Iberdrola and Masdar have formalized a partnership agreement aimed at exploring collaborative opportunities in the development of offshore wind and green h2 projects. This substantial €15 billion ($16.2 billion) agreement underscores their commitment to fostering these initiatives in pivotal markets such as Germany, the UK, and the US.
The alliance has already achieved a noteworthy milestone through a joint investment in the Baltic Eagle project in Germany. This collaboration will extend further with additional co-investment activities related to the 1,400MW UK East Anglia 3 offshore wind project.
Beyond the scope of the East Anglia 3 venture, Iberdrola and Masdar plan to collaborate on future investments in offshore wind and green hydrogen projects across Europe and other global markets. Ongoing efforts to identify new opportunities suggest that the total value of joint investments in this sector, facilitated by the alliance, could potentially reach €15 billion.
The announcement of these plans took place at COP28 in the UAE, underscoring Iberdrola and Masdar’s shared commitment to expediting the global transition to cleaner energy.
Ignacio Galán, Iberdrola’s Executive Chairman, emphasized the need for immediate action from governments and the private sector to achieve the goals set at COP28. He stated, “By combining our renewables experience and financial strength with those of Masdar, we can deliver more secure, competitive, and clean energy, quicker.”
Masdar’s Chief Executive Officer, Mohamed Jameel Al Ramahi, expressed the company’s focus on developing innovative projects from their early stages to enhance offshore wind expertise. He noted their decade-long presence in the UK, pioneering landmark projects, including the world’s first floating offshore wind farm.
The agreement related to the East Anglia 3 project, a subject of negotiations in recent months, is anticipated to be finalized by Q1 2024. As part of the deal, Masdar is set to hold a 49% stake in the project, which is currently under construction and expected to be fully commissioned in Q4 2026. The wind farm, backed by a 15-year CPI-linked Contract for Difference (CfD) from the UK Government, aims to power over 1.3 million British homes.
