Scottish wind farm projects reach financial close after WJM secures planning consent

Wright, Johnston & Mackenzie LLP has played a leading role in the development of two Scottish onshore wind farms which recently secured £76 million in financing.

Velocita, a renewable energy developer and operator, is investing £76m in the construction of Airies wind farm in Dumfries and Galloway, and the Sorbie wind farm in North Ayrshire. Construction has already started and both wind farms are expected to be in operation by February 2017.

WJM previously secured planning consent from the Scottish ministers for both projects. The Sorbie wind farm was called in for determination by the Scottish ministers in January 2015 and Fraser Gillies, a partner at WJM appeared on behalf of 2020 Renewables at the hearings. He also acted for 2020 Renewables in respect of the planning appeal for Aries wind farm.

The financing was arranged with the Bank of Tokyo-Mitsubishi UFJ. This is Velocita’s second project in Scotland following the merger with 2020 Renewables in July 2012. The deal comes on the back of the successful €200m financing of the 120 MW Vaite-Bussiere, Rougemont-Baume 1 and Rougemont-Baume 2 wind farms in France, which reached financial close in December 2015.

Mr Gillies, who led the deal on behalf of WJM said: “It’s always pleasing to see a project which has secured planning consent progress to fruition, and all the more so in the challenging market conditions faced by the onshore wind industry.

“The team at WJM has an outstanding reputation for planning advice for onshore wind energy, and we were very pleased to be able to help 2020 take these projects through planning to a successful result last year, paving the way for the subsequent financial close.”

Airies will produce 7.05MW and Sobie will produce 39.9 MW. Once operational, the project will contribute to Scotland’s renewable energy targets, providing green electricity.

Alan Baker, chief operating officer of Velocita said “These are only two of four projects that we plan to secure project financing on during 2016 in advance of the proposed Renewables Obligation closure deadline.”

WJM employs 22 partners, 42 fee earners and 46 support staff across its three offices in Glasgow, Edinburgh and Inverness.