The Hollandse Kust Zuid wind farm, which is currently under construction, has successfully generated its first electricity.
While still in their testing phase, the first operating turbines are already producing electricity, which is transferred to shore via an offshore transformation station and fed into the Dutch grid.
The wind farm is located in the North Sea about 18-35 kilometers off the coast between The Hague and Zandvoort and is owned by BASF, Vattenfall and Allianz.
So far, 36 turbines have been installed. When fully operational in 2023, Hollandse Kust Zuid will be the largest subsidy-free offshore wind farm in the world with 140 turbines and an installed capacity of 1.5 GW.
BASF and Vattenfall have also signed a contract for the purchase of 49.5% of Vattenfall’s wind farm Hollandse Kust Zuid (HKZ) by BASF. The purchase price amounts to €0.3 billion and takes into account the achieved status of the project. Including BASF’s contribution to fund the wind farm construction, BASF’s total commitment amounts to around €1.6 billion. Closing of the transaction is expected in the fourth quarter of 2021, subject to the approval of the relevant authorities. Offshore construction of the wind farm will start in July 2021.
Once fully operational, the wind farm will be the largest offshore wind farm in the world with 140 wind turbines and a total installed capacity of 1.5 Gigawatt. The Hollandse Kust Zuid wind farm will also be the first fully merchant offshore wind farm in the world which does not receive any price subsidies for the power produced. The project is expected to become fully operational in 2023. A significant part of the electricity production of HKZ is reserved for Vattenfall’s Dutch customers.
BASF is acquiring the electricity from the wind farm for its ownership share through a long-term power purchase agreement. It will enable BASF to implement innovative, low-emission technologies at several of its production sites in Europe. BASF’s Antwerp Verbund site will benefit from the renewable power to a significant extent. The BASF Antwerp site is the largest chemical production site in Belgium and the second largest BASF Group site worldwide.
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