Author: PPD Team Date: 15/10/2024
Danish wind turbine manufacturer Vestas and Nordic energy company Fortum have settled their arbitration dispute regarding wind energy projects in Russia. Both parties agreed to drop all past, present, and future claims, with the settlement terms remaining confidential.
The dispute began in 2022 when Fortum initiated arbitration at the International Chamber of Commerce in Stockholm. Fortum sought more than $218 million (€200 million) in compensation from Vestas for payments made on wind projects in Russia that were cancelled due to sanctions following Russia’s invasion of Ukraine. Vestas maintained that the cancellations were necessary to comply with the sanctions, which affected the delivery and servicing of turbines for Fortum’s Russian subsidiary, WEDF.