Recent acquisitions by the renewable investment fund Greencoat UK Wind have helped boost the amount of electricity it has generated this year, according to its latest set of financial figures.
The fund’s half-yearly results, which were published today (27 July) show it generated 626GWh of electricity in the first half of the year, two per cent above budget.
The figures also reveal the fund’s portfolio of windfarms generated £39.2 million in net cash during the first six months of 2017.
“We are pleased to report the continued good performance of our portfolio, with good cash generation, over budget production, an increase in the dividend and strong dividend cover,” said chairman, Tim Ingram.
In March, the fund acquired two new wind farms – the Langhope Rig windfarm in the Scottish Borders from GE Energy Financial Services for £39.8 million and a stake in the Clyde windfarm in South Lanarkshire from SSE for £355 million.
And in June, it bought the 16.4MW Bishopthorpe windfarm near Grimsby from BayWa r.e. for a total of £47 million, bringing its portfolio up to 21 windfarms with a net generating capacity of 452MW.
“These acquisitions continue to demonstrate the group’s ability to source and execute transactions on terms that we consider to be advantageous to shareholders,” added Ingram.
According to the half-yearly results, the company is in a “good position to benefit” as “wind becomes an increasingly important part of the UK’s generation mix”.
“The supply of operating UK windfarms coming to market is increasing and the group has a significant pipeline of opportunities,” the report states. “Buyer interest is also increasing, primarily reflecting the low interest rate environment.”
In February, Utility Week reported Greencoat UK Wind was below six per cent below budget with 978.1GWh for 2016 because of weaker than usual winds.