The number of renewable energy projects for sale in the UK has risen over the last few months due to reduced demand.
Renewable energy developers keen to sell projects, are finding that demand is not at the same level it was a year ago, despite shareholders in many companies wanting to go green.
Manchester based Peel Energy is rumoured to be looking to sell half of its 65MW Scout Moor Wind Farm this year, while Durham company – Banks has announced the sale of the 24MW West Durham Wind Farm to fund the progression of its consented project portfolio.
Devon Wind Power is selling its home county – 66 MW Fullabrook Down wind energy project – although the identity of the buyer is not yet known and RES is selling its latest consented Northern Ireland project ‘Slieve Divena’ to Airtricity. Funding has yet to be sourced to build Your Energy’s Milton Keynes Wind Farm – although the company says it is not contemplating a sale yet.
Financial investors are taking a more cautious approach to investing in renewable technology such as wind energy, whilst Utility companies are seizing the moment to buy the best picks of the bunch. RWE Innogy’s UK subsidiary npower renewables bought a 50 per cent stake in the Greater Gabbard offshore wind farm from Scottish and Southern Energy (SSE) towards the end of last year and has bought several projects in Europe this year.
Onshore wind turbine prices have also come down although offshore wind turbines remain expensive with the industry being dominated by two German manufacturers Siemans and Repower.
RWE Innogy Chief Operating Officer Kevin McCullough told the Reuters Energy Summit in London last month: “Every cloud has a silver lining … Those who can actually weather this storm and those that are balance-sheet investors such as RWE are actually now seeing the positive effects”
