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Written by Martin Lynch, European News Editor for Industrial Info (Galway, Ireland) -- The U.K. government has granted permission for two new offshore windfarms that will add more than 1,100-megawatts (MW) to its growing renewable energy portfolio.

The two wind farms, located off England's east coast are Race Bank (580 MW) and Dudgeon (560 MW) in the Greater Wash, will be capable of generating enough power for around 730,000 homes and represent a combined investment or more than €3.8 billion ($4.7 billion). Race Bank is being developed by Centrica plc (OTC:CPYYY) (Windsor, England) while Dudgeon will be developed by Warwick Energy (Wellesbourne, England).

However, the government rejected another proposed Centrica windfarm, the 540 MW Docking Shoal windfarm off the coast of Norfolk. The Department of Energy and Climate Change (DECC) said the refusal was "due to the potential impact on seabirds in the area".

Charles Hendry, Minister of State for Energy, said: "The U.K. is racing ahead of the global field and these two new offshore wind farms underline this momentum. These two projects will not only bring us considerable amounts of clean energy, but significant investment and jobs too. We have also shown that we are mindful of other consequences, such as the impact on bird populations, in deciding that it would not be appropriate to consent all three applications."

According to DECC figures, there is 6,600 MW of offshore wind projects built, under construction and consented to date. Of that, 1,900 MW is operational. The country is aiming to have up to 18,000 MW of offshore wind power operational by 2020.

The Race Bank windfarm is located off the Lincolnshire and north Norfolk coasts and is close to 270 MW Lincs windfarm which Centrica is building with Dong Energy A/S (Fredericia, Denmark) and Siemens AG (NYSE:SI) (Munich, Germany). Last month the Lincs project received a crucial windfall of €525 million ($660 million) to finish the project. For additional information see June 13, 2012, article - Lincs Windfarm in UK gets €525 Million Windfall.

Mark Hanafin, Managing Director of Centrica Energy, said: "Achieving Government consent for Race Bank is an important milestone. We will now undertake a thorough appraisal of project costs with a view to making a final investment decision on Race Bank early in 2013."

Centrica's statement added: "Regrettably, the Government has decided not to give consent to our 540 MW Docking Shoal offshore windfarm. This project has already incurred considerable costs and has been awaiting planning consent for more than three and half years".

Warwick Energy's Dudgeon windfarm be located 32 kilometres offshore. The company chose ABB Limited (NYSE:ABB) (Zurich, Switzerland) as the preferred contractor for the electrical works in May 2012 and said that preferred contractors for the two other main packages -- foundations and wind turbines - will be announced later this year ahead of contract signings in 2013.

"This is a major step forward for the project, the offshore wind industry and for the UK economy," commented Mark Petterson, Project Director "We hope to receive the remaining consent, for an onshore substation, soon to allow construction work for this major piece of infrastructure to start next year".

View Project Report - 78000293 78000407 78000292

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