ESB/Orsted wins Tonn Nua offshore
The ESB/Orsted team has won the 900MW Tonn Nua offshore wind farm off County Waterford with a strike price of €98.719/MWh.
The partially indexed CfD will run for 20 years from the wind farm commissioning expected in the mid-2030s.
ESB was said to be keen to pick up the contract as it did win any projects in the first Offshore Renewable Electricity Support Scheme programme in 2023. Bord Gais Energy/EDF and RWE/CIP were the other main bidders for the asset.
The project will not be connected to the grid until 2033 so the number of bidders was limited. However, the tender terms include grid delay compensation and cover for curtailment and oversupply. The contract for difference price was capped at €150/MWh. Final investment decision is expected around 2031 and first power in the mid-2030s.
In 2023 the schemes were awarded contracts with an average of €86.05/MWh. However the energy department DECC said Tonn Nua price is favourable compared to the average wholesale price of electricity in Ireland in 2025, which is €114/MWh.
