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Vattenfall picks Siemens Gamesa for 955 MW of Danish offshore wind projects

The prototype in Østerild, Denmark. Image by Siemens (www.siemens.com/press)

November 28 (Renewables Now) - Swedish state-owned utility Vattenfall AB has selected Siemens Gamesa Renewable Energy SA (BME:SGRE) as the turbine supplier for its three new offshore wind farms in Danish waters totalling 955 MW.

Vattenfall announced in a statement today that this is the world’s largest order for offshore wind turbines in 2017 and also one of the biggest renewable energy investments in the company’s history. In total, Vattenfall expects to spend nearly EUR 1.7 billion (USD 2bn) on the the three wind parks, namely Kriegers Flak in the Baltic Sea and Vesterhav Syd and Nord in the North Sea.

“A combined purchase gives us a lower price, which means that construction costs for offshore wind power can be further reduced,” said Gunnar Groebler, Head of Vattenfall Wind and member of the Executive Group Management.

The Swedish utility won tenders for the construction of the 605-MW Kriegers Flak plant and the two coastal wind farms at Vesterhav Syd and at Vesterhav Nord in 2016. The company expects to take a final Investment decision for the three projects in the fourth quarter of 2018.

The deal with Siemens Gamesa would cover design, manufacturing, installation, commissioning, testing and service of 113 machines. The two smaller wind parks are expected to enter into service in 2020, and Kriegers Flak is seen operating in 2021.

(EUR 1.0 = USD 1.189)

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Ivan is the mergers and acquisitions expert in Renewables Now with a passion for big deals and ambitious capacity plans.

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