Tenaga Nasional Berhad through its UK subsidiary, Vantage RE Ltd has signed a Share Purchase Agreement to acquire a 49% stake in an offshore wind farm company, Blyth Offshore Demonstrator Limited from EDF Renewables (EDFR), a subsidiary of the French utility company, Électricité de France.
Vantage RE which was launched in July 2021 this year was to operate and manage TNB’s portfolio of renewable energy assets in Europe. The acquisition marks TNB’s maiden entry into the international offshore wind market as BODL currently owns offshore wind assets off the coast of Blyth, Northumberland, England. The assets include five turbines with a total installed capacity of 41.5MW and further development rights for a floating offshore wind project of up to 58.4MW located off the Northumberland coast. The five 8.3MW turbines are installed with gravity-based foundations, which use a concrete load to keep the turbines securely in place without penetrating the seabed. The wind farm has been in operation since 2017 under the Renewable Obligation Certificates (ROC) subsidy regime that is expected to provide stable revenues.
“This landmark acquisition is one of the planned strategic acquisitions for TNB to accelerate its journey in delivering on its global Environmental, Social and Governance (ESG) vision,” said TNB’s President and Chief Executive Officer (CEO), Datuk Ir. Baharin Din.
The Pathway is underpinned by our commitment to reducing 35% of TNB’s emissions intensity as well as 50% of our coal generation capacity by 2035.” Acknowledging EDFR’s long-standing know-how and expertise in developing and operating major renewable energy projects, he said, “similar to EDFR, TNB shares the aspiration to continue driving
sustainable development for its stakeholders by delivering reliable and affordable energy, embracing innovation and the energy transition as well as providing future generations with the means to power their lives in the most economic, environmental and socially responsible ways possible.” He added that TNB aims to grow its RE capacity to 8,300MW by 2025.
The aim is for not Vantage RE to grow in the UK and Europe, but also to provide a solid pathway for TNB to accelerate its ambition to be a leading provider of sustainable energy solutions. Involvement in the UK offshore wind sector will allow the utility giant to capitalise on the vast experience of the existing Vantage RE management, broaden its technology know-how and provide further capability and talent development within the Group. Bruno Bensasson, EDF Group Senior Executive Vice President Renewable Energies, Chairman and CEO of EDFR declared, “As an international low carbon energy leader, EDF Group is committed to contributing to the sector technological evolution and competitivity. We are very pleased to seal this partnership with Tenaga Nasional Berhad on Blyth, a UK demonstrator site dedicated to offshore wind energy solutions. TNB and EDF share the same ambition to contribute to a low-carbon society.
TNB has been investing in the UK’s solar and wind sectors since 2017 and with the latest addition, it will be operating close to 450MW of RE investments (wind and solar farms) in the country.
