Orsted has announced its intention to develop South Korean offshore wind projects with a potential capacity of up to 1.6GW off the coast of Incheon City. The announcement was made at an event joined by National Assembly members, South Korea's Energy Agency, and key industry leaders with offshore wind track records in South Korea's supply chain.
Earlier this year, Orsted achieved an important milestone by deploying four floating lidars off the coast of Incheon and has progressed well in collecting all relevant data for securing the potential 1.6GW offshore wind sites.
Orsted's projects in Incheon could provide clean energy to 1.4 million South Korean households and reduce carbon emissions by almost 4 million metric tons per year, thus making significant contributions to the Green New Deal and President Moon's recently announced target of achieving net zero emissions by 2050. In addition, these South Korean flagship projects would bring multitrillion won of investment, generate economic activities and create high-quality jobs.
Many leading South Korean companies have been working with Orsted for offshore wind projects in Europe and Asia, including POSCO Steel, CS Wind, LS Cable, Hyosung, Samkang M&T, Hyundai ESI and EEW Korea. Most recently, Samkang M&T and Hyundai ESI have completed the fabrication of the first jacket foundations for Orsted's Greater Changhua 1 & 2a Offshore Wind Farm in Taiwan, demonstrating effective cross-border partnerships.
With a strong commitment to supporting South Korea's green energy transition, Orsted aims to work with South Korean suppliers and shape a healthy and competitive domestic supply chain that can maintain and expand its export success.
Early on, Orsted started engagement with local communities and the fishing industry to ensure their voices are being heard and their inputs are incorporated throughout the project development.
Martin Neubert, Executive Vice President and CEO of Orsted Offshore, said:
"The prospects of contributing to South Korea's transition to renewable energy is a great inspiration for Orsted. With strong industrial capabilities, significant supply chain potential, and numerous sites with promising offshore wind conditions, South Korea has a fantastic starting point for becoming a leading offshore wind market."
Matthias Bausenwein, President of Orsted Asia Pacific, said:
"Orsted's projects in Incheon will support a thriving offshore wind industry in South Korea and contribute to the realization of the government's target of 12GW offshore wind capacity by 2030. Building on our experience and unparalleled track-record in offshore wind development world-wide and in Asia Pacific, we are dedicated to engaging in long-term partnerships with the South Korean government and local stakeholders.''
Orsted's offshore wind projects will be located more than 70km from the main parts of Incheon City and have relatively shallow water depths at the target project site to allow for a cost-effective development. Subject to permits, off-take agreement with a Korean energy utility, and final investment decision, the projects could be commissioned from 2026 onwards.
