Back to top
Reported by Ørsted on 18 January 2019

TEPCO and Ørsted sign MoU to work jointly on offshore wind projects

(Courtesy of Ørsted A/S)

Tokyo Electric Power Company Holdings, Inc. (TEPCO), the largest power company in Japan, and Ørsted A/S (Ørsted), the world’s leading offshore wind developer, announced today that they have signed a memorandum of understanding to work jointly on offshore wind projects.

TEPCO has been exploring offshore wind business opportunities in Japan and overseas. Ørsted, which has been leading the global offshore wind industry since it built the world’s first offshore wind farm in 1991, has constructed more than 25 offshore wind farms in Europe and has several large-scale offshore wind development projects in Europe, the US and Taiwan.

TEPCO and Ørsted will work jointly on the Choshi offshore wind project near Tokyo, for which TEPCO has been carrying out a seabed survey to examine its feasibility (announced on November 1, 2018) and towards a strategic partnership for broader collaboration.

TEPCO Representative Executive Officer and President, Tomoaki Kobayakawa, commented: “We’re confident that the partnership combining TEPCO’s extensive expertise in the Japanese power business and Ørsted’s unparalleled track record in the offshore wind business will lead to success in the Choshi project. We hope that this first step paves the way for expansion beyond the coastlines of Japan for the development, construction, operation and ownership of offshore wind projects.”

“TEPCO is aiming to make renewable energy a core generating source by developing 6-7 GW of renewable energy projects in Japan and overseas. The partnership with Ørsted will provide us with a very strong platform to scale up our renewable energy business as one of our main pillars of business growth.”

Ørsted CEO and President, Henrik Poulsen, remarked:
“Our vision is to create a world that runs entirely on green energy, and we look forward to expanding our presence in the Asia-Pacific region and bringing over two decades of offshore wind knowledge into this partnership for the Choshi project.”

“As the largest player in the Japanese electricity industry, TEPCO has deep insights into the local power market and the regulatory requirements. This MoU is the first step in Ørsted and TEPCO’s aspirations to deliver on Japan’s ambitions for domestic renewable power generation at a large scale and contribute to making Japan a leading offshore wind market in the Asia-Pacific. We welcome this first opportunity to work with TEPCO and look forward to strengthening our relationship further.”

Japan’s offshore wind market is gaining momentum following the government’s commitment to increase the deployment of renewables and the passing of the legislative foundation for designation of large-scale offshore wind development areas. In its Fifth Basic Energy Supply Plan from July 2018, the Japanese government targets a 10 GW wind capacity (offshore and onshore) by 2030 as part of its ambition to reach a 22-24% renewable share of electricity generation by 2030.

More than 70% of Japan is mountainous, and around three quarters of its 127 million population live in urban coastal areas, which makes offshore wind an ideal source of large-scale, homegrown renewable electricity generation for Japan.

References

[1]

Ørsted A/S. Press release - TEPCO and Ørsted sign MoU to work jointly on offshore wind projects. URL: https://orsted.com/en/Media/Newsroom/News/2019/01/TEPCO-and-Orsted-sign-MoU-to-w.... [Date Accessed: 21/01/2019].

Business & Finance

24 Jan | EBRD supports largest windfarm in Ukraine

  • EBRD arranging syndicated loan of €150 million to SyvashEnergoProm
  • Project to be co-financed by Green for Growth Fund, FMO and NEFCO
  • EBRD’s latest investment under USELF III achieves significant CO2 reductions

Business & Finance

17 Jan | WFW advises UniCredit on Bel Lavello wind park project financing

Watson Farley & Williams (“WFW”) advised UniCredit S.p.A. (“Unicredit”) on the long-term project financing, through its Infrastructure & Power Project Finance division, of the Bel Lavello wind park, located in the southern Italian region of Basilicata.

Business & Finance

17 Jan | Quinbrook Closes Financing on Ranchero Wind Farm in Texas

300MW project under construction and expected to be operational by year-end 2019

Business & Finance

17 Jan | EDF Renewables North America Acquires Nebraska Wind Project

EDF Renewables North America has closed on a purchase agreement with York Nebraska Wind Partners, LLC, a partnership comprised of Aksamit Resource Management, LLC and York Capital Management for 100-percent of the interests in the 300 megawatt (MW) Milligan1 Wind Project located in Nebras

Project Development & Execution

30 Nov | Ørsted to build wind farm in Texas

Lincoln Clean Energy (LCE), a North American leading developer of wind and solar energy projects, will start building its first project under new Ørsted ownership – the Locket Wind project in Texas. The wind farm will be LCE’s fourth onshore

Business & Finance

09 Aug | Ørsted acquires Lincoln Clean Energy, a US onshore wind developer

Today, Ørsted has entered into an agreement with global infrastructure investment manager I Squared Capital and management shareholders to acquire a 100% equity interest in Lincoln Clean Energy LLC (’LCE’), placing an enterprise valuation on LCE of USD 580 million.