Smith Square Partners Consortium was appointed by the Office of Gas and Electricity Markets (“Ofgem”) as financial adviser on the competitive tender round processes 7 (“TR7”) and 8 (“TR8”) to select the offshore transmission owners (“OFTOs”) of electricity transmission cable assets for offshore wind farms. The Consortium comprises financial advisers Smith Square Partners and Centrus, with CEPA providing financial and related economic advice, tax advice provided by BDO and forensic cost reviews provided by Grant Thornton.

Smith Square Partners Consortium’s advice has related to transmission assets for eight offshore wind farms with a projected generation capacity of 7.9 GW and combined asset values of c. £6.1 billion.

Adviser on sale of Moray East transmission link (TR7)

On 14 February 2024 Ofgem announced its confirmation to grant the £666 million Moray East offshore transmission licence from developer MOWEL to Transmission Capital Partners (“TCP”), an International Public Partnerships (“INPP”) backed consortium. The Moray East wind farm consists of 100 turbines, has a capacity of 950MW and is located 22km from the Aberdeenshire, Scotland coast in the Moray Firth.

Adviser on sale of Triton Knoll transmission link (TR7)

On 1 December 2023 Ofgem announced its confirmation to grant an offshore transmission licence to ETEPCO (a consortium of London based Equitix Limited and Japanese headquartered TEPCO Power Grid Incorporated). This sees the transfer of the £573 million offshore transmission link from RWE Renewables, the developer of the Triton Knoll wind farm. Triton Knoll consists of 90 turbines, has a capacity of 857MW and is located 33km from the Lincolnshire coast in the North Sea.

Adviser on sale of Hornsea Two transmission link (TR8)

On 14 July 2023 Ofgem granted an offshore transmission license to Diamond Transmission Partners Hornsea Two Limited, facilitating the £1.14bn transfer of the Hornsea Two offshore wind farm’s transmission link from developer Ørsted A/S. Diamond Transmission Partners Hornsea Two Limited is a joint venture between Mitsubishi Corporation and London listed HICL Infrastructure PLC. The Hornsea Two wind farm, located 89km off the Yorkshire coast, features 165 turbines and has a capacity of 1,320MW. The £1.14bn acquisition of its transmission assets marks the largest asset by value sold under Ofgem’s OFTO regime.