Ofgem Appoints Preferred Bidder for Burbo Bank Extension Offshore Transmission Assets
Tuesday 25 July 2017
Today Ofgem has appointed Diamond Transmission Partners (DTP) as the preferred bidder to own and operate the offshore transmission link to the Burbo Bank Extension windfarm for the next 20 years. This completes the procurement process of Tender Round 4 of the offshore transmission owner (OFTO) regime.
DTP, a consortium comprising Mitsubishi Corporation and HICL Infrastructure Company Limited, was selected by Ofgem through a process in which bidders compete to become OFTOs. Tender Round 4 saw the lowest bids to date as a proportion of the asset value. This further demonstrates the value of continuing to use competitive tendering to provide the best value for consumers.
The Burbo Bank Extension offshore wind farm is located in the Liverpool Bay. It has a capacity of 258MW and consists of 32 turbines. The wind farm will power 230,000 UK homes using renewable energy. The estimated value of the transmission assets is £180.6 million*. A consortium of DONG Energy A/S, KIRKBI A/S, and PKA currently owns the transmission assets for the project.