December 20 (Renewables Now) - Greencoat UK Wind Plc (LON:UKW), a renewable infrastructure fund managed by Greencoat Capital LLP, has agreed to buy the 45-MW, subsidy-free Douglas West wind farm in Scotland from Blue Energy.
Greencoat UK Wind estimates the acquisition and construction costs associated with the project at about GBP 45 million (USD 56.9m/EUR 50m), to be incurred between January 2019 and July 2021. It said it will fund this through reinvestment of its excess cash flow.
The Douglas West wind farm will be built about 7 miles south west of Lanark. Natural Power and Blue Energy will provide owner’s engineer and construction management services. The purchase of the wind asset is seen to be completed in the first quarter of 2019.
While Douglas West is a subsidy-free project, the company expects to continue to invest mostly in assets accredited under the Renewables Obligation (RO) regime, said Stephen Lilley of Greencoat Capital.
Earlier this month, Greencoat UK Wind bought the 18.4-MW Church Hill wind park and the 32.2-MW Crighshane wind farm from the Irish Infrastructure Fund and the Viridian Group for a total of GBP 87 million. Each of them receives 1 Renewable Obligation Certificate (ROC) per MWh.
(GBP 1.0 = USD 1.265/EUR 1.108)