Iberdrola & Masdar: €15B for Green Power
Iberdrola and Masdar, major players in the global green energy sector, unveiled a €15 billion strategic partnership agreement.
The focus of this collaboration is the joint exploration of offshore wind and green hydrogen projects in key global markets, including Germany, the UK, and the USA.
Building on their successful co-investment in Germany's Baltic Eagle, the alliance's next significant venture involves potential co-investment in the 1,400-megawatt (MW) UK East Anglia 3 offshore wind project.
After months of negotiations, the deal is anticipated to be finalised by the end of Q1 2024, with Masdar potentially holding a 49% stake in the wind farm. East Anglia 3, currently under construction and set for full commissioning in Q4 2026, secured a 15-year CPI-linked Contract for Difference (CfD) from the UK Government in July 2022, aiming to power over 1.3 million British homes and generate 2,300 jobs.
Beyond the East Anglia 3 initiative, Iberdrola and Masdar plan to collaborate on future offshore wind and green hydrogen projects across Europe and other global markets. The partnership's joint investments in these endeavours could reach a total value of €15 billion. Announced at COP28 in the UAE, these plans underscore the companies' strong commitment to hastening the worldwide energy transition.
HE Dr. Sultan Al Jaber, UAE Minister of Industry and Advanced Technology, Chairman of Masdar, and COP28 President, expressed his support for the partnership, highlighting the critical role it plays in advancing renewables globally. With a view to the urgent need to triple global renewable energy capacity by 2030, he commended robust partnerships such as the one forged between Masdar and Iberdrola.
Ignacio Galán, Iberdrola’s Executive Chairman, stressed the importance of immediate action from governments and the private sector to achieve the COP28 goal of tripling renewable energy capacity by 2030. He emphasised that the collaboration with Masdar demonstrates their determination to contribute to this ambitious target.
Masdar’s Chief Executive Officer, Mohamed Jameel Al Ramahi, expressed delight at the collaboration with Iberdrola, emphasising the strategic significance of developing one of the UK’s largest offshore wind farms and exploring prospects in Europe.
As Masdar aims to achieve 100GW by 2030, Al Ramahi highlighted the company's commitment to innovative projects, citing their decade-long presence in the UK and their pioneering efforts in landmark projects, including the world’s first floating offshore wind farm. He concluded by showcasing the East Anglia 3 offshore wind farm as a testament to how such projects can create jobs, power homes, and reduce emissions on a global scale.
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