European renewable energy provider Statkraft has introduced a new co-investment pilot scheme which will see it kick-start medium-sized wind farm projects in the UK.
The scheme will contribute to the continued expansion of contracted onshore wind power purchase agreements (PPA) that Statkraft has secured since establishing a PPA business in 2010.
Through the Wind Equity Scheme, the company plans to offer equity of up to 40% to developers seeking to set up between seven and 20MW of wind plants without mortgaging land or selling the project’s stake.
In addition, the state-owned firm will offer a bankable Statkraft PPA and professional project management support.
Statkraft will retain a minority partnership in each participating project will allow developers to retain control of their renewable asset and use the PPA to secure debt funding.
The company has launched a UK wide search, particularly targeting Scotland where natural wind resource is abundant, to source interested parties for the scheme.
Statkraft chief executive Christian Rynning-Tønnesenn said: "We are aiming for continued growth and our new Energy Services is the natural progression in developing our UK business."
"Our Wind Equity Scheme will also play an important role. We believe there is a real funding gap to be filled in relation to developers whose projects need an innovative financial solution and this new co-investment model seeks to address this.
"It’s a new way of accelerating UK wind energy growth which will benefit smaller developers."
Image: Through the Wind Equity Scheme, Statkraft will offer equity of up to 40% to developers seeking to set up between seven and 20MW of wind farms in the UK. Photo: courtesy of Harvey McDaniel.