Munich Re buys Scout Moor from Peel and Hg Capital

PEEL Energy and its joint venture partner HgCapital, have sold the Scout Moor wind farm in Lancashire.

Scout Moor, located on the hills behind Rochdale and producing 65MW of electricity, has been bought by a unit of Munich Re, the German financial services group.

The wind farm is currently one of the biggest onshore wind projects in the country with 26 turbines. Last year Peel and Hg announced consultation plans to expand the number of turbines on the site.

No financial terms were revealed, but the deal was announced as Hg Capital said it has sold its UK onshore wind portfolio to Munich Re.

In a statement Peel Energy project director Jonathan England said: “Peel continues to have a strong interest in Scout Moor and the wind farm, both as a landowner and through our aim to expand the wind farm.

“We will continue to work with the local communities, councils, landowners, and other interested parties to ensure that wind energy plays an important role in the future of this diverse area of the South Pennine Moors, thereby improving energy security and helping to meet climate change objectives.

“Transferring ownership of the existing wind turbines does not change our ambitions for the expansion, nor our intention to improve areas of heavily degraded peat moor, protect and enhance wildlife habitat areas and water quality sources, as well as provide substantial benefits for local communities as part of the expansion scheme.”

Tom Murley, head of HgCapital’s renewable energy team said: “The sale to Munich Re represents a significant realisation for our first renewables fund.

“Munich Re’s acquisition is in line with our investment strategy of building utility-scale platforms of high quality power generation assets with strong operating track records to create attractive assets for institutional investors seeking long term returns.”