Danish wind turbine manufacturer Vestas has been selected by the Fortum-RUSNANO wind investment fund for its 1,000MW of wind projects to be built between 2018 and 2022.
The contract could see Vestas foraying into the Russian market, where Fortum-RUSNANO has recently been selected in a wind auction.
Vestas said: "In connection with OOO Fortum Energy being awarded a series of onshore wind power projects in the recently concluded Russian auction of renewable energy projects, the Fortum-RUSNANO wind investment fund has chosen Vestas as supplier for wind power projects."
As part of its role as a supplier of turbines, Vestas also stated that it plans to setup wind turbine manufacturing facilities in the Russian Federation in compliance with the local content requirements.
Fortum stated that its ambition is to have about 500MW of wind capacity in Russia. This ambition is part of the company’s strategy to increase CO2-free energy in Russia and to take part in the development of gigawatt-scale wind and solar portfolio in the country.
As per the tender, the price for installed wind will be within a range of €115 and 135 per MWh and these projects will be covered by capacity supply agreements (CSA) for a period of 15 years.
Fortum-RUSNANO stated that investment decisions will be taken on a case-by-case basis within its total mandate of 1GW. Fortum will be investing a maximum of RUB15bn (€240m), as part of its stake.
Recently, Italian energy Enel has been awarded a contract by the Russian government for the construction of two wind farms in Russia with a total capacity 291MW.
These tenders are part of Russian government’s move to significantly reduce its carbon emissions and to generate about 4.5% of its electricity from renewable resources and to reach about 5.5GW of installed capacity by 2024.
Image: Fortum-RUSNANO selects Vestas to supply wind turbines for 1GW wind projects in Russia. Photo: Courtesy of Drew Broadley/ FreeImages.com.