EDP and Engie are to join forces and create a joint venture in fixed and floating offshore wind.
According to the two energy companies, the new partnership will become a “global top-five player in the field” and bring together the “industrial expertise and development capacity” of both organisations.
Under the terms of a strategic memorandum of understanding signed by the two companies, EDP and Engie will combine their offshore wind assets and project pipeline in the newly-created joint venture, starting with a total of 1.5 GW under construction and 4 GW under development.
It will primarily target markets in Europe, the United States and selected areas in Asia, where most of the growth is expected to come from.
A joint statement adds the partnership’s ambition is to be self-financed and the projects that will be developed will respect the investment criteria of both companies.
“We are delighted to announce this strategic alliance in offshore wind with EDP that we have been partnering with since 2013,” said Engie chief executive, Isabelle Kocher.
“The offshore wind sector is set to grow very significantly by 2030. The creation of this joint venture will enable us to seize market opportunities while increasing our competitiveness on one of our key growth drivers, renewables. This agreement is also fully aligned with ENGIE’s zero-carbon transition strategy.”
The chief executive of EDP, Antonio Mexia added: “This agreement for wind offshore represents an important step in EDP’s renewables strategy. We are fully committed with the energy transition and a more sustainable future, as per the ambitious goals communicated in our strategic update.
“We are confident that this partnership will reinforce our distinctive position in renewables allowing us to accelerate our path in offshore wind, one of the key growth markets in the next decade,” added Mexia.