The company will be purchased for a total consideration of £155m and will be acquired free of long-term gas supply and power off-take agreements. The Power Station comes with a Carbon Dioxide emissions allowance under the rules of the EU Emissions Trading Scheme (phase 1).
Great Yarmouth Power Station was commissioned in 2002 and is one of the UK’s most modern stations. It is well located, highly efficient and flexible, with the ability to start up and shut down quickly and reliably in response to changing demand. The power station generates enough power to supply a third of a million homes.
Great Yarmouth Power Station
Andrew Duff, Chief Executive of RWE npower, said: “This is a valuable addition to our diverse power station portfolio. It will increase the proportion of low carbon dioxide power we can generate and makes sound financial sense in the current market. Investing in new build power plant, however, still carries too high a risk because of the uncertainty surrounding the implementation in the UK of new EU regulations governing the power sector."
Great Yarmouth Power Station has a dedicated pipeline connecting the plant to the National Gas Transportation System just outside the Bacton gas terminal.
The purchase increases RWE npower’s clean energy CCGT portfolio from 2080 to 2500 MW. The company owns the Didcot ‘B’ CCGT station in Oxfordshire and Little Barford in Cambridgeshire.