Disposal of Wind Farm Capacity

RNS Number : 2540J

Scottish & Southern Energy PLC

28 June 2011

 



SCOTTISH AND SOUTHERN ENERGY PLC

DISPOSAL OF WIND FARM CAPACITY

SSE (Scottish and Southern Energy plc) has agreed to sell its 50% interest (36MW) in the Braes of Doune onshore wind farm to a fund managed by Climate Change Capital for a total cash consideration of £61.3m, excluding working capital.  The electricity from Braes of Doune is sold to a third party.

The agreement follows the April 2011 sale to Infinis of SSE's 100% interest in three onshore wind farms, with a total capacity of 96.8MW, for a final cash consideration of £178.4m.

Following these disposals, SSE will have 775MW of onshore wind farm capacity in operation.  It also has 12 onshore wind farms, with a total capacity of 714MW, under construction in Scotland, Northern Ireland and the Republic of Ireland.

Subject to the completion of the remaining steps in the process, the disposal is expected to be completed in the next few weeks.

Gregor Alexander, Finance Director of SSE, said:

"This agreement represents the latest step in a programme of acquisitions and disposals to optimise our wind farm portfolio.  Fundamentally, SSE owns generation capacity to meet the electricity needs of its own customers and this disposal will mean that the power generated from all but 12MW of our wind farm capacity is used for that purpose.  In addition, the proceeds from disposals such as this will support our plans to invest around £1.7bn in the current year, in line with our commitment to financial discipline. As a result of our investment, we are on course to add to our operating wind farm capacity in the course of this financial year and beyond"

 

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