The onshore cables and onshore substation will be the first elements to be built, and the windfarm, 32km off the coast of Norfolk, is expected to be completed by late 2017.
A total of 67 wind turbines will be built, each one with a capacity of 6MW, and so the site is expected to generate 1.7 TWh annually.
The £1.5 billion Dudgeon project will provide up to 70 jobs in the local area, whilst more will be created during construction.
Siri Espedal Kindem, Statoil’s senior vice president, said: “We are very satisfied to have reached a positive decision for Dudgeon.”
She added: “Building on the Sheringham Shoal experience, we now look forward to a progressive dialogue with key stakeholders such as the Norfolk public community, the local supply chain and the authorities.”
Energy minister Michael Fallon added: “Today’s decision underlines the success of our new contracts and will bring about a steady stream of investment in renewable electricity.
“As the best place in the world to invest in offshore wind, the UK is attracting millions of pounds of investment, supporting hundreds of local green jobs and strengthening its energy supply with home-grown sources.”
The Norwegian companies acquired the Dudgeon offshore wind farm project in October 2012.