Danske Commodities will acquire power generated from the first two phases of the offshore wind project
Danish energy trading house Danske Commodities has signed a power purchase agreement (PPA) for a 480MW portion from the 3.6GW Dogger Bank offshore wind project.
Under the 15-year contract, the company will be responsible for trading and balancing of that capacity.
Claimed to be the world’s biggest offshore wind farm, the Dogger Bank is a 50/50 joint venture between SSE Renewables, a renewable energy subsidiary of SSE and Equinor.
Located 130km off the coast of Yorkshire, the wind farm is being developed in three phases, Dogger Bank A, Dogger Bank B and Dogger Bank C, each with 1.2GW of capacity.
Danske Commodities will acquire power generated from the first two phases, Dogger Bank A and Dogger Bank B of the project.
Dogger Bank offshore wind farm is expected to begin operations in 2023
Danske Commodities CEO Helle Østergaard Kristiansen said: “Signing a long-term PPA with the world’s largest offshore wind farm cements Danske Commodities’ position as a leading energy trading company.
“We are constantly growing our market position in the renewables space to support the energy transition with our expertise in trading and balancing.”
Once operational in 2023, the power generated by the wind farm will be sufficient to supply electricity to more than 4.5 million UK homes, which accounts approximately 5% of the UK’s electricity demand.
The company said that the PPA is subject to financial close on Dogger Bank A and Dogger Bank B that is expected later this year.
Last year, Danske Commodities, which was acquired by Equinor for €400m, has signed PPAs with Hywind Scotland wind farm, Sheringham Shoal wind farm and Dudgeon wind farm.
Currently, it has more than 5GW of renewable assets under management and trades power in 39 countries.