Good Energy takes stake in Swansea tidal lagoon
Green energy news – by GreenWise staff
22nd May 2014
Green energy supplier Good Energy has made its first investment in a UK tidal power project – the 320 megawatt Tidal Lagoon in Swansea Bay.
Under the deal, completed earlier this month, Good Energy has the option to buy 10 per cent of the energy generated by the Swansea Bay tidal lagoon, due to be completed in 2018. The renewable energy company has also acquired a £500,000 equity stake in the project operating company, Tidal Lagoon Power.
“Sound sense”
“Good Energy had taken the decision to invest in the project before the solar subsidies consultation was announced. However, it is further evidence as to the value of having a diverse portfolio of renewable energy sources on which to draw,” a spokesperson told GreenWise.
Tidal lagoons are man-made enclosures, similar in appearance to harbours or marinas. Breakwater walls impound a body of sea water and separate it from the natural ebb and flow of the tides. Once the difference between the water levels inside and outside the lagoon is sufficient, sluice gates open allowing water to rush through the gaps and turn great turbines in the process. But although based on proven technologies, none to date have been built.
World first
“Sound sense”
Good Energy said it was making its first investment in tidal because it made “sound sense” to have a diverse portfolio of renewable energy sources. Last week, Good Energy said it would have to look again at its portfolio of investments following the Government’s decision to cut subsidies for utility-scale solar parks.
“Good Energy had taken the decision to invest in the project before the solar subsidies consultation was announced. However, it is further evidence as to the value of having a diverse portfolio of renewable energy sources on which to draw,” a spokesperson told GreenWise.
Tidal lagoons are man-made enclosures, similar in appearance to harbours or marinas. Breakwater walls impound a body of sea water and separate it from the natural ebb and flow of the tides. Once the difference between the water levels inside and outside the lagoon is sufficient, sluice gates open allowing water to rush through the gaps and turn great turbines in the process. But although based on proven technologies, none to date have been built.
World first
The £650 million Swansea Bay project would be the world’s first tidal lagoon power plant. It is expected to generate 495 gigawatts an hour of electricity annually and deliver renewable power to approximately 155,000 homes in Swansea. It was accepted for consideration by the Government’s Planning Inspectorate in March and is due to start construction in 2015.
TLP published a report in March claiming tidal lagoon power could be cheaper to deliver than offshore wind, the renewable energy source most favoured by the Government.
UK law firm Burges Salmon advised renewable electricity supplier Good Energy on its investment in the Swansea Bay tidal project.
TLP published a report in March claiming tidal lagoon power could be cheaper to deliver than offshore wind, the renewable energy source most favoured by the Government.
UK law firm Burges Salmon advised renewable electricity supplier Good Energy on its investment in the Swansea Bay tidal project.
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