KKR and German utility RWE have agreed to form a strategic partnership to develop and operate two large offshore wind projects off the coast of East Anglia, a buildout the companies said would add roughly 3 gigawatts of generation capacity to the UK grid.
Under the agreement, KKR and RWE will establish a 50:50 joint venture for RWE’s Norfolk Vanguard East and Norfolk Vanguard West projects. The partners estimate the combined development and capital expenditure required to bring the wind farms online exceeds $15 billion, with the two sites targeted for operationalization in 2029 and 2030, respectively.
The wind farms are expected to be located approximately 50 to 80 kilometers off the UK’s East Anglia coastline in the North Sea. The projects are planned to include 184 turbines, associated offshore substations, and grid connection infrastructure linking to the UK National Grid.
The companies said the two wind farms are expected to be capable of supplying clean electricity to more than 3 million UK homes, supporting national decarbonisation priorities and the government’s efforts to expand offshore wind capacity over the coming decade.
The announcement comes as offshore wind continues to play a central role in the UK power system, currently supplying about one-fifth of the country’s electricity. Policymakers have also highlighted ambitions to reach up to 50 gigawatts of offshore wind capacity by 2030, positioning new large-scale projects as a key lever for lowering power-sector emissions while bolstering domestic energy security.
RWE, one of Europe’s largest power producers and a major offshore wind developer, will bring development and operating capabilities to the joint venture. The company said it has a long operating history in electricity generation and maintains a broad portfolio spanning renewables and flexible generation. RWE also noted its scale in offshore wind, including ownership of 19 operational offshore wind farms across Europe and its position among the largest offshore wind players globally.
KKR said the partnership builds on its infrastructure platform’s focus on energy transition investments. The firm said that since 2011 it has committed more than $31 billion to energy transition and renewables infrastructure globally and that its broader renewables exposure includes stakes in multiple renewable energy developers. KKR also pointed to recent European and U.S. investments as examples of that strategy, including a 2024 investment in German renewables platform Encavis, as well as prior deals involving renewables developer Greenvolt and U.S. solar and storage developer Avantus.
The companies said both Norfolk Vanguard projects have received an allocation under the UK’s Contract for Difference program in the country’s Allocation Round 7 awards announced on the day of the release. The transaction remains subject to customary closing conditions, and KKR said it will fund its investment through capital accounts it advises.
KEY QUOTES:
“We are delighted to be forming this strategic partnership with RWE, a proven leader in offshore wind with an exceptional track record of developing high-quality projects. This investment underscores our conviction in the long-term importance of UK renewables and the central role offshore wind will play in advancing the country’s energy transition. By leveraging our complementary strengths – RWE’s world-class development expertise and KKR’s expertise in investing and owning large scale construction and renewable projects – we are helping deliver a significant addition to the UK’s future offshore wind capacity and support the UK in its decarbonisation journey.”
Vincent Policard, Co-Head of European Infrastructure, KKR
“We are pleased with the successful outcome of AR7 and are delighted to join forces with KKR as our strategic partner in the Norfolk Vanguard East and Norfolk Vanguard West offshore wind projects. By combining KKR’s investment know-how in large-scale, complex infrastructure projects with RWE’s extensive offshore wind expertise, we are well positioned to jointly realise these major projects.”
Sven Utermöhlen, CEO, RWE Offshore Wind
“KKR has built one of the largest renewable energy portfolios globally with a pipeline of over 50GW across its portfolio. We bring a full operational and financing toolkit that is designed to support the delivery of large-scale renewable projects alongside strategic partners like RWE. Our partnership model combines KKR’s know-how in executing on large scale complex infrastructure projects with leading industrial capabilities to accelerate the build-out of critical clean-energy infrastructure. RWE is one of the most respected offshore wind developers, and we are proud to partner with them on this milestone project.”
Shreya Malik, Managing Director, European Infrastructure, KKR
