Japan has consented to support a $12 billion investment in offshore wind projects in the UK.

The United Kingdom could attract as much as GBP 9 billion ($12.08 billion) in investments for offshore wind initiatives, backed by the Japanese government.

The Offshore Wind Compact was one of several collaborations initiated by G7 nations during Japanese Prime Minister Sanae Takaichi's recent visit to Downing Street.

This wind investment aims to advance 5.9 gigawatts (GW) of floating facilities with Japanese companies involved. Notable projects include Ossian and Green Volt off the east coast of Scotland, as well as the Erebus project in the Celtic Sea, as stated by Prime Minister Keir Starmer's office.

Downing Street remarked that this deal would enhance domestic clean energy production, decrease dependence on fluctuating global fossil fuel markets, bolster energy security, lower bills for consumers, and position the UK as Japan's primary clean energy ally in Europe.

Ossian is projected to have a capacity of 3.6 GW, potentially preventing up to 7.5 million metric tons per year (MMtpa) of carbon emissions, according to the project consortium. Ownership belongs to Denmark's Copenhagen Infrastructure Partners, the UK's SSE PLC, and Japan's Marubeni Corp.

Located approximately 84 kilometers (52.2 miles) off Scotland's east coast in waters 72 meters (236.22 feet) deep, Ossian is currently in the study and planning phase.

Set to be operational by 2029, Green Volt aims to provide up to 560 megawatts (MW), or 1.5 terawatt hours annually. This capacity could prevent 1 MMtpa of carbon dioxide emissions, as per the project consortium. Green Volt is owned by Scotland's Flotation Energy Ltd, a subsidiary of Tokyo Electric Power Co, and Vårgrønn AS, a joint venture of Italy's Eni SpA and Norway's HitecVision AS.

Green Volt is planned to be situated 80 kilometers from Scotland's east coast and holds both onshore and offshore approvals. In September 2024, it received a contract for difference from the UK government.

The Erebus demonstration project is aimed at generating 100 MW, with the potential to cut carbon emissions by around 150,000 metric tons annually, according to the project consortium. It is owned by Blue Gem Wind Ltd, a joint venture between Ireland's Simply Blue Energy and France's TotalEnergies SE. Recently, Japan's Kansai Electric Power Co acquired a stake in Simply Blue Energy.

Construction for Erebus is expected to begin in 2026-27.

In additional energy investments discussed during the meeting, Hitachi Energy Ltd pledged GBP 18 million for a "purpose-built facility" in Stafford, as reported by Downing Street.

Furthermore, Rolls-Royce plans to strengthen its partnership with Japan’s Atomic Energy Agency by signing a new agreement with the UK National Nuclear Laboratory to develop advanced nuclear technologies.

The UK Atomic Energy Authority and Japan's National Institutes for Quantum Science and Technology also reached an agreement to collaborate on fusion energy research. This partnership builds upon an earlier agreement involving Japan's Furukawa Electric Co Ltd and Britain's Tokamak Energy Ltd to launch a phased program for establishing a new fusion research and development facility in the UK.

Additionally, the UK and Japan established a Frontier Tech Partnership aimed at translating British research into scalable technologies with Japanese investment across various fields, including AI, quantum technology, civil nuclear, and defense technologies, according to Downing Street.