Ofgem Launches 3rd OFTO Tender Round for Two Offshore Wind Farms

Ofgem Launches 3rd OFTO Tender Round for Two Offshore Wind Farms

Ofgem launches the third Offshore Transmission Owner (OFTO) tender round, for the high voltage transmission links of two offshore wind farms, Westermost Rough and Humber Gateway situated in the North Sea off the coast of Yorkshire.

Worth almost £400m, Tender Round 3 (TR3) is the first new tender round to be run under the enduring regulatory regime, which includes new features designed to yield further savings for consumers. The competitive tender process will result in an OFTO being appointed for each project, with a licence granted to own and operate the transmission assets. In return both OFTOs will receive a guaranteed revenue stream for 20 years.

To make the tendering process simpler and quicker, Ofgem have looked at lessons learned from previous tender rounds and decided to combine the Pre-Qualification (PQ) and Qualification to Tender (QTT) stages into one Enhanced Pre-Qualification (EPQ) stage. Ofgem also enhanced the incentives on OFTOs, which will help keep the cost of this transmission investment as low as possible for consumers.

The TR3 projects are being built by offshore generators, but the enduring regime also gives generators the choice of an OFTO designing and constructing the transmission assets (the OFTO build model).

Ofgem E-Serve’s Managing Director, Robert Hull, said: “The offshore transmission regime has already delivered £1.4bn of new investment into the UK transmission sector. Billions of pounds of further investment in offshore transmission will be needed to connect the 8-15GW pipeline of offshore wind power forecast by the Department of Energy and Climate Change (DECC).

“Tender Round 3 marks a key opportunity for new investors to compete in the offshore regime. Through the competitive tender process we run we will ensure that the transmission systems for the Humber Gateway and Westermost Rough projects will be delivered on time, while driving down costs for consumers.”

Press Release, February 28, 2014

Share this article

Follow Subsea World News


<< Nov 2019 >>
28 29 30 31 1 2 3
4 5 6 7 8 9 10
11 12 13 14 15 16 17
18 19 20 21 22 23 24
25 26 27 28 29 30 1


The Offshore Technology Conference Asia (OTC Asia) is where energy professionals meet to exchange…

read more >

6th Offshore Well Intervention Conference Gulf of Mexico

The Offshore Well Intervention Gulf of Mexico conference (OWI GOM) is returning to Houston, Texas for its sixth year on Wednesday 20 – Thursday 21 November.

Featuring Anadarko, BP, Shell, Chevron, BHGE and Oceaneering, the conference aims to help operators transition to the latest compliance updates, WI systems and business models that enhance safety, quicken well access and improve commerciality.

Across two days, more than 200 delegates, 15 exhibitors and 30 speakers will network together and create solutions to some of the most pertinent industry challenges right now, through a conference programme focused on:

  1. Clarifying compliance updates
  2. Quicker well access and safer well control
  3. ​Understanding HPHT well intervention (systems)
  4. Forecasting well intervention activity, discussing new commercial models and comparing platform options
  5. Best practice riserless well intervention
  6. ​The latest well intervention equipment

For registration, speaking or sponsorship enquiries contact Abigail Clifton on aclifton@offsnet.com; +44 (0) 203 793 8800.

More info

read more >

Underwater Intervention (UI) 2020

Underwater Intervention Conference is a conference where oil and gas industry professionals, senior decision…

read more >

Subsea Expo 2020

Subsea Expo is the world’s largest subsea exhibition and conference and is completely free to attend.

read more >