Ofgem notice moves International PPL transmission project investment forward

28th Aug 2018 07:59

(Sharecast News) - Infrastructure investment company International Public Partnerships noted on Tuesday that Ofgem had, as anticipated, published a notice under Section 8A of the Electricity Act 1989 relating to the Dudgeon OFTO project.The FTSE 250 firm said that was a "key step" towards reaching financial close on the investment that the company expected to make in the project.As it had previously reported, International PPL expected to invest around £45m into the project upon financial close, anticipated to be in October.The project would be the company's seventh OFTO investment, and related to the transmission cable connection to the offshore wind farm located 32km off the coast of Cromer in North Norfolk.The wind farm consists of 67 6MW wind turbine generators, with an installed capacity of 402MW, connects to the offshore substation platform located within the boundaries of the Dudgeon wind farm and produces enough green energy to power more than 410,000 UK homes."The company takes no exposure to electricity production or price risk but is paid a pre-agreed, availability-based revenue stream over 20 years which is fully linked to UK inflation (RPI)," the board said in its statement.The offshore wind farm connected by the transmission project was owned by affiliates of Equinor ASA at 35%, Masdar at 35%, and China Resources Holdings at 30%.