RWE has received a feasibility licence from the Australian Government to develop an offshore wind farm near the Kent Group islands in the Bass Strait, off the Gippsland coast in Victoria. This area is Australia’s first designated offshore wind zone.
The licence grants RWE, a leading global renewable energy company, an exclusive 7-year seabed right to develop the Kent Offshore Wind Farm project. It also allows RWE to apply for a commercial licence to build and operate the wind farm for up to 40 years. RWE has been active in the country for 10 years and operates one of Australia’s largest solar farms.
The lease area awarded to RWE has the potential to host a wind farm with up to 2 gigawatts (GW) of capacity, enough to power up to 1.6 million Australian homes with green electricity. The site is approximately 67 kilometres off the coast and has average water depths of 59 metres. The wind farm is expected to become operational in the early 2030s, pending planning and approvals, secured offtake agreements, and grid connection.
Sven Utermohlen, CEO of RWE Offshore Wind, said: “By securing exclusive seabed rights in the Bass Strait off Gippsland, we are now entering the Australian offshore wind market and will bring our more than 20 years of experience in this field. This aligns with our strategy to grow our renewables portfolio in Australia and the wider APAC region.”
RWE’s next steps in the project include conducting studies to determine the project design and submitting applications for planning permission. The company will also engage with key stakeholders, including First Nations groups and other communities. Securing an offtake agreement will be a crucial milestone in the project’s development.
RWE currently operates 19 offshore wind farms and is constructing new projects with a total capacity of over 4 GW in Europe. RWE aims to increase its global offshore wind capacity from 3.3 GW today to 10 GW by 2030.
In 2023, RWE was awarded a Long-Term Energy Service Agreement to deliver and operate Australia’s first eight-hour battery adjacent to the Limondale Solar Farm. RWE plans to invest around 6 billion Australian dollars by 2030 to develop up to 3 GW of onshore wind, solar, and battery projects across the country. RWE Australia, based in Melbourne, has a team of nearly 70 employees, supported by the global RWE team.