Danish energy trading company Danske Commodities signed a 20-year Power Purchase Agreement (PPA) with the world’s first floating wind farm, Hywind Scotland.
Hywind Scotland, the world's first commercial-scale floating wind farm, was officially opened in October 2017. Norwegian oil and gas group Equinor owns 75%, while its partner the Abu Dhabi Future Energy Company, better known as Masdar, holds 25%.
As the sole offtaker, Danske Commodities will take over balancing and trading of Hywind Scotland’s total volume of 30 MW. The wind farm, which is located 30 km off the coast of Scotland, powers around 20,000 households.
“The agreement with Hywind Scotland marks a new chapter for Danske Commodities. By adding a 20-year PPA to our long-term portfolio, we will continue to strengthen our position in the PPA market and support Equinor’s growing portfolio of renewables”, said Danske Commodities CEO Helle Østergaard Kristiansen.
“Hywind Scotland is the world’s first floating wind farm and we are excited to partner up with Danske Commodities. Floating wind farms hold great potential as close to 80% of the ocean’s resource potential is in deep waters. And looking ahead, floating offshore wind is estimated to constitute 10% of the market, potentially powering 12 million homes by 2030”, said Jens Økland, Equinor Senior Vice President, Business Development, New Energy Solutions.