Octopus Energy has signed a power purchase agreement (PPA) with Shell to receive green energy from the “world’s largest offshore wind farm”, it said.
Being developed off the North East coast of England, Dogger Bank is the fruition of a joint venture consisting of SSE Renewables (40%), Equinor (40%) and Vårgrønn (20%). Once completed in 2024, it will generate 3.6GW of renewable energy.
Shell Energy Europe has already signed an agreement to offtake 20% of the energy created from Dogger Bank and now will supply Octopus Energy with up to 2.4TWh of green energy per annum. This will complement the company’s renewable assets and contribute to the decarbonisation of the UK.
The project is set to be a huge development in securing the UK’s energy security. Renewable energy has been touted as a means to both decarbonise and reduce the reliance on imported fossil fuels from abroad.
In addition, Dogger Bank, which recently was awarded a reactive power contract, will also support the UK government’s target of having up to 50GW of installed offshore wind capacity available by 2030 – a key milestone on the path to net zero by 2050.
This could contribute to Octopus Energy’s Fan Club tariff which is aiming to support gigawatts of associated renewable energy projects through 2030.
“If the energy crisis has taught us anything it is that we need to move fast to an energy system based on cheap renewables – and Dogger Bank will help to get us there,” said Matt Bunney, head of energy at Octopus Energy.
“We already manage renewable energy assets worth over £5 billion, and I’m delighted that our team managed to secure a long-term contract under Shell’s PPA on top of this, bringing 2.4TWh of green energy straight into our customers’ homes.”
Octopus Energy has been making several moves to boost its wind generation portfolio. One of these includes a repowering programme that aims to add more powerful technology to 1,000 existing onshore wind farms.
The new EQT turbines range from 250 kW – 1 MW, with work having started in the autumn with plans to run until 2030.
By increasing the green generation capacity of the country’s existing fleet of wind turbines, there is the potential to power hundreds of thousands more homes with cheap, clean energy, helping to drive down energy bills for people, Octopus Energy stated at the time.