Centrica is entering into a contract with Siemens Power Generation to supply fifty-four 3.6MW turbines for the 180MW development, enabling a range of other related contracts to progress. The project is expected to cost approximately GBP300 million in total.

Construction work is scheduled to commence for the offshore site, which is located three miles off the coast, in spring 2007, with onshore work to connect the power generation cable in Lincolnshire already ongoing. The project, which will be capable of supplying clean electricity to around 130,000 homes and will save 500,000 tonnes of CO2 every year, is scheduled for completion by the end of 2008.

Sam Laidlaw, chief executive of Centrica, said: This investment underlines our commitment to supplying British Gas customers with an increasing proportion of renewable electricity in the years ahead.