Siemens Gamesa Renewable Energy (SGRE) and Hai Long Offshore Wind (Hai Long) today signed a preferred supplier agreement for the delivery and servicing of turbines on the 300 MW Hai Long 2 project. The agreement is subject to contract and final investment decision from the consortium partners, Canadian independent power producer Northland Power Inc. and Taiwan-based developer Yushan Energy.
The 300 MW Hai Long 2 offshore wind power plant project was awarded through the 2018 grid allocation mechanism in Taiwan. The project site is located approximately 50 kilometres off the coast of Changhua County. The project will utilize SGRE’s existing footprint and supply base in Taiwan in order to fulfil localization requirements on the project. Offshore construction for the project will begin in 2023.
“We are very honoured and pleased to announce our collaboration with the Hai Long partners. It represents a stepping-stone for our long-term presence in the region and will enable the expansion of our own local footprint, as well as that of our suppliers,” said Andreas Nauen, Offshore CEO at Siemens Gamesa Renewable Energy.
In the last year, Siemens Gamesa has received firm orders for close to 2 GW of offshore wind power projects in Taiwan. The company supplied and installed the very first two turbines in the market in 2016 as part of the first phase of the Formosa 1 offshore wind power project.
SGRE also recently confirmed plans to build a facility in the port of Taichung. It will be used for offshore nacelle assembly, testing, warehousing, office buildings, and outdoor storage, the production of which is planned to start in 2021. In addition to this, SGRE is working closely with international and local suppliers in order to develop a localized competitive supply chain meeting global industry standards.
Niels Steenberg, Executive General Manager of Siemens Gamesa Offshore for Asia-Pacific added: “With the 300 MW Hai Long 2 offshore wind project, we see a new opportunity to demonstrate our long-lasting commitment to the market, and to contribute to the creation of a competitive local industry in order to open the potential for exports to the region in the long run.”
“This is an important milestone for the 300 MW Hai Long 2 project and for the localization of the offshore wind industry in Taiwan,” said David Povall, Executive Vice President, Development, Northland Power. “We have, from the beginning of the project, committed to meeting localization requirements and we look forward to working with our partners Siemens Gamesa as they bring their international experience to empower the local supply chain.”
Hidehiro Nagata, Director of Yushan Energy, added: “We share Taiwan’s vision of becoming the export hub for offshore wind and leader in renewable energy in the region. With our collaboration with SGRE, together, it enables local suppliers to gain access to the global market. Hai Long 2 300 MW can be the anchor project that enables the expansion of the local supply chain, opening the potential for exports in the future.”
Siemens Gamesa Offshore
As of September 2019, SGRE has over 3,490 offshore wind turbines in operation globally with a combined capacity of more than 15.2 GW. The company’s experiences reach back as far as 1991, when it established the world’s first offshore wind power plant. Through a strong focus on safety and innovation, SGRE constantly strives to reduce the Levelized Cost of Energy from offshore wind power.
About Siemens Gamesa Renewable Energy
Siemens Gamesa is a global leader in the wind power industry, with a strong presence in all facets of the business: offshore, onshore and services. The company’s advanced digital capabilities enable it to offer one of the broadest product portfolios in the sector as well as industry-leading service solutions, helping to make clean energy more affordable and reliable. With more than 99 GW intalled worldwide, Siemens Gamesa manufactures, installs and maintains wind turbines, both onshore and offshore. The company’s orders backlog stands at €25.5 billion. The company is headquartered in Spain and listed on the Spanish stock exchange (trading on the Ibex-35 index).
About Hai Long Offshore Wind Project
The Hai Long Offshore Wind Project consists of Canadian-based independent power producer Northland Power Inc. (NPI), Yushan Energy Company Ltd. who have joined forces to develop the Hai Long 2 and 3 wind farms in zones 18 and 19 offshore Changhua County.
About Yushan Energy Company Ltd. (YECL)
Yushan Energy Company Ltd. (YECL) is an offshore wind energy development based in Taiwan and is currently co-developer of the Hai Long Offshore Wind Farm project in partnership with Northland Power Inc (NPI).
About Northland Power Inc. (NPI)
Northland Power Inc., which has a 60% equity stake in Hai Long, is a global developer, owner and operator of sustainable infrastructure assets. Northland is headquartered in Toronto and has been publicly traded since 1997 on the Toronto Stock Exchange (TSX: NPI).