RWE and KKR secure record £12 bn financing for 2.8 GW Vanguard offshore wind JV
RWE and KKR have completed a 50:50 joint venture to develop the Vanguard West and Vanguard East offshore wind farms off the UK coast. The projects total about 2.8 GW of capacity and are backed by a financing package of roughly £12 bn, including £11.1 bn in cash facilities, £1.7 bn in ancillary facilities and a £1 bn commitment from the UK National Wealth Fund. Construction is slated to start in early 2027 with full commissioning expected in 2030, and the farms have secured 20‑year CfD contracts at £91.20 per MWh.
Why it matters
The financing gives RWE a large, non‑recourse debt base while sharing capital risk with KKR, which gains a 50 % equity stake in two of the UK’s biggest offshore wind projects. The CfD contracts provide a long‑term, inflation‑linked revenue stream that underpins the projects’ economics.
Key facts
- 1RWE and KKR formed a 50:50 joint venture for the Vanguard West and Vanguard East offshore wind farms. finanznachrichten.de
- 2The combined generation capacity of the two projects is about 2.8 GW, with each farm at roughly 1.4 GW. renews.biz
- 3Total investment in the projects is around £12 bn. finanznachrichten.de
- 4The financing package includes £11.1 bn in cash facilities and £1.7 bn in ancillary facilities. renews.biz
- 5The UK National Wealth Fund is contributing £1 bn to the financing. renews.biz
- 6Construction is scheduled to begin in early 2027 and full commissioning is expected in 2030. renews.biz
Open questions
- Some sources cite a total financing of £12.8 bn while others state £12 bn; the exact total amount is not consistent across all reports.
Summary written by AlphAI AI Desk from 20 of 29 sources. Not investment advice. Figures are as stated by the linked sources.