March 20, 2012 / 3:07 PM / 5 years ago

CORRECTED-(OFFICIAL)-Vattenfall to develop second UK wave project

LONDON, March 19 (Reuters) - Swedish utility Vattenfall has signed an agreement to develop a wave energy test project off the Orkney Islands in Scotland, the company said on Monday.

The project, in conjunction with the European Marine Energy Centre, will use one Pelamis wave energy converter, a Vattenfall spokesman said.

"The goal is to have the latest generation test machine from Pelamis installed in 2 014 , " Vattenfall said in a s tatement.

Vattenfall already has a 62 percent stake in a joint venture with Scottish wave energy technology company Pelamis, called Aegir Wave Power, which is involved in a wave power project off the Shetland Islands.

" The goal is to build a wave energy farm with 11 Pelamis wave e nergy converters with a total installed capacity of 10 MW, " Vattenfall said, referring to the two nearby projects combined.

The wave farm should be able to supply electricity to 8,500 households if grid connections to mainland Scotland are sufficient, it said.

"Vattenfall wants to focus on wave energy to support the transition to renewable energy with low carbon dioxide emissions. It requires safe and reliable technology," said Karl Bergman, head of Vattenfall's research and development.

The utility is not the only one to explore the potential of wave energy in Britain.

Alstom and SSE Renewables, the marine developer arm of UK energy firm SSE, have formed a joint venture to develop a wave energy installation off the coast of Orkney.

Acquamarine Power plans a 2.4 MW wave power converter demonstration project there and the UK government has announced that Britain's first marine energy park will be developed in south west England.

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