Japanese Company Takes Stake in 1.2 GW Hornsea One Offshore Wind Farm

Contracts & Tenders

March 14, 2023, by Adnan Memija

Japan’s Daiwa Energy & Infrastructure, a strategic investment arm of Daiwa Securities Group, has acquired a minority stake in the 1.2 GW Hornsea One offshore wind farm in the UK.

Illustration; Hornsea One offshore wind farm; Photo source: Ørsted

Daiwa Energy & Infrastructure announced the transaction on 10 March, saying that it is constructed on the company’s partnership with Equitix, which has been cultivated since their first co-investment in Electricity North West Limited in 2019.

Located in the North Sea off the east coast of England, Hornsea One is the world’s largest offshore wind farm to date. Developed by Denmark’s Ørsted and Global Infrastructure Partners (GIP), the offshore wind farm became fully operational in January 2020.

The project comprises 174 Siemens Gamesa wind turbines and is generating enough energy to power over one million homes in the UK.

The wind farm is operated by Ørsted and has in place an inflation-linked Contract-for-Difference (CfD) that expires in 13 years.

During the past year, GIP has been gradually decreasing its stake in the project, In July 2022, the company sold 10.2 per cent to The Renewables Infrastructure Group (TRIG).

A month later, GIP shed a combined 12.5 per cent interest to Octopus Energy Group and GLIL Infrastructure, followed by a deal to sell another 12.5 per cent stake to Greencoat UK Wind.