A leading Japanese power company and offshore wind developer Ørsted have signed a memorandum of understanding to work jointly on offshore wind projects.
Tokyo Electric Power Company Holdings (TEPCO) has been exploring offshore wind business opportunities in Japan and overseas. Ørsted has constructed more than 25 offshore windfarms in Europe and has several large-scale offshore wind development projects in Europe, the US and Taiwan.
TEPCO and Ørsted will work jointly on the Choshi offshore wind project near Tokyo, for which TEPCO has been carrying out a seabed survey to examine its feasibility, and towards a strategic partnership for broader collaboration.
TEPCO representative executive officer and president Tomoaki Kobayakawa said, “We are confident that the partnership combining TEPCO’s extensive expertise in the Japanese power business and Ørsted’s track record in the offshore wind business will lead to success in the Choshi project. We hope that this first step paves the way for expansion beyond the coastlines of Japan for the development, construction, operation and ownership of offshore wind projects.
“TEPCO is aiming to make renewable energy a core generating source by developing 6-7 GW of renewable energy projects in Japan and overseas. The partnership with Ørsted will provide us with a very strong platform to scale up our renewable energy business as one of our main pillars of business growth.”
Ørsted chief executive and president, Henrik Poulsen, said “Our vision is to create a world that runs entirely on green energy, and we look forward to expanding our presence in the Asia-Pacific region and bringing over two decades of offshore wind knowledge into this partnership for the Choshi project.
“As the largest player in the Japanese electricity industry, TEPCO has deep insights into the local power market and the regulatory requirements. This memorandum of understanding is the first step in Ørsted and TEPCO’s aspirations to deliver on Japan’s ambitions for domestic renewable power generation at a large scale and contribute to making Japan a leading offshore wind market in the Asia-Pacific.”
As highlighted by OWJ on a number of occasions recently, Japan’s offshore wind market is gaining momentum following the government’s commitment to increase the deployment of renewables and pass the legislative foundation for designating large-scale offshore wind development areas.
In the country’s Fifth Basic Energy Supply Plan from July 2018, the Japanese government targeted 10 GW wind capacity (offshore and onshore) by 2030 as part of its ambition to reach a 22-24% renewable share of electricity generation by 2030.
More than 70% of Japan is mountainous, and around three quarters of its 127M population live in urban coastal areas, which makes offshore wind an ideal source of large-scale, homegrown renewable electricity generation for Japan.
The market in Japan and other countries in Asia including Taiwan, China and South Korea will be addressed in a presentation at the 2019 Offshore Wind Journal Conference which takes place 5 February 2019 in London.
Commercial opportunities in the region will be addressed by Offshore Wind Consultants director John MacAskill and William Cleverly, managing director, Offshore Wind Consultants Taiwan.