RWE Acquires Norfolk Offshore Wind Zone from Vattenfall in £1bn Deal
In a significant move for the UK's renewable energy landscape, German energy major RWE has acquired the rights to develop the Norfolk Offshore Wind Zone from Swedish company Vattenfall for nearly £1 billion.
The deal includes three major wind projects: Norfolk Vanguard West, Norfolk Vanguard East, and Norfolk Boreas. Upon their completion the sites will collectively supply 4.2 gigawatts of power to the UK's grid, which is equivalent to the power consumption of four million households.
Vattenfall's decision to sell comes after a pause in the development of Norfolk Boreas earlier this year following concerns over its financial viability. RWE plans to resume development on Norfolk Boreas and continue progressing the other two projects, with expectations for all three to be commissioned before 2030.
The Norfolk Offshore Wind Zone is located 50-80 km off the east coast of England, making it one of the world's largest offshore wind development sites. RWE has expressed its commitment to securing Contracts for Difference (CfDs) for both Norfolk Vanguard projects and Norfolk Boreas in upcoming offshore wind tenders in the UK.
The deal, expected to be finalised in the first quarter of next year, not only secures the future development of the Norfolk projects but also allows Vattenfall to reverse earlier reported impairments and provisions.
This acquisition aligns with RWE's broader strategy to invest €55 billion in green energy projects globally by 2030, with €8 billion earmarked for the UK.
As the UK maintains its status as a world leader in offshore wind, the sale underscores the dynamic nature of the industry and the pivotal role it plays in the transition to cleaner energy sources.
