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Dudgeon starts receiving CfD payments

Posted by 4C Offshore on


Low Carbon Contracts Company (LCCC) has confirmed that the final phase of the Dudgeon offshore wind farm has passed all of its Operational Conditions Precedent. The project has started to receive Contracts for Difference (CfD) payments under the Phase 3 Investment Contract.

This means that the entire project is now operating and receiving difference payments on generated electricity.

Neil McDermott, LCCC Chief Executive, said: “I am delighted that Dudgeon has passed its OCPs in line with the CFD requirements, increasing the operational capacity of our CFD portfolio to over 1.3GW.”

Halfdan Brustad, Chairman of Dudgeon Offshore Wind Limited said: “As part of our CFD we had need to submit information to LCCC on a contractual requirement of Operational Conditions Precedent (OCPs). We are pleased with the constructive dialogue with LCCC during the submission and approval process completing this major milestone for the three contracts.”

The final Siemens SWT-6.0-154 turbine was installed at the site on the 5th September. The first turbine was installed at the site in early January and work was carried out by A2SEA's SEA CHALLENGER.

Ever since the first turbine produced electricity at the beginning of February 2017, all the turbines have joined the production, one by one.

According to project developer Statoil, the project was completed to the agreed time and below the £1.5bn budget that was set when the final investment decision was made in 2014.

The project is located 32km off the coast of Norfolk, UK and is 20km east of the Sheringham Shoal, another project Statoil owns stake in. Dudgeon's turbines have a combined capacity of 402MW which is expected to produce 1.73 TWh/year meeting the demands of  400,000 UK households. The project's offshore substation platform and jacket foundation were built at Sembmarine SLP's yard in Lowestoft.

Operations and maintenance work at the site are being carried out by the newly built ESVAGT Njord which began operations after its christening in September last year. It will operate from the purpose-built base in Great Yarmouth which also acts as a control centre for the project.

Further to Dudgeon,  Statoil is also currently developing other offshore wind farms. These include the Hywind Scotland pilot park offshore Peterhead, Scotland, the world’s first floating wind farm, which will come in production in late 2017. Furthermore, the company acquired 50% of the Arkona offshore wind farm in Germany, which will come in production in 2019. Statoil was also declared the provisional winner of the U.S. government’s wind lease sale off the coast of New York at the end of 2016.

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