RWE has been granted a feasibility licence from the Australian Government for the development of an offshore wind farm close to the Kent Group islands in the Bass Strait, off the Gippsland coast in the state of Victoria. This area is Australia’s first designated offshore wind zone.
This licence approval grants RWE an exclusive seven-year seabed right to develop the Kent Offshore Wind Farm project. The approval also allows RWE to apply for a commercial licence to build and operate the wind farm for up to 40 years.
The lease area awarded to RWE has the potential to host a wind farm with up to two gigawatts (GW) of capacity, enough to power up to 1.6 million Australian homes with green electricity. The site is about 67 kilometres off the coast and has average water depths of 59 metres. The wind farm is expected to become operational in the first half of the 2030s, subject to the timing of the planning and approvals process, secured offtake as well as grid connection.
Sven Utermöhlen, CEO of RWE Offshore Wind, said: “Australia is a very attractive growth market for renewable energy. RWE has been active in the country for 10 years and operates one of Australia’s largest solar farms. 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.”
The next step for RWE in the further development of this early-stage project is to carry out studies to help determine the project design and to submit applications for planning permission. RWE will also engage with key stakeholders, First Nations groups and other communities. Another key milestone in the project’s development at a later stage is to secure an offtake agreement.
RWE currently operates 19 offshore wind farms. New offshore wind farms with a total capacity of more than 4GW are currently under construction in Europe and further offshore projects are under development worldwide. RWE wants to grow its global offshore wind capacity from 3.3GW today to 10GW in 2030.
The RWE Group has been involved in Australia for 10 years, starting in 2018 with the construction and subsequent operation of one of the country’s largest solar farms – the 249MW Limondale Solar Farm in New South Wales. And in 2023, RWE was awarded a Long-Term Energy Service Agreement to deliver and operate Australia’s first eight-hour battery adjacent to the existing Limondale Solar Farm.
RWE plans to invest around A$6 billion by 2030 to develop up to 3GW of onshore wind, solar and battery projects across the country.