UK pensioners set to benefit from wind farm sell-off

Pensioners in the UK are set to financially benefit from a fleet of wind farms in the country.

The news comes after French utility EDF announced it has sold a minority 49 percent stake in a portfolio of wind farms to Dalmore Capital and the Pensions Infrastructure Platform (PIP).

The investment in 24 wind farms covers projects in England, Scotland and Wales with a value of £701 million. 23 are onshore while one is offshore.

Dalmore Capital acted on behalf of a group of investors which include over two million UK pensioners, while PIP invested for a large UK local authority pension scheme.

All the projects are backed by existing subsidy schemes for the electricity they produce, meaning the financial proceeds will come back to pensioners.

The community benefits associated with the wind farms will be unaffected by the acquisition. Their combined capacity of 550 megawatts is also enough to power hundreds of thousands of homes.

Simone Rossi, CEO of EDF Energy said: “This is a positive step for the UK’s low carbon ambitions and energy resilience. It helps us to continue to invest in more renewables capacity and to extend our operating expertise.”

The sell-off may have come as a result of EDF’s recent purchase of a significant offshore wind farm in Scotland. The Neart na Gaoithe project will require an estimated £1.8 billion of investment to reach completion.

“We look forward to working with our new partners as we contribute to the UK’s clean growth strategy,” he added.

Mike Weston, CEO of Pensions Infrastructure Platform said: “This partnership with EDF in a significant renewable energy venture will help our investor meet its pension obligations and contribute to reducing the UK’s carbon emissions.”

Alistair Ray at Dalmore Capital said the fund was “very pleased to have led this acquisition to become a partner with EDF, a leading global utility, in this asset which makes a significant contribution to the UK’s clean energy supply. We look forward to working in partnership with EDF in delivering clean energy for the UK.”

 

Photo Credit: Mat Fascione/CC