BP And JERA form JERA Nex BP to lead global offshore wind development

BP and JERA Co., Inc. have announced the formation of JERA Nex BP, a new joint venture poised to become a global leader in offshore wind energy. The equally-owned venture, set to be one of the largest offshore wind developers globally, combines the expertise and resources of both companies. With a balanced mix of operating assets and development projects totaling a potential 13GW in net generating capacity, the collaboration aims to accelerate the growth of renewable energy solutions.

The partners have committed up to $5.8 billion in capital funding for investments through 2030. This funding is expected to support development projects, secured leases, and existing operations in key regions, including North-West Europe, Japan, and Australia. JERA Nex BP will leverage the global reach of its parent companies to secure competitive financing and optimize its extensive portfolio.

Accelerating Renewable Energy Growth

JERA Nex BP will bring together operational assets with 1GW net generating capacity and a pipeline of projects with a combined potential of 7.5GW. It also includes secured leases offering an additional 4.5GW of capacity. The company will focus on high-quality project development, aiming to maintain a competitive edge while maturing longer-term opportunities across various markets.

A clear funding framework has been established to underpin these ambitions. The partners plan to leverage revenues from existing assets and competitive financing mechanisms. They also intend to reinvest proceeds from portfolio management activities, such as farm-downs and asset sales, to ensure sustained growth.

Global Strategy And Synergy

JERA Nex BP will build on the longstanding partnership between BP and JERA, whose parent companies include Tokyo Electric Power Company and Chubu Electric Power. BP has been expanding its offshore wind portfolio since 2019, with a development pipeline of 9.7GW net potential capacity. JERA, meanwhile, has made significant strides in offshore wind since entering the market in 2019, acquiring Belgium-based Parkwind to create a platform for renewable energy growth.

The new venture will draw on BP’s and JERA’s global trading capabilities, enabling optimal marketing and management of power output. Additionally, the partnership’s established relationships across the supply chain will support cost-effective project execution.

Leadership And Future Outlook

JERA Nex BP will be headquartered in London, with leadership roles divided between the partners. JERA will nominate the CEO, while BP will appoint the CFO. The combined offshore wind teams of both companies are expected to join the venture, contributing to its rapid growth.

Murray Auchincloss, BP’s CEO, expressed confidence in the venture’s potential, emphasizing its ability to “grow into an electrifying world while maintaining a capital-light model.” Yukio Kani, CEO of JERA, highlighted offshore wind’s critical role in the energy transition, calling the partnership a “transformative step” towards realizing the sector’s potential.

The joint venture’s formation is subject to regulatory approvals, with completion anticipated by the third quarter of 2025.