Ofgem has awarded an offshore transmission licence to Seagreen Phase 1 Offshore Electricity Transmission (OFTO) Project Limited, marking a significant step in the development of the 1GW Seagreen offshore wind farm off the coast of Scotland. The licence will allow the project to manage the transmission assets associated with the wind farm.
Seagreen Phase 1 OFTO Project Limited is the proposed licensee entity formed by a consortium comprising Equitix Investment Management, Kyuden International Corporation, and Kyuden T&D Global. The consortium was selected as the preferred bidder for the Seagreen 1 Offshore Electricity Transmission (OFTO) project in Tender Round 9, as announced by Ofgem in December 2023.
The Seagreen wind farm, developed through a joint venture between SSE Renewables and TotalEnergies, consists of transmission assets that include three cables, each approximately 64 km in length, which will transport electricity from the offshore wind farm to a landfall site. The cables will then extend a further 20 km inland to an onshore substation in Angus, Scotland.
Equitix, a member of the consortium, is set to receive a minimum 24-year contracted revenue for the transmission assets, with the potential to extend the contract in line with the operational lifespan of the wind farm. This development is expected to contribute to the UK's renewable energy capacity and support the transition to a low-carbon power system.
The Seagreen offshore wind farm is expected to play a significant role in meeting the UK's renewable energy targets, and the transmission licence granted by Ofgem will ensure the efficient operation and maintenance of its infrastructure.
