energy efficiency by 2030 if we are to keep the Paris Agreement target of limiting temperature rise to 1.5 degrees. COP28, as we strive to form a unified plan to deliver the urgent course correction the planet needs, projects like DBS show how nations, companies and communities can join forces to deliver powerful solutions. It also showcases the deep ties between the UK and the UAE, exemplified by the UAE-UK Sovereign Investment Partnership, which was expanded to commit £10 billion of investment in technology, infrastructure and the energy transition under President His Highness Sheikh To Mohammed bin Zayed Al Naihan visit of Great Britain in 2021.”
CEO of Masdar, Mohammed Jameel Al Ramahisaid: “Masdar is very proud to partner with RWE to develop one of the largest offshore wind farms in the world. We are delighted to have been involved in the early stages of this pioneering project, allowing us to leverage our shared passion and expertise in renewable energy. The UK is the second largest offshore wind market in the world and offers huge potential for growth. Masdar has been active in the UK for over a decade, developing world-class clean energy projects such as Dogger Bank South, which demonstrate how innovation and collaboration can lead to a cleaner, greener future As world leaders seek to form a united and urgent plan to deal with the climate crisis in COP28Masdar will continue to expand its wind portfolio as we aim for a total global capacity of 100 GW by 2030 to support key climate goals.”
The deal demonstrates Masdar’s long-standing commitment to progressing offshore wind projects in the UK and Europe. A decade ago, Masdar, RWE and their partners launched the 630MW London Array wind farm, the largest in the world at the time. Today’s investment in 3GW DBS projects – almost five times the size of the London Array – shows Masdar’s firm expansion into the exciting offshore wind sector. Masdar also invested in the 30 MW Hywind project, which was the world’s first floating offshore wind farm, and the 402 MW Dudgeon offshore wind farm. In July, Masdar invested in the 476MW Baltic Eagle offshore wind farm, designed to power 475,000 homes. The company’s Global Offshore Wind division is based in London and Masdar is pursuing an early-stage investment and project development strategy to further strengthen its expertise as an offshore wind developer.
Marcus KrebberCEO of RWE AG: “We are delighted to welcome Masdar as our partner and co-investor in the delivery of our Dogger Bank South projects, which at 3GW constitute RWE’s largest offshore wind development in the UK. With Masdar, we have a strong and well-known partner on our side who shares our ambition to continue driving the growth of offshore wind energy. Combined with RWE’s long-standing experience in the development, construction and operation of offshore wind farms, we are in an excellent position for strong support for UK decarbonisation.”
Offshore wind could generate 380 GW by 2030, provided investment increases and permitting protocols speed up, according to the International Renewable Energy Agency. With the United Kingdom and Europe by setting ambitious legally binding targets for net zero, Masdar will continue to capitalize on opportunities to develop the region’s booming wind energy sector.
RWE leads the way to the world of green energy. Between 2024 and 2030, RWE will invest 55 billion euros globally in offshore and onshore wind projects, solar energy, batteries, flexible manufacturing and hydrogen projects. By the end of the decade, the company’s green portfolio will grow to more than 65 gigawatts of generation capacity, which will be perfectly complemented by global energy trading. RWE is decarbonizing its business in line with the 1.5 degree reduction pathway and will phase out coal by 2030. RWE will be net zero by 2040.
RWE is already one of the leading companies in the field of renewable energy and offshore wind energy. Its unparalleled experience over the last 20 years has brought 19 offshore wind farms into operation, with the aim of increasing its global offshore wind capacity from 3.3 GW today to 10 GW in 2030.
About Masdar
Abu Dhabi Future Energy Company (Masdar) is the UAE’s clean energy champion and one of the fastest growing companies in the world, advancing the development and deployment of renewable energy and green hydrogen technologies to address global sustainability challenges. Established in 2006, Masdar has developed projects in over 40 countries, helping them achieve their clean energy goals and advance sustainable development. Masdar is jointly owned by Abu Dhabi National Oil Company (ADNOC), Mubadala Investment Company (Mubadala) and Abu Dhabi National Energy Company (TAQA) and under this ownership the company aims for a renewable energy portfolio capacity of at least 100 gigawatts (GW) by 2030 and an annual green hydrogen production capacity of up to 1 million tons by the same year.
For more info please visit: http://www.masdar.ae and connect: facebook.com/masdar.ae and twitter.com/masdar
This material is distributed by Daniel J. Edelman, Inc. on behalf of Masdar. Additional information can be found at the Ministry of Justice, Washington.
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