EIB Invests GBP 51 Mln in Gwynt y Môr Transmission Link

Grid Connection

The European Investment Bank has agreed to provide GBP 51 million backing for the GBP 352 transmission link to the second largest wind farm in the world.

The Gwynt y Môr offshore wind farm, located in Liverpool Bay, eight miles off the north Wales coast, will produce enough electricity to cater for the energy needs of 400,000 homes with 160 turbines, with tips up to 150m above sea level, able to generate 576MW.

“Investment in renewable energy helps to reduce carbon emissions and benefits local economic activity. The European Investment Bank is committed to supporting energy investment across the UK, including development of the offshore wind energy sector. The scheme is already creating jobs in north Wales and elsewhere, and clearly demonstrates the huge potential of harnessing wind energy in UK waters.” said Jonathan Taylor, European Investment Bank.

The EIB will support the Gwynt y Môr OFTO using the project bond credit enhancement facility to enhance the credit rating of bonds issued to finance the project. The Gwynt y Môr transmission link is the largest OFTO to be financed through capital markets to date.

The offshore transmission link includes two offshore substations, and over 120km of high-voltage transmission cables, as well as a new substation at St Asaph Business Park.

Past offshore transmission links supported by the EIB in UK waters under the OFTO regime include Walney 1 and 2, Sheringham Shoal, Greater Gabbard and London Array.

Over the last 5 years the EIB has provided over GBP 7 billion in long-term loans to support investment in the UK energy sector. This has included backing for new onshore and offshore windfarms, improvements to the national electricity transmission and distribution network.

Image: eib