Abu Dhabi's Taqa buys UK energy-utility platform Transmission Investment

Dubai: The Abu Dhabi utility company Taqa has bought out UK’s Transmission Investment, an energy and utility investment platform. The latter is one of the bigger names operating offshore transmission assets connecting wind farms to the UK grid.

TI thus becomes part of Taqa Transmission, the UAE group’s subsidiary handling the development and operation of Taqa’s high voltage power and bulk water transmission infrastructure.

“The acquisition of TI establishes TAQA in the UK electricity transmission sector and allows expansion into European and international markets,” said a statement.

TI, launched in 2009, has been one of UK's largest players in offshore electricity transmission, with about Dh15 billion (3 billion pounds) of assets under management related to its portfolio of 11 offshore transmission assets.

Through its consortium in partnership with Amber Infrastructure and International Public Partnerships, ‘TI has established a strong track record of bidding for, winning and operating the OFTO assets in the UK’, said a statement.

Last week, the UK entity Ofgem appointed TI’s consortium with Amber and INPP as its preferred bidder for Moray West OFTO.

"We are pleased to announce Taqa Transmission’s first international acquisition, strengthening our growing portfolio and reinforcing TAQA’s role as a global leader in low-carbon power and water solutions," said Dr. Afif Saif Al Yafei, CEO of Taqa Transmission.

"This deal (in the UK) will allow us to leverage the significant capabilities of TI to support our international growth strategy while contributing to the UK’s 2050 Net Zero programme and our wider sustainability ambitions.”

Taqa Transmission is the exclusive transmission operator in Abu Dhabi as well as being the largest transmission asset owner in the UAE. It is expanding its presence the GCC, UK and North Africa by 'investing in some of the world’s most innovative transmission projects'.

This year, Taqa Transmission and ADNOC completed the laying 1,000 kilometers of cables as part of a $3.8 billion project to 'power and significantly de-carbonise' ADNOC’s offshore production operations.

This will result in the 'first-of-its-kind high-voltage direct current (HVDC) sub-sea transmission network in the MENA region.

Last year, Taqa reached financial close for the Juranah Independent Strategic Water Reservoir Project in Saudi Arabia. The project will add to the potable water transmission and distribution system for the Mecca and Madinah regions.

Transmission Investment is one of the UK developers in inter-connector projects, including the FAB Link Project and the LirIC Project. Both projects have been granted a cap-and-floor regime by Ofgem.

They connecting Great Britain with France and Northern Ireland through new HVDC sub-sea electricity interconnectors with an aggregate capacity of approximately 2GW. Recently, the LirIC Project hit significant milestones with the energy regulators in Northern Ireland and the UK.

TI also has grid stability projects under development and is ‘ready to make an entry into the onshore electricity transmission grid market’.