Five bidders shortlisted in tender for three offshore transmission links
Correspondence and other
Publication date
Industry sector
Offshore Transmission Network
The three links are being tendered under the sixth round of the Offshore Transmission Owner (OTFO) regime. The sixth round has an estimated value of £2.7 billion and will connect 2.5GW of generation capacity, making it the biggest tender round to date.
The shortlist demonstrates there continues to be strong competition to own and operate the links, helping to keep costs low for consumers. The bidders will now go through to the final Invitation to Tender (ITT) Stage, which will be staggered for each project. Following the ITT stage, Ofgem will appoint an OFTO for each link. The OFTO will receive a guaranteed revenue stream for 25 years under the terms of their licence, subject to the availability of their assets.
The ITT stage for the Beatrice project will commence shortly. For Hornsea Project One it is anticipated to commence in July 2019 and for East Anglia ONE in February 2020.
Ofgem will announce the details of the preferred bidder for each project at the completion of each ITT evaluation stage.
As set-out in the ‘Enhanced Pre-Qualification Document for Tender Round 6 (TR6)’, where there are fewer than 8 Qualifying Bidders ‘passported’ into the ITT Stage for Hornsea Project One and East Anglia ONE, Ofgem may run an additional EPQ Stage for these two projects. Ofgem confirms that an additional EPQ Stage will not be run.
The Bidder Groups referred to above consist of the following:
- Aegir Energy Transmission is a consortium of Macquarie Corporate Holdings Pty Limited and Frontier Power Limited.
- Core Transmission Partners is a consortium of BBGI SICAV S.A and Semco Maritime A/S
- Diamond Transmission Partners is a consortium of Mitsubishi Corporation and Chubu Electric Power Co., Inc.
- Equitix TEPCO Consortium is a consortium of Equitix Limited and TEPCO Power Grid Incorporated.
- Transmission Capital Partners is a consortium of International Public Partnerships Limited and Transmission Capital Partners Limited Partnership.
Also, see the project information for further details.