TenneT has partially terminated its contract with the Hitachi Energy and Petrofac consortium for several offshore grid connection projects under its 2GW Programme. The decision relates specifically to Petrofac’s share of the contract.
The framework agreement, signed in March 2023, covered six of the fourteen 2GW grid connection systems being developed by TenneT. Petrofac has been undergoing financial restructuring since 2024, during which TenneT and the consortium sought mitigation measures to maintain project delivery. However, as Petrofac was unable to meet its contractual obligations, TenneT exercised its right to terminate the company’s scope of work.
A revised arrangement has now been put in place between Hitachi Energy and a replacement contractor, who will take responsibility for the Dutch offshore grid connections IJmuiden Ver Alpha, Nederwiek 1, Nederwiek 3, Doordewind 1, Doordewind 2, and the German connection LanWin5.
Following the loss of the contract, Petrofac has entered administration. The company said its operations will continue while options for restructuring, merger, or acquisition are being considered in consultation with creditors. Petrofac employs about 7,300 people worldwide and specialises in the design, construction and operation of offshore energy infrastructure.
