Indian engineering conglomerate Larsen & Toubro (L&T) has secured a framework cooperation agreement (FCA) with Germany's transmission system operator TenneT for a 2GW offshore wind programme, according to Splash247. The consortium, which includes Hitachi Energy, will cover six projects and future opportunities under TenneT’s 2GW HVDC programme, designed to support large-scale integration of offshore renewable energy and accelerate Europe’s clean energy transition.
Project Overview
The framework agreement is classified by L&T as an 'ultra-mega' contract, valued at more than ₹15,000 crore ($87.3 million). Together, the projects represent a cumulative transmission capacity of 8GW operating at 525 kV. The initiative will enable the transfer of renewable energy generated in the Dutch and German sectors of the North Sea to onshore power grids.
Current and New Projects
| Project | Country | Status |
|---|---|---|
| IJmuiden Ver Alpha | Netherlands | Ongoing |
| Nederwiek 1 | Netherlands | Ongoing |
| Nederwiek 3 | Netherlands | New |
| LanWin 5 | Germany | New |
Scope and Technology
Under the engineering, procurement, construction and installation (EPCI) scope, L&T will execute the offshore converter platforms and associated infrastructure. Hitachi Energy will provide its HVDC Light technology for power conversion and transmission. L&T’s offshore wind business vertical is backed by multidisciplinary engineering expertise through its engineering centre of excellence in India and the UAE, strategic global partnerships, a robust supply chain, and modular fabrication facilities in Kattupalli.
Supply Chain and Industry Context
The framework cooperation agreement comes some nine months after L&T replaced Petrofac in the HVDC offshore wind programme. According to the source, Petrofac could not meet its contractual obligations, leading TenneT to terminate part of the contract related to the UK company’s scope. This termination subsequently led to Petrofac Limited entering administration due to the contract cancellation.
The award underscores the growing importance of offshore wind transmission infrastructure in Europe, with the North Sea serving as a key hub. For commodity traders and analysts, such large-scale projects signal sustained demand for engineering services, high-voltage equipment, and raw materials like steel and copper, though specific commodity price impacts are not detailed in the source.
Outlook
The consortium’s ability to execute these projects will be critical for TenneT’s grid expansion plans and Europe’s renewable energy targets. The engagement also solidifies L&T’s position in the offshore wind sector, leveraging its global engineering network and fabrication capabilities.
Sources:
