SSE Renewables, based in the UK, has signed an agreement with Siemens Gamesa Renewable Energy (SGRE) to acquire approximately 3.9 GW European renewable energy development platform for $627 million. Under the agreement, SSE Renewables will acquire SGRE’s 3.9 GW onshore wind portfolio across Spain, France, Greece, and Italy. SSE Renewables will enter the renewable energy market in Southern Europe as a result of this agreement.
Reportedly, the completion of the deal is expected in September 2022, subject to regulatory approvals and receipt of relevant foreign direct investment. The portfolio has a potential for up to 1 GW of additional co-located solar development opportunities. SSE Renewables has stated that it intends to introduce about 500 MW of total capacity online by March 2026. It also aims at pushing at least 500 MW into the construction phase.
SSE Renewables has a secured project pipeline of about 11 GW and owns and operates 4 GW of renewable energy assets in the UK and Ireland. The UK company’s net zero acceleration programme aims to increase its deployed renewables fleet to 8 GW by 2026. In March 2022, SSE Renewables announced its intention to apply for a maritime area consent for its Arklow Bank Wind Park Phase 2 project under Ireland’s new consenting regime. On completion, the project would be able to power almost 850,000 homes each year, almost double the number of homes targeted by the initial iteration of the project.
REGlobal’s Views: This large acquisition by SSE will help accelerate the company’s journey towards achieving its target of 13 GW (net) installed renewable energy capacity by 2031.
