OnPath Energy has secured a Contract for Difference (CfD) for its Lethans Extension Wind Farm in East Ayrshire, advancing the onshore scheme following success in the UK Government's seventh allocation round (AR7).
The project cleared AR7 at a strike price of £72.24 per MWh, around £5/MWh below the average wholesale electricity price in Great Britain last year. The 10-turbine development received planning consent in 2024 and is aiming to begin work on site in late 2027, with turbine tip heights up to 250 metres.
The latest award follows OnPath Energy's previous CfD success for the adjacent 22-turbine Lethans Wind Farm in the prior allocation round. Together, Lethans and Lethans Extension are expected to generate enough power for about 190,000 homes annually, with both schemes scheduled to come online in 2029.
Community benefit funds totalling more than £24 million will be available across the lifetime of the projects. OnPath also anticipates investing over £430 million with contractors, suppliers and service providers located within 60 kilometres of the site over the projects' lifespans.
The company is targeting around £1 billion of investment in clean energy projects across the UK by 2030, as it accelerates its pipeline of onshore wind proposals.
Richard Dunkley, CEO at OnPath Energy, says: "The contract for difference ensures that investors have the confidence needed to invest in new renewable energy generation whilst offering consumer protection against volatile electricity prices and will be a key tool Government can use to achieve its Clean Power ambitions.
"The strike price, which is five pounds per MWh below average wholesale electricity prices in 2025, shows that onshore wind is one of the cheapest forms of renewable energy generation available, and alongside offshore wind will be the backbone of the UK's future Net Zero energy system.
"Our AR7 auction success is a key milestone for the business and we'll now be moving forward to deliver on the Lethans and Lethans Extension Wind Farms.
"We will expect to bring forward a range of new proposals for onshore wind farms across Great Britain that will build on our existing plans to invest around one billion pounds in total in clean energy projects by 2030."
OnPath Energy is owned by Brookfield Asset Management, the world's largest dedicated transition investor and a leading global investment firm, which operates more than 46,000 megawatts of renewable energy capacity worldwide.
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