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AsiaElec RENEWABLES AsiaElec

However, despite the good news, there could see how far tariffs will fall before signing power
be worries for investors. supply agreements with the likes of SECI.
Debt financing for green energy schemes is Other major emissions producers such as
drying up, with large Indian banks refusing to Coal India Ltd (CIL) are also aiming to develop
fund projects committed to sell power at less solar.
than INR3 per unit. Banks are wary of lending to CIL, the country’s largest coal producer, aims
developers, as they suspect the viability of pro- to construct 3.4GW of solar PV capacity by
jects with rock-bottom tariffs. 2023/24 in a bid to become a net-zero company.
The bids come just as state electricity distribu- It intends to invest $764m in building 14 separate
tion companies (discoms) are unwilling to sign solar projects to reach this goal.
contracts with intermediary procurers, such as The company plans to cut down its power
SECI, for earlier solar projects at a comparatively consumption costs, which account for 4.4% of
higher tariff. its total annual costs. “The solar power initiative
Although the new low prices should be good helps CIL reduce its whopping annual power
news for the discoms, some are now waiting to consumption expense,” the company said.™

Ørsted eyes 1.6GW of offshore

wind capacity in South Korea

SOUTH KOREA DENMARK’S Ørsted said on 24 November that and Asia, including POSCO Steel, CS Wind, LS
it would build up to 1.6GW of offshore wind Cable, Hyosung, Samkang M&T, Hyundai ESI
capacity in South Korea off the coast of Incheon and EEW Korea.
City. Most recently, Samkang M&T and Hyun-
Ørsted announced its plans at an event joined dai ESI have completed the fabrication of the
by National Assembly members, South Korea’s first jacket foundations for Ørsted’s Greater
Energy Agency, and key industry leaders with Changhua 1 & 2a Offshore Wind Farm in Tai-
offshore wind track records in South Korea’s wan, demonstrating effective cross-border
supply chain. partnerships.
Ørsted has already made considerable pro- “The prospects of contributing to South
gress at the location. At the start of 2020, it was Korea’s transition to renewable energy is a great
deploying four floating LiDARs off the coast of inspiration for Ørsted. With strong industrial
Incheon. It has also collected wind data for all its capabilities, significant supply chain potential
potential offshore wind sites. and numerous sites with promising offshore
Ørsted said its Incheon projects could pro- wind conditions, South Korea has a fantastic
vide clean energy for 1.4mn South Korean starting point for becoming a leading offshore
households and reduce carbon emissions by wind market,” said Martin Neubert, executive
almost 4mn tonnes per year (tpy). vice-president and CEO of Ørsted Offshore.
This would make significant contributions Ørsted’s offshore wind projects will be located
to South Korea’s Green New Deal and President more than 70 km from the main parts of Incheon
Moon’s recently announced target of achieving City and have relatively shallow-water depths at
net-zero emissions by 2050. the target project site to allow for cost-effective
In addition, these South Korean flagship development.
projects would bring multi-trillions of won of Subject to permits, off-take agreement with a
investment, generate economic activities and Korean energy utility and final investment deci-
create high-quality jobs. sion (FID), the projects could be commissioned
“Ørsted’s projects in Incheon will support a from 2026 onwards.
thriving offshore wind industry in South Korea As well as South Korea, Ørsted is develop-
and contribute to the realisation of the govern- ing four offshore wind sites within the Greater
ment’s target of 12GW offshore wind capacity by Changhua site off Taiwan.
2030. Building on our experience and unparal- With a potential 2.4GW capacity, the sites
leled track record in offshore wind development are expected to be capable of powering 2.8mn
world-wide and in Asia-Pacific, we are dedicated homes in Taiwan.
to engaging in long-term partnerships with the In Japan, Ørsted has teamed up with TEPCO
South Korean government and local stakehold- to win rights to offshore wind capacity in the
ers,” said Matthias Bausenwein, president of Choshi city offshore area. It is Ørsted’s first in
Ørsted Asia-Pacific. Japan, and build on the company’s large-scale
Ørsted has experience in working with a offshore wind development projects in Europe,
variety of South Korean companies in Europe the US and Taiwan.™

P6 www. NEWSBASE .com Week 47 25•November•2020