ScottishPower Renewables and Vattenfall have agreed to develop offshore windfarm projects within the East Anglia Zone in the UK.
In particular, the two firms will primarily work on southern area of the East Anglia Offshore Wind projects, which have a potential capacity of up to 7.2GW.
Each company will work on proposals for around 50% of the overall capacity.
ScottishPower agreed to undertake projects in the southern parts of the East Anglia Zone while Vattenfall will be responsible for projects in the northern section.
ScottishPower Renewables Offshore Wind managing director Jonathan Cole said: "Now we need to move our focus from understanding the wider zone characteristics, which we have done successfully in partnership with Vattenfall, to ensuring that each individual project gets the specific attention that it requires."
The decision comes on heels of the industry-wide changes agreed with the Crown Estate in the UK, which would result in signing of project specific agreements, replacing zone development agreements.
The two companies are currently negotiating with the Crown Estate for additional projects in their respective portions of the zone.
The Crown Estate Offshore Wind head Huub den Rooijen said: We’re working with ScottishPower Renewables and Vattenfall as they progress to project-specific agreements that will mark an important milestone in helping unlock the potential of the East Anglia Zone to deliver large scale low carbon energy."
Vattenfall will also cooperate with ScottisPower for evaluation of common factors required necessary for project development in the zone, which will include sharing of offshore wind measuring equipment, zone wide survey data and other key interfaces.