Orsted, the former Dong Energy, has announced that it has won 920 MW of capacity in Taiwan’s first offshore wind auction.
The Danish energy giant says that, subject to obtaining permits and taking a final investment decision, it will build the wind capacity in the Changhua region in 2025.
The projects will add to Orsted’s existing offshore wind pipeline in Taiwan, which includes a further 900 MW of capacity in Changhua to be built in 2021.
Ørsted’s winning bid price in the auction was TWD2,548 (€72.3) per MWh.
“Following a highly competitive auction process, we’re very pleased with adding further value-creating capacity in Changhua,” said Martin Neubert, Executive Vice President and CEO of Orsted Wind Power. “Today’s results are promising for Taiwan’s transition to renewable energy. The outcome of the auction proves once again that when governments commit to ambitious buildout targets and create stable, transparent and good framework conditions, the offshore wind industry will deliver.”
Orsted said that all of its Changhua projects would benefit from synergies in O&M and transmission. The projects awarded in the June auction will also benefit from the experience that the company gains in its earlier projects.
Orsted said that its next steps will be to obtain the establishment permit and to secure the feed-in-tariff by signing a power purchase agreement with Taipower. Subject to Ørsted taking final investment decision, it will start construction works in 2023 and expects the projects to be commissioned in 2025.
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