Page 8 - AsiaElec Week 01
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AsiaElec RENEWABLES AsiaElec
Chinese wind players in expansive mood
CHINA
SHANGHAI Electric and China Three Gorges (CTG) have announced major fundraising and expansion plans at the start of the year as China’s offshore wind giants seek new global markets.
Chinese offshore wind leader Shanghai Elec- tric is to hold an initial public offering (IPO) for its offshore unit Shanghai Electric Wind Power (SEWP) in a bid to raise funds to support turbine R&D and after-sales services.
Shanghai Electric said it would sell up to 40% of SEWP, which it will unbundle into a stand- alone company ahead of the listing on Shanghai’s Nasdaq-style Star Market, the company told the Shanghai Stock Exchange.
SEWP supplied 44% of China’s offshore mar- ket in 2018, and is the fifth-largest vendor in the Chinese wind market as a whole.
The company did not state a timeline or fund- raising target for the IPO.
Meanwhile, SEWP said this week that it had installed its first 8-MW turbine. The unit is based on Siemens Gamesa technology that the group licenses from the western OEM. SEWP is also carrying out research on its own 10-MW design.
China aims to have 41 GW of offshore wind capacity by 2022, and there is a dash to open new developments ahead of planned changes to the country’s tariff regime.
SEWP has development rights to 9.5 GW of offshore wind projects in China’s Guangdong Province, while as a whole the government had approved 49 GW of offshore projects by the end of 2019.
China has an esimated 600GW of offshore wind potential
Wind alliance
Meanwhile, CTG has signed an offshore wind alliance with Chinese OEM Ming Yang Smart Energy to develop new projects both in China and in the global market.
The two companies termed the deal an “off- shore wind power framework co-operation agreement” that aims to formalise their long- held close relations in the sector.
“The co-operation framework agreement will be implemented in next few years through joint development in offshore wind energy sector in China, as well as overseas markets,” said Zhang Jian, deputy general manager at Ming Yang International.
“CTG has been our key client for the past few years; this agreement will allow us to leverage the strength of each party to maximise the poten- tial benefits derived from worldwide renewable energy development.”
The joint statement added that as well as off- shore wind, the deal would also address devel- opment, industry upgrades and technological innovation.
CTG is one of China’s biggest hydro devel- opers and has over 7 GW of planned offshore wind capacity in China. It is particulary strong in developing floating wind farms.
In the global market, CTG has made an unsuccessful attempt to take over Portugal’s utility EDP but is still keen to break into new markets.Meanwhile, Ming Yang ended 2019 as China’s third-largest OEM, marketing both 7-MW and 8-MW turbine models. It now has a 10-MW model in development.
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w w w. N E W S B A S E . c o m Week 01 08•January•2020
