ScottishPower Renewables, part of Spanish utility Iberdrola (IBE.MC), has received planning approval from the British government for a 1.2-gigawatt offshore wind farm off the coast of Norfolk, the firm said on Monday.
The so-called East Anglia THREE offshore wind farm will need 172 wind turbines and deliver enough power to meet the annual demand of almost one million homes, the company said.
Britain's regulatory framework requires that offshore wind developers enter qualified projects into a renewable support scheme, called contracts-for-difference (CfD), where qualifying projects are guaranteed a minimum price at which they can sell electricity.
If successful in the CfD scheme's future auctions, Scottish Power Renewables aims to start construction around 2022 and have the project up and running by 2025.
"With the support of a highly-skilled supply chain, East Anglia THREE will further enhance the UK’s leading position in offshore wind," Keith Anderson, chief executive of ScottishPower Renewables, said in a statement.
East Anglia THREE is one of four wind projects Scottish Power aims to deliver in the area, with a total capacity of 3.5 GW.
The first project, East Anglia ONE, will have a capacity of 714 megawatts and is due to be fully operational in 2020.
(Reporting by Nina Chestney; Editing by Adrian Croft)