Enefit Green, the Baltic region’s largest wind energy producer, has entered a strategic partnership with Japan’s Sumitomo Corporation to develop Estonia’s first offshore wind farm in the Gulf of Riga. Under the agreement, Sumitomo will acquire a 50% stake in Liivi Offshore OÜ, the project company developing the Liivi Bay installation.
The planned facility will comprise up to 84 turbines with a maximum capacity of 1,000 megawatts. The projected annual output of four terawatt-hours could meet approximately 40% of Estonia’s current residential electricity consumption. Located 11 kilometres from Kihnu Island and 16 kilometres from Häädemeeste, the project has already undergone an environmental impact assessment, with no significant negative impacts on the natural and human environment estimated.
As expected by main shareholders, the new wind farm project will generate 260 temporary construction jobs and 100 permanent positions in Pärnu County. Nearby municipalities will receive annual compensation tied to electricity prices — estimated at €700,000 when prices are €50/MWh.
For Sumitomo, a Fortune Global 500 company, the investment marks an expansion of its renewable energy portfolio in Europe. The Japanese trading house brings substantial experience from similar projects across Europe and Asia.
“This partnership brings together Enefit Green’s extensive and in-depth knowledge of local conditions and SC’s global offshore wind experience, driving forward the Liivi Bay project and supporting Estonia’s energy transition and security,” said Juhan Aguraiuja, Chairman of Enefit Green’s Management Board. The collaboration, he noted, could catalyse the development of downstream industries in the energy, transport, and logistics sectors.
Estonian and Japanese companies are already exploring potential synergies in many sectors, including hydrogen, autonomous vehicles, and more.
“Estonia is one of the attractive emerging offshore wind markets, and the Liivi Bay offshore wind farm, developed by Enefit Green, is one of the most attractive projects in the market. SC is delighted to enter a partnership with Enefit Green and contribute to Estonia’s green transition through the development of the Liivi Bay offshore wind farm by making the most of our experience gained through active participation in multiple offshore wind projects in Europe and Asia,” says Hiroyuki Fujioka, Head of Overseas Energy Solution Unit No.2.
The project’s timeline hinges on an upcoming Estonian government auction, with construction expected to be completed in 2032. So far, Enefit Green, which operates wind farms across Estonia, Lithuania, and Finland, had over 1,100 MW of power generation assets in operation by the end of 2024.
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