TNB acquires offshore wind farms off Northumberland, England

by AUFA MARDHIAH / pic courtesy of TNB

VANTAGE RE Ltd, a subsidiary of Tenaga Nasional Bhd (TNB) has acquired a 49% stake in Blyth Offshore Demonstrator Ltd, an offshore wind farm company from EDF Renewables, a subsidiary of French utility company, Électricité de France.

The acquisition was secured on Oct 18, 2021, and marks TNB’s entry into the international offshore wind market.

The assets acquired from the acquisition include five turbines with a total installed capacity of 41.5 megawatts (MW) (for Blyth 1) and further development rights for a floating offshore wind project of up to 58.4MW (Blyth 2) located off the Northumberland coast in England.

Five 8.3MW Blyth 1 turbines are installed with a gravity-based foundation, which uses a concrete load to keep the turbines in place safely without penetrating the seabed.

Meanwhile, Blyth 2 is an innovative offshore floating wind project that is currently in the early stages of development.

The wind farm was operated in 2017 under the Renewable Obligation Certificates (ROC) subsidy regime which is expected to provide stable yields.

“The acquisition is one of TNB’s strategic acquisition plans to accelerate its journey in implementing its Environmental, Social and Governance vision,” it said in a statement today.

Last year, TNB announced its Sustainability Pathway, an action plan with the aspiration to achieve net zero emissions by 2050, which also supports TNB’s commitment in reducing 35% emission intensity and 50% coal generation capacity by 2035.

Vantage RE was launched in July 2021 to serve the purpose of owning, operating and managing TNB’s portfolio of renewable energy (RE) assets in the UK and Europe. 

To date, the company has achieved a 530.4MW RE portfolio including offshore wind, onshore wind and solar farms in the UK.

“On top of that, we are also targeting to grow our RE capacity to 8,300MW by 2025,” the company added.  

As of December 2021, TNB has a total RE capacity of 3,487.2MW including 2,771.4MW in Malaysia and 715.8MW across the UK, Turkey and India.

TNB’s RE mix in Malaysia includes hydroelectric and large scale solar (LSS) plants, besides offering “beyond kilowatt hour” solutions such as rooftop solar solutions, energy audits and a digital marketplace for RE certificates.

Furthermore, the country’s leading utility company is also eyeing the adoption of new technologies (energy storage system) to enhance the grid’s flexibility and address the intermittency issue in RE.