Iberdrola and Masdar ink €15bn hydrogen and offshore wind alliance

Spanish energy major Iberdrola and Masdar have announced a €15 billion partnership agreement to jointly develop offshore wind and green hydrogen projects in markets including Germany, the UK, and the US.

The first milestone of the alliance will be to sign a co-investment deal on the 1400MW East Anglia 3 offshore wind project in the UK, which will see Masdar take a 49% stake in the project.

Besides East Anglia 3, the companies plan to jointly invest in future offshore wind and green hydrogen projects in Europe and beyond.

Work is currently underway to identify opportunities, with Iberdrola and Masdar expecting the total value of joint investments to reach €15 billion.

Masdar’s chief executive officer, Mohamed Jameel Al Ramahi, commented on the announcement: “We are delighted to be working with our strategic partners, Iberdrola, once again as we explore developing one of the UK’s largest offshore wind farms and other prospects in Europe. With an abundance of wind resources, the UK and Europe are prime markets for Masdar.

Have you read?
IRENA and WMO report: Understanding climate variability is vital for transition
Countries recognise the power of nuclear at COP28

"As we target 100GW by 2030, Masdar is focused on developing innovative projects from the very early stages to further strengthen our offshore wind expertise. "We have been active in the UK for more than a decade, pioneering landmark projects including the world’s first floating offshore wind farm. At COP28, as the world looks to triple renewable energy capacity to secure a greener future, projects such as the 1,400MW East Anglia 3 offshore wind farm show how we can create jobs, power homes and cut emissions.”

The deal was signed at the UN’s climate change conference COP28 in the UAE, with executive chairman of Iberdrola Ignacio Galán suggesting urgent and immediate action is required to meet the goal of tripling renewable energy capacity by 2030.

Galán, said: “Now that 118 governments have already pledged to triple renewable energy capacity by 2030 at COP28, reaching this goal will require immediate action from these governments and the private sector.”

“By combining our renewables experience and financial strength with those of Masdar, we can deliver more secure, competitive and clean energy, quicker. We are very pleased to be expanding our existing alliance with a leading long-term partner like Masdar from Germany, where we are already constructing new offshore wind turbines, to the UK and across the world.”

East Anglia 3 is currently in construction and is scheduled to be commissioned in Q4 2026. It secured a 15-year Contract for Difference (CfD) from the UK Government in July 2022.