TAQA acquires Transmission Investment platform in the UK
Image courtesy TAQA Transmission
Abu Dhabi National Energy Company PJSC (TAQA), an integrated utilities has acquired 100% of Transmission Investment (TI), a UK-based energy and utility investment platform.
According to the Abu Dhabi-based TAQA, Transmission Investment is one of the largest players operating offshore transmission (OFTO) assets connecting offshore wind farms to the UK grid.
The strategic acquisition strengthens TAQA’s position in the offshore electricity transmission sector, providing them with a team of more than 40 full-time employees at TI.
TI becomes part of TAQA Transmission – the company’s first international acquisition. TAQA Transmission is the TAQA Group’s subsidiary responsible for the development and operation of high voltage power and bulk water transmission infrastructure.
The acquisition of TI establishes TAQA in the UK electricity transmission sector and allows expansion into European and international markets.
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Founded in 2009, TI has approximately £3 billion ($4 billion) of assets under management in relation to its existing portfolio of 11 OFTO (offshore electricity transmission) assets.
Through its consortium in partnership with Amber Infrastructure and International Public Partnerships (INPP), TI has established a track record of bidding for, winning and operating OFTO assets in the UK, with an approximately 40% success rate on OFTO bids. Last week, Ofgem appointed TI’s consortium with Amber and INPP as its preferred bidder for Moray West OFTO.
TI is also one of the UK’s developers of interconnector projects, including the FAB Link Project and the LirIC Project (both the projects have been granted a cap and floor regime by Ofgem), connecting Great Britain with France and Northern Ireland through new HVDC sub-sea electricity interconnectors with an aggregate capacity of approximately 2GW.
Recently, the LirIC Project reached significant milestones with the energy regulators in Northern Ireland and the UK.
Furthermore, TI has grid stability projects under development and is ready to make an entry into the onshore electricity transmission grid (CATO) market.
Commenting in a release was Dr Chris Veal, founder and managing director of Transmission Investment: “We are pleased that TAQA has acquired Transmission Investment.
“TAQA’s experience, capability and backing will enable TI to continue to grow and play its part in the development of the UK transmission system in support of the energy transition. The UK’s targets of 50GW of offshore wind by 2030, and net zero by 2050, require a huge expansion of offshore and onshore transmission.
“TI is ready to contribute to this expansion. As a leader in the delivery of competitive UK transmission, we are committed to doing so cost-effectively for UK consumers, while ensuring safety and acting responsibly towards society and the environment.”
Following the acquisition, Dr Veal will continue to lead TI, maintaining its strong performance and targeting growth areas.
Said Dr Afif Saif Al Yafei, CEO of TAQA Transmission: “Transmission grids are essential for enabling the global energy transition. IRENA estimates that from 2024 to 2030, around $717 billion per year must be invested in grid infrastructure and flexibility measures to align with a pathway that is compatible with a 1.5°C scenario.
“That is why we are pleased to announce TAQA Transmission’s first international acquisition, strengthening our growing portfolio and reinforcing TAQA’s role as a global leader in low-carbon power and water solutions. This deal will allow us to leverage the significant capabilities of TI to support our international growth strategy while contributing to the UK’s 2050 Net Zero programme and our wider sustainability ambitions.”
The acquisition is the latest move from TAQA Transmission, the sole transmission operator in the Emirate of Abu Dhabi and the largest transmission asset owner in the UAE, to expand its international footprint across the GCC, UK and North Africa.
Earlier this year TAQA Transmission and ADNOC completed laying 1,000 kilometres of cutting-edge cables as part of their $3.8 billion strategic project to power and significantly decarbonise ADNOC’s offshore production operations. This project will result in the first-of-its-kind HVDC sub-sea transmission network in the MENA region.
