Political antics put brake on Taiwanese offshore wind

The national government blames local governments for sitting on their hands in regard to granting necessary licenses, while the opposition criticizes central authorities for lacking integrity.


Project developers offer several explanations for why installing offshore wind is more expensive in Taiwan than at other sites around the world, including that turbines need to be typhoon proof. But wind turbines have shown themselves to be far from sufficiently secured against the mounting political storm in the island state concerning higher prices.

Thus far, the anticlimax came on Wednesday, when Ørsted, Copenhagen Infrastructure Partners (CIP), China Steel, Yushan Energy and Northland Power were obliged to report that their projects totaling 2.1 GW capacity had not landed power purchase agreements (PPAs) needed for securing the feed-in-tariff (FIT) rate of TWD 5.849 (EUR 0.17) per kWh before the deadline's expiry. Instead, the developers stand to receive a FIT which, according to a proposal from Taiwan authorities, is both 13 percent lower and significantly degraded on other parameters.

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