Dogger Bank Wind Farm

The world’s largest offshore wind farm, currently under construction in the North Sea, is set to boost the UK’s progress towards net-zero carbon emissions with the support of a new £5.5bn funding package.

Share

 Share via LinkedIn  Share via Twitter  Share via Facebook  Share via email

Read time: 2 mins      Added: 01/02/2021

SSE Renewables, which is working alongside Norwegian energy firm Equinor to develop the new Dogger Bank Wind Farm, has secured the funding to support the installation of wind turbines across the first two phases of construction, with the 18TWh farm expected to begin generating power from 2023.

190 turbines are planned for this phase of the project, which will see Dogger Bank A and B constructed more than 130km off the coast of Yorkshire. Once complete, Dogger Bank is expected to provide renewable energy for up to six million British homes.

Each of the first two phases will be supported by Lloyds Bank as Mandated Lead Arranger (MLA) and Lloyds Bank Corporate Markets as the Hedge Execution Bank and hedge provider. The final group of lenders comprises 29 banks and three Export Credit Agencies (ECAs); Bpifrance Assurance Export – the French ECA, EKN – the Swedish ECA, and GIEK – the Norwegian ECA.

Lloyds Bank provided a Clean Growth Financing Initiative (CGFI) and Helping Britain Prosper (HBP) eligible initial debt commitment of £1.0bn across commercial (£500m) and ECA covered (£500m) tranches (final allocation of £510m). This is one of the largest commitments in the bank group and our largest ever commitment in the offshore wind sector.

The deal furthers the longstanding relationship between SSE and Lloyds Bank. The bank is currently supporting the development of Seagreen, a joint venture between SSE and Total which will provide low carbon energy to more than a million homes. Once complete, Seagreen will overtake SSE’s Beatrice development – also backed by Lloyds Bank with a £300m commitment (£198m final allocation) – as Scotland’s largest offshore wind farm.

Jonas Persson, Head of Sustainable and Natural Resources at Lloyds Bank, said: “The UK has a clear opportunity to lead the fight against climate change, with wind power playing a principal role. However, if we are to meet our 2050 net-zero objectives and see offshore technology powering all UK homes in the next decade as planned, sustained investment is essential."

"The government’s funding framework has created the conditions for green infrastructure to be developed at scale and, since 2018, we have supported the delivery of renewable energy to almost six million homes, with the figure increasing to around 12 million homes when Dogger Bank is complete in 2026. We look forward to increasing that figure through many other projects to come.”

All lending is subject to status.

Sustainable lending

Sustainable lending

Access discounted lending for green purposes through our Clean Growth Financing Initiative.

More about sustainable lending

You may also be interested in:

Clean Growth Sustainability Audit Guide

Our guide can help you get started on conducting your sustainability audit. It covers the benefits, step-by-step instructions and ideas for improvement projects.

Looking beyond the environment

As part of their journey toward sustainability, companies need to focus more on social issues.

Sustainable and Natural Resources

The demand to develop and deliver new methods of energy generation has never been higher. Our specialist team draws on deep sector expertise to help clients to adapt, thrive and grow in a changing climate.

Important legal information

Lloyds Bank is a trading name of Lloyds Bank plc, Bank of Scotland plc, Lloyds Bank Corporate Markets plc and Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH.

Lloyds Bank plc. Registered Office: 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 2065. Bank of Scotland plc. Registered Office: The Mound, Edinburgh EH1 1YZ. Registered in Scotland no. SC327000. Lloyds Bank Corporate Markets plc. Registered office 25 Gresham Street, London EC2V 7HN. Registered in England and Wales no. 10399850. Authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority under registration number 119278, 169628 and 763256 respectively.

Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH is a wholly-owned subsidiary of Lloyds Bank Corporate Markets plc. Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH has its registered office at Thurn-und-Taxis Platz 6, 60313 Frankfurt, Germany. The company is registered with the Amtsgericht Frankfurt am Main, HRB 111650. Lloyds Bank Corporate Markets Wertpapierhandelsbank GmbH is supervised by the Bundesanstalt für Finanzdienstleistungsaufsicht.

Eligible deposits with us are protected by the Financial Services Compensation Scheme (FSCS). We are covered by the Financial Ombudsman Service (FOS). Please note that due to FSCS and FOS eligibility criteria not all business customers will be covered.

While all reasonable care has been taken to ensure that the information provided is correct, no liability is accepted by Lloyds Bank for any loss or damage caused to any person relying on any statement or omission. This is for information only and should not be relied upon as offering advice for any set of circumstances. Specific advice should always be sought in each instance.