The trading arm of UK utility SSE has entered into a two-year power purchase agreement (PPA) for the Aikengall I onshore wind farm in East Lothian, Scotland with UK specialist CWP Energy.
The route-to-market PPA will see SSE Energy Markets optimise the asset on behalf of CWP (formerly Community Windpower), ensuring the latter is able to capture market reflective prices without being fully exposed to market fluctuations.
Aikengall I Wind Farm became operational in 2009 and consists of 16 turbines with generational capacity of 48MW.
Gordon Bell, managing director of SSE Energy Markets, said: “Within SSE Energy Markets, we have a growing focus on delivering best-in-class route to market services and bringing an independent value add to the Group.
This agreement with CWP Energy is a clear example of our approach, with a flexible, structured route-to-market PPA designed to best meet the generator’s requirements. We look forward to working with CWP Energy to optimise the wind farm at Aikengall, bringing our expertise to these important assets.”
CWP states that it has a renewable energy portfolio exceeding 3GW and has invested £1 billion in the UK. SSE will also manage the power and associated environmental certificates, for the company, for example renewable energy guarantees of origin (REGOs).
In September, UK businesses including the Climate Group, the BT Group and energy company Good Energy, wrote to energy secretary Ed Miliband, asking him to speed up reform to the REGO scheme.
The group suggested that the REGO market should focus on more accurately matching production and consumption of renewable electricity. One idea for implementing this would involve shifting to hourly matching of supply and consumption of renewables, as opposed to the current annual system.
SSE’s wind generation
SSE Energy Markets forms part of the SSE group, which has itself developed several major wind generation projects through its renewables arm. In August, SSE Renewables, which develops and operates projects, recently began construction of a 50MW onshore wind power plant, due for completion in 2026.
The Aberarder wind farm scored in the Contracts for Difference (CfD) auction round 5 (AR5), securing a 15-year contract for its power generation. The site is located next to the operational 94MW Dunmaglass Wind Farm, which is co-owned by SSE Renewables and Greencoat UK Wind.
Earlier this year, in June, SSE Renewables’ 443MW Viking Wind Farm, generated power for the first time. According to the company, when the wind farm is fully operational, it will be the “UK’s most productive onshore wind farm” with an annual generation capacity of around 1.8TWh.