SSE Renewables has closed the agreement to form a new joint ownership company, SSE Pacifico, which will pursue the development of offshore wind projects in Japan.
The deal includes the acquisition by SSE Renewables of an 80 per cent interest in an offshore wind development platform from Pacifico Energy.
The total consideration at closing is USD 208 million of which USD 30 million is deferred consideration subject to a number of conditions.
SSE Renewables has also confirmed that Mike Seaton, currently Director of Development, will take up the role of CEO of SSE Pacifico, working alongside Executive Vice President and COO Dai Karasawa who joins from Pacifico Energy.
By combining the local preparatory development work undertaken by the Pacifico Energy team with SSE’s expertise in developing, constructing, and operating offshore wind farms, and balance sheet strength, SSE-Pacifico will progress its 10 GW portfolio of early-stage development opportunities, with the most advanced aiming to enter bid rounds before or in the mid-2020s, SSE Renewables said.
The new company said it will continue to collaborate fully and openly with local communities and authorities and aim to provide best-in-class integration of offshore wind farms with the local environment.
Japan has offshore wind targets of 10 GW by 2030 and 30-45 GW by 2040 as the country seeks to decarbonise and achieve greater energy independence. The targets are backed by a commitment to run regular offshore wind auctions for support.