EDP ââplans to invest through its subsidiary EDP Renovaveis (EDPR), the world’s fourth largest producer of renewable energy, which has 1 gigawatt (GW) of offshore wind capacity under construction and 0.9 GW under development in Great Britain.
âThese plans underscore our commitment to the UK, a strategic market for the group’s growth,â said Miguel Stilwell d’Andrade, Managing Director of EDP and EDPR.
“We will explore any other opportunity that will allow us to continue to play a leading role in the UK’s energy transition,” he added.
The Â£ 13bn investment comes on top of a Â£ 2.65bn investment by Ocean Winds, EDP’s 50-50 joint venture with French utility Engie, in Moray East offshore wind projects and Moray West in Scotland, said EDP.
EDP ââplans to invest an additional Â£ 2.2 billion in the Moray West project, construction of which is expected to begin in 2022.
Britain has the world’s largest offshore wind market, with around a third of all offshore wind capacity installed by the end of 2020.
It plans to produce a third of its electricity from offshore wind farms by 2030 as part of its own efforts to achieve net zero carbon emissions by 2050.
EDP ââhas announced plans to invest around Â£ 660million in onshore wind projects in the UK over the next five years.
In July, it acquired onshore wind and solar portfolios with a capacity of 544 MW.
EDP ââsaid it is currently negotiating more than 200 MW of onshore wind projects with local partners.
Last month, the UK government announced the biggest bidding round of its renewable energy support program, which will open in December and will include onshore wind and solar for the first time.
In the last auction, the cost of offshore wind fell to around 40 pounds per megawatt hour (MWh), far less than the current wholesale electricity price of around 175 pounds / MWh.
Wholesale electricity prices have skyrocketed in Britain this year as global gas prices have skyrocketed due to post-pandemic demand recovery, low inventory volumes, blackouts infrastructure and other factors.
Other major European utilities are also investing large sums in renewable energies, notably the Spanish Iberdrola, the Danish Orsted and the Italian Enel. (Reporting by Marwa Rashad and Nina Chestney; editing by Jason Neely)