Brookfield, chaired by former Financial institution of England governor Mark Carney, has acquired a 12.45% stake in 4 UK offshore wind farms owned by Orsted for £1.75 billion ($2.3 billion).
This vital deal contains the world’s largest single offshore wind farm, Hornsea 2, situated 55 miles off the Yorkshire coast with a capability of 1.32 gigawatts—sufficient to energy roughly 1.4 million houses.
This acquisition represents about 20% of the £8.75 billion disposal goal set by Orsted for 2026, a technique to scale back prices and reinforce its stability sheet amid rising rates of interest and provide chain challenges affecting the sector’s profitability. Orsted operates over 5GW of offshore wind capability, with an extra 5GW beneath building, together with Hornsea 3 and 4. The latter tasks not too long ago secured contracts within the UK’s clear energy public sale, for which the federal government boosted the finances to £1.5 billion to drive renewable investments.
Connor Teskey, CEO of Brookfield Renewables, acknowledged that UK offshore wind belongings are “a critical part of the energy mix,” echoing Chancellor Rachel Reeves’s assertion that this deal is a “huge vote of confidence in the UK’s clean energy sector.” Since Labour’s July election win, the federal government has prioritised web zero targets by 2050, growing assist for renewables and launching Nice British Power with £8.3 billion in taxpayer backing.
For Brookfield, this acquisition builds on its current foray into the UK wind market following its buy of Banks Renewables, rebranded as OnPath, which operates 11 onshore wind farms throughout the UK. This marks Brookfield’s first UK offshore wind enterprise, including to its 11.1GW international wind capability, greater than half of which is in North America.
