BP And EnBW Target Scottish Wind Projects

    BP And EnBW Estimate The Lease Could Support 2.9 GW Of Projects

    Wind Turbines At Sunset (Image Courtesy Of BP)

    BP, EnBW, and a consortium of other investors have submitted a bid for offshore wind acreage in the ScotWind leading round.

    The consortium has applied for a lease area off the east coast of Scotland that could support offshore wind projects with 2.9 GW of total generating capacity. The bid seeks to go far beyond developing wind power and aims to accelerate Scotland’s entire energy transition — from producing clean power to using it in new industries.

    A successful bid would bring billions of dollars of investment into Scottish offshore wind projects by supporting infrastructure such as ports, harbors, and shipyards. BP also would use its integrated business model to invest in net zero industries, including green hydrogen production, significantly accelerating the expansion of Scotland’s electric vehicle (EV) charging network.

    BP would also make Aberdeen, Scotland, its global offshore wind center of excellence, supporting its growing portfolio of offshore wind interests across the world.

    Supporting Green Jobs In Scotland

    BP, EnBW, and Forth Ports have already signed a Heads of Terms agreement with a financial commitment that will supplement Forth Ports’ US$55 million investment in its planned Renewables Hub at the Port of Leith.

    It represents a significant contribution to the development of Scotland’s offshore renewables infrastructure that will create new opportunities and long-term, high-quality jobs, supporting Scotland’s economic recovery and energy transition plans.

    BP and EnBW would also support and invest in a new skills capability accelerator developed by energy consultancy, Xodus, which will provide on-the-job project experience and formal learning. The five-year, multi-million financial commitment includes creating entry-level energy transition roles, and the reskilling of hundreds of oil and gas workers, graduates, and technicians with renewable sector capabilities.

    Together, these investments would support thousands of jobs in the Scottish energy sector and supply chain and develop new energy transition jobs, skills, and capabilities.

    Wind turbines at EnBW’s offshore wind farm in the Baltic Sea. (Image Courtesy Of EnBW)

    “Through our bid we aim to do far more than only develop offshore wind – we believe it can help fuel Scotland’s wider energy transition,” said Dev Sanyal, BP’s executive vice president for gas and low carbon. “We want to harness the clean power from Scotland’s offshore wind and use our capabilities as an integrated energy company to accelerate the country’s EV charging network, build its hydrogen offering, and strengthen its supporting infrastructure, including ports and harbors. The bid would build on Scotland’s deep experience in offshore oil and gas, equipping its workforce and supply chain with renewable capabilities, including creating apprenticeships, and supporting thousands of jobs. All of this is aimed at helping generate community wealth and creating a just transition. We believe this bid has the power to support a resilient clean energy future for Scotland for the next century and beyond.”

    “Our bid combines our established competence in offshore wind and BP’s leading North Sea experience,” said Georg Stamatelopoulos, COO of generation and trading at EnBW. “EnBW will bring its engineering know-how and track record as one of the leading offshore wind developers into the Scottish market.”

    Creating Jobs

    In readiness for a successful award, and to engage the local supply chain, BP and EnBW have launched a bespoke online portal for the Scottish engineering and supply sector to take part in the developments.

    Companies based in Scotland, with significant operations in Scotland, or that have plans to relocate their base or operations to Scotland, are encouraged to register their interest for future opportunities.

    BP has a long and proud history in Scotland, stretching back 100 years. It is a pioneer in the North Sea oil and gas sector, an industry that today supports thousands of jobs and has invested billions in the Scottish economy.

    Other Company Goals

    Earlier this year, BP and EnBW entered the UK’s offshore wind power sector, forming a 50-50 joint venture to jointly develop and operate two leases in the Irish Sea that offer a combined potential generating capacity of 3 GW. BP also has a partnership with Equinor to develop offshore wind projects in the United States, including projects with a planned potential 4.4-GW generating capacity. Onshore in the United States, BP operates nine wind assets across the country and has a gross generating capacity of 1.7 GW.

    EnBW is one of the largest energy supply companies in Germany and Europe, with more than 10 years of experience designing, constructing, servicing, and operating wind assets. It currently has onshore wind assets in Germany, France, and Sweden and operates four offshore wind assets in the German Baltic Sea and North Sea. In 2020, EnBW initiated Germany’s largest offshore wind project in the North Sea. EnBW plans to build its He Dreiht offshore wind farm, which is expected to have a capacity of 900 MW. It will be Germany’s first subsidy-free offshore windfarm. It is among the biggest currently planned offshore wind power projects in Europe and is scheduled to go into operation in 2025.

    Rapidly growing its renewables business is core to BP’s strategy. By 2030, BP aims to have developed around 50 GW of net renewable generating capacity, up from 3.3 GW in 2020. The strategy also includes plans to increase BP’s annual low-carbon investment tenfold, to around US$5 billion a year while reducing oil and gas production by around 40% from 2019 to 2030. BP’s renewables development target relates to the aggregate quantity, net to BP, of renewable generating capacity that has been developed to the point of final investment decision (FID).