Mastering offshore wind: four key strategies for success

Annie Huang, Taipei; Vyra Wu, DIGITIMES Asia 0

Credit: AFP

In the dynamic landscape of renewable energy, Taiwan emerges as a key player in the offshore wind power arena. Lucas Lin, Chairman of Synera Renewable Energy (SRE), said the island nation leverages advanced technology and a robust talent pool to stake its claim in the booming offshore wind market.

As global demand for offshore wind energy continues to surge, Taiwan finds itself at the forefront of a competitive race for vital supply chain resources. Lin outlines four essential pillars driving Taiwan's renewable energy development:

1. Government and regulatory framework: Taiwan's energy policies are intricately woven into its national agenda, providing a clear roadmap for industry stakeholders amidst changing political landscapes.

2. Localized project development: rigorous site surveys, risk analysis, and interface management are essential in successfully executing offshore wind projects, ensuring seamless integration with local ecosystems.

3. Contractor and supply chain management: balancing regional supply chain dynamics and navigating cost-risk trade-offs are critical considerations for project sustainability and efficiency.

4. Financial infrastructure: access to robust financial mechanisms, including support from Export Credit Agencies (ECAs) and international banking institutions, fuels the growth of Taiwan's offshore wind sector. Lin anticipates discussions around establishing a domestic financing mechanism, reflecting the island's commitment to sustainable energy development.

In light of SRE's recent strides in offshore wind power, Lin highlighted the company's expansion into the Japanese market. With a total project capacity of 5.3GW, including 3.1GW in Taiwan and 2.2GW in Japan, Synera focuses on projects such as the Kyushu offshore wind farm, incorporating fixed and floating pile installations. While the company primarily targets the Asian market, particularly Taiwan and Japan, it also monitors opportunities in South Korea, Southeast Asia, and Australia. However, such expansion efforts necessitate careful consideration of each country's legal frameworks and infrastructure capabilities.

Taiwan's offshore wind sector is expected to reach 40-50GW by 2050, with Lin estimating it will likely settle around 45GW. Meanwhile, solar photovoltaic (PV) power is projected to range from 40-80GW. However, given Taiwan's limited land availability, solar PV development faces challenges unless it transitions offshore. Regardless, offshore wind power and solar PV are poised to maintain their status as Taiwan's primary sources of green energy in the foreseeable future.