Swiss technology company ABB has been awarded contracts by Norwegian energy company Equinor and its partner SSE Renewables to connect offshore wind farms in the Dogger Bank region of the North Sea to the UK transmission network.
The Dogger Bank development will be the world’s largest offshore wind farm development, and consists of three projects: Creyke Beck A, Creyke Beck B and Teesside A.
Creyke Beck A and B will produce eight terawatt-hours (TWh) of renewable energy each year, enough to power at least 1.8 million homes.
ABB will supply its high-voltage direct current (HVDC) converter systems to connect Creyke Beck A and Creyke Beck B to the UK power grid, the first-ever use of HVDC technology in the UK’s offshore wind market.
Norwegian company Aibel also providing two HVDC offshore converter platforms with an option for a third platform at Teesside A. ABB and Aibel signed a strategic partnership agreement in October 2016 to develop offshore wind power connections.
Equinor and SSE both own 50% of the three projects, as agreed in August 2017. The development will have a total installed capacity of 3.6 gigawatts (GW), enough energy to power 4.5 million UK homes. The Dogger Bank projects are estimated to trigger a total capital investment of around £9bn between 2020 and 2026.
ABB Power Grids president Claudio Facchin said: “Winning the contracts from SSE Renewables and Equinor for the landmark Dogger Bank project underscores ABB’s innovative offshore wind technology and expertise. It also highlights the success of ABB Power Grids’ customer partnerships, both on design optimization as well as on the business model level.
“ABB is committed to delivering sustainable solutions with pioneering technologies and in the Dogger Bank project we are helping to make offshore wind competitive and thus contributing to a stronger, smarter and greener grid.”
SSE director of capital projects Paul Cooley said: “Dogger Bank is truly a world-leading project, pushing new boundaries in the provision of ground-breaking technology to deliver low-carbon energy generation to help achieve the UK’s net zero ambition by 2050.
“The appointment of Aibel and ABB as project partners will ensure that the latest grid solution technology is deployed to support our successful project delivery.”
ABB share price currently stands at CHF20.96 on the SIX Swiss Exchange, giving the company a market capitalisation of CHF45.40bn. This has continued a recent rise throughout October, as ABB’s share price had been CHF17.92 on 7 October.
ABB share price in 2019
Equinor and SSE are expecting a final investment decision for the first project to be made in 2020, with first power generation planned for 2023 and further phases of the Dogger Bank project to be developed after this first generation.
With the addition of Teesside B, the capacity of the projects will increase to 4.8GW.