Page 12 - AsiaElec Week 17

AsiaElec
NEWS IN BRIEF
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6.6GW compared to the earlier estimates. Before the onset of the pandemic, 40GW capacity addition was estimated for 2020, up
from 30.1GW in 2019.
However, the current projections show that
installations are likely to reach about 33.4GW over the same timeframe, said GlobalData.
The Chinese solar market is one of the largest in the world and the country remains an integral part of the global supply chain.
Due to the COVID-19 outbreak, manufacturers are under tremendous pressure amid shutdowns and quarantine restrictions.
These have slowed down the production rates of components and is causing a domino effect across the global solar market.
The prominent industrial areas of Jiangsu, Guangdong, Anhui, and Zhejiang have been greatly affected due to the outbreak and forced to halt operations for a short tenure, as per government directives.
Somik Das, senior power analyst
at GlobalData, comments: “Domestic manufacturers supported by the Chinese government’s aggressive industrial expansion plans, had built large production facilities to cater to the domestic and global demand.
“Before the outbreak, policy changes pushed for solar grid-parity where the government removed limits on non- centrally-subsidised PV projects across 12 Chinese provinces. Now, with the COVID-19 pandemic, the market is expected to take a major slip downwards.”
According to GlobalData, the disruptions in the solar manufacturing segment is expected to cause a shortage of modules
and with the subsidy quota deadline fast approaching, by the end of March 2020, several developers are expected to face delays in project completion and could abandon projects altogether.
Although regulators are likely to grant extensions, the annual installed capacity is estimated to dip by 8.4% from 40GW, as per prior estimates, to 33.4GW in 2020.
WIND
MHI Vestas blade materials to be sourced in Taiwan
MHI Vestas has confirmed a purchase agreement with Taiwan’s Swancor to source several key blade manufacturing components locally.
This contract strengthens Swancor’s presence in the offshore wind sector, and will deliver substantial value to the Taiwanese economy through knowledge sharing, jobs
and direct investment.
The scope of the Swancor contract goes
substantially beyond local requirements for blade materials and covers a significant percentage of the direct materials value of overall blade manufacturing.
This is the second purchase agreement signed by MHI Vestas related to blade production in Taiwan, following selection of Tien Li Offshore Wind Technology Co., Ltd. to manufacture blades in a new facility to be built near Taichung Harbour.
“The addition of Swancor to our local suppliers is a significant boost to our ambitions in Taiwan,” said Taiwan Business Director, Maida Zahirovic.
“The local supply chain is currently under development in Taiwan, and we are pleased to support an established group such as Swancor broaden their presence in the offshore wind sector. We look forward to working together to create long-term Taiwanese jobs.”
MHI Vestas has been awarded firm contracts for the Changfang and Xidao projects developed by CIP (total combined capacity of 589 MW), as well as preferred supplier status for the 300 MW Zhong Neng project developed by CSC and CIP.
This contract will support up to 570 jobs [1] in blade material provision to Taiwan between 2020 and 2025. Additionally, up to NT$850m in economic value (gross value added) will be added to the Taiwanese economy from blade material production and induced value.
MHI VESTAS
GAS-FIRED GENERATION
Thailand’s EGAT to receive
second LNG spot cargo from
Petronas
The state-run Electricity Generating Authority of Thailand (EGAT) said that it would buy a second LNG cargo on the spot market this week.
The Thai utility said the cargo, comprising 65,000 tonnes of LNG, would be delivered to the Map Ta Phut LNG receiving terminal in the eastern part of the country from Malaysia’s Petronas.
The shipment is the second, after EGAT bought a cargo on the spot market in December 2019. The two shipments are being treated as a test run to assess the viability of more spot market purchases in the future.
EGAT had previously approved a plan
to import additional spot LNG cargoes in order to enhance Thailand’s energy security and liberalise its gas market, Reuters cited an EGAT assistant governor, Ranee Kositvanich, as saying.
“Due to the Covid-19 outbreak, EGAT is reviewing a medium-term LNG procurement plan for 2020-22,” Ranee added. “We expect
to make policy proposals in the next steps for approval,” she said, but did not provide further details.
Thailand is reviewing its power development plan, and has yet to decide whether it will import more LNG in the future.
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Week 17 29•April•2020