The Ministry of Economic Affairs (MOEA) in Taiwan has wrapped up its Round 3.2 auction for offshore wind power development, granting development rights to six wind farms, all of which submitted bids at a rate of NT$0 per kWh. This pricing structure requires the projects to secure Corporate Power Purchase Agreements (CPPA) to move forward.
The ministry’s final rankings, based on localization criteria, placed Shinfox’s YouDe, SRE’s Formosa 6, and Orsted’s Greater Changhua North-East offshore wind farms in the top three positions. CIP’s Fengmiao II, Corio’s Haiding 1 (Formosa 3), and Enervest’s DeShuai wind farm secured the fourth, fifth, and sixth spots respectively.
According to the Energy Administration, the capacity allocations are as follows: the first-place project is awarded a development capacity of 900MW, with an additional flexible 100MW, totaling 1,000MW. The second-ranked project receives 700MW plus 100MW of flexible capacity, amounting to 800MW. The third-place project secures 500MW plus a flexible 100MW, reaching 600MW. Projects in the fourth to sixth positions each receive 500MW.
Due to overlapping project areas, the ministry intends to finalise marine region maps before officially notifying developers of their capacity allocations. The feasibility of meeting the 3GW target is still under evaluation. Developers must finalize preparations and sign contracts within three months of confirmation, aiming for a November signing date. The current plan targets grid connection between 2028 and 2030.
Orsted remains on the award list, but the final decision regarding its status is expected by August or later in November. Although six projects were initially awarded, the number might reduce to five due to overlapping areas.
Taiwan’s ambitious goal to reach 13.1GW of offshore wind power installation by 2030 is becoming increasingly challenging. Orsted’s Greater Changhua North-East wind farm, which ranked third, faces significant uncertainty due to overlapping areas with the second-ranked SRE Formosa 6 wind farm. Despite this, Orsted remains on the award list, with final decisions anticipated by August or November. Overlapping areas might ultimately reduce the awarded projects from six to five.
Orsted, which is currently operating and constructing nearly 2GW of offshore wind farms in Taiwan, made a notable return to Round 3.2 after opting out of Round 3.1, only to face a setback.
Per Mejnert Kristensen, President of Orsted Asia-Pacific, expressed disappointment over not securing a spot in the Round 3.2 auction. He emphasized Orsted’s dedication to Taiwan, underscoring the company’s partnerships with local suppliers and corporate clients in submitting highly viable technical and financial bid documents. Kristensen reiterated that Taiwan remains a key market for Orsted, with ongoing plans to develop, construct, own, and operate offshore wind farms in the region for many years to come.
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