EDF, Eneco to build large UK offshore wind farm

Electricity pylons are pictured near Cobham in Surrey, southern England July 25, 2008.

LONDON (Reuters) - Britain's largest power producer EDF Energy and Dutch power company Eneco will jointly develop an offshore wind project off the south coast of England big enough to supply 800,000 homes with electricity, the companies said on Thursday.

The joint venture will develop the Navitus Bay Offshore Wind Project in a 50-50 partnership which could ultimately deliver 900-1200 megawatts of capacity, enough power to supply up to 820,000 homes when generating at full capacity.

Wind power generation is highly volatile and most wind farms operate at an annual capacity average of around 30 percent.

"Investment in renewable energy projects is vital to securing an affordable and sustainable future UK energy supply," Guy Madgwick, director of Eneco Wind UK , said in a statement.

The two companies will submit a planning application to the Infrastructure Planning Commission by the end of 2013, after collaborating on a programme of onshore and offshore consultation with the local community.

The offshore wind farm, which will be built to the west of the UK's Isle of Wight, will prevent the production of approximately 1.2 million tonnes of CO2 each year, the companies said.

The plan came as British Prime Minister David Cameron said more than 20 companies had signed a partnership agreement to turn the North Sea into a major renewable energy hub focusing on offshore wind power.

(Reporting by Alessandra Prentice; Editing by David Holmes)