Energie Baden-Württemberg (EnBW), a German energy company, has announced plans to sell its US subsidiary EnBW North America, as well as its assets, to TotalEnergies. EnBW intends to focus on future offshore wind initiatives in the European market after selling the business to TotalEnergies. The deal’s financial terms have not been disclosed. As per the company statement, in the following months, EnBW plans to support TotalEnergies’ activities in the US.
Recently, EnBW North America and Total Energies won bids in the US Bureau of Ocean Energy Management’s New York Bight land lease auction. EnBW is currently developing the 900 MW He Dreiht wind farm in the German North Sea. In the previous two years, the business has also won bids to create three offshore wind farms with a combined capacity of approximately 6 GW in England, Wales, and Scotland.
In February 2022, bp and EnBW of Germany teamed up as the preferred bidder for two major leases in the UK Offshore Wind Round 4. Both these leases are located in the Irish Sea and together offer a total potential to generate 3 GW of offshore wind power. This is the first such UK leasing round since 2010 and offers a 60-year lease life.
REGlobal’s Views: EnBW’s exit from the US comes at a time when rapid capacity buildout is expected in the UK and attractive opportunity in the offshore wind space has emerged even in the company’s home market of Germany.
