Europe-based energy company Vattenfall has entered a joint venture agreement with Metsähallitus, an enterprise managing land, and water areas, to build and operate Finland’s first major offshore wind farm off the country’s west coast.

The wind farm will have a capacity of 1.3 GW and produce 5 TWh of energy. It will be constructed with an estimated investment of €2-€3 billion (~$2.1-$3.1 billion), with operations to start in the early 2030s.

Once operational, the wind farm at Korsnäs will produce sufficient renewable energy every year to meet the power requirements of over 2 million apartment homes or meet the annual consumption of around 250,000 electricity-heated individual households in Finland.

The project will cater to Finland’s goal of becoming a carbon-neutral economy by 2035. “We are very pleased to partner with Vattenfall, which presented strong experience on large-scale offshore wind projects together with sustainable business practices in addition to competitive commercial terms,” said Director General of Metsähallitus Juha S. Niemelä.

Vattenfall CEO Elina Kivioja said, “With this project, Vattenfall is expanding its role in Finland; from one of the largest electricity retailers to a significant renewable energy producer.”

Owned by the Swedish state, Vattenfall operates in Sweden, Denmark, Germany, the Netherlands, and the United Kingdom, and employs around 19,000 people. The company has been supplying electricity to industries and households for over a century and is now working towards producing and providing fossil-free energy to customers.

Earlier this year, Vattenfall obtained the right to develop the N-72 offshore wind power project off the German North Sea coast after exercising its right of entry. The project is aimed at generating fossil-free power corresponding to the consumption of over 1 million German homes.

In September, at the first Global Clean Energy Action Forum in Pittsburgh, Finland became one of the 16 countries that committed $94 billion to clean energy demonstration projects worldwide.