CPPIB buying stake in French wind farms
The investment is set to support the development of three offshore wind farms in France. The CPPIB is paying €80 million for its stake, with a further €120 million committed to follow-on investment as the first project moves through construction. It may also make an additional €150 million investment in two other wind farm projects. Together, the planned wind farms will have a total-installed capacity of close to 1.5 gigawatts and are expected to become operation in phases between 2022 and 2024.
“France has established renewables as a cornerstone of its long-term energy plan and this partnership with Enbridge represents significant opportunities to invest in and develop flagship offshore wind projects across France, alongside France’s premier energy company EDF Renewables,” said Bruce Hogg, managing director and head of power and renewables at the CPPIB, in a press release. “This investment will provide additional diversification to our existing portfolio of assets and deepen our access to future high-quality offshore wind development projects in Europe and Asia.”
The investment builds on previous deals the CPPIB has made with Enbridge. In May 2018, the fund finalized an agreement to acquire a 49 per cent stake in the company’s North American onshore renewable power assets, as well as a 49 per cent interest in two of the company’s German offshore wind projects.