Sale of renewables project
Mainstream puts Fife coast wind farm on market
Andy Kinsella: poised for ‘multiple’ of earlier price
Mainstream Renewables, the company behind a giant wind farm off the coast of Fife, is understood to have put its stake in the project up for sale.
The company was forced to abandon a proposed sale of its holding in the 450-megawatt Neart Na Gaoithe development after it got caught up in a legal battle waged by the Royal Society for the Protection of Birds.
Mainstream’s equity stake in the £2 billion (€2.25bn) project – capable of powering all homes in a city the size of Edinburgh – was valued at the time at €100 million (£89m).
It benefits from a 15-year, inflation-linked power supply agreement into the UK grid.
Mainstream has hired KPMG to sell a controlling stake in the Scottish project.
It has put it back on the market after the UK supreme court refused the RSPB leave to appeal a decision allowing it to go ahead.
Andy Kinsella, chief executive of Dublin-based Mainstream, told The Irish Times that the company is set to make a “multiple” of the original deal.
Speaking about the renewables market, Mr Kinsella said: ““We are now at a tipping point where the levelized cost of wind and solar energy is beating coal, beating nuclear and beating gas turbines.
“The day of subsidies for renewable is gone or going in most markets – except where people are trying to kick-start new technologies.”
Commenting on the company’s its wider plans, he said: “We’re going to see a rapid growth in Mainstream between this year and the end of decade based on projects that are secured and in the bag.”
The company is now looking for opportunities in Indonesia, Malaysia, Thailand, Australia, Argentina and Colombia. It may also take another look at opportunities in Europe and North America even though the focus will remain on emerging markets.