South Korea to develop 2.5-gigawatt offshore wind farm
The South Korean Ministry of Knowledge Economy announced today that the country is planning to invest 10.2 trillion won ($9 billion) in the development of a 2.5-gigawatt offshore wind farm.
The government-led project, set to become the largest offshore wind farm in South Korea, will be created under the supervision of the country’s biggest power generator, the Korea Electric Power Corp.
When completed in 2019 the power generated form the project will be able to meet the energy demands of a city of 5.56 million, the equivalent of 10 percent of South Korea’s entire population.
“South Korea is a latecomer to wind energy and is coming in at a very difficult time for the industry, where severe competition and falling turbine prices are squeezing the profits of the entire supply chain,” said Bloomberg analyst Justin Wu.
“Offshore wind is probably the best entry point for Korean companies into this sector, given their extensive shipbuilding and marine engineering experience as well as the country’s excellent offshore wind resources.”
The project, to be completed in three stages, will be situated off the country’s southwest coast in the provinces of Jeollabukdo and Jeollanamdo.
In South Korea’s bid to cut emissions and to help promote the use of renewable resources, the government also earmarked 1 trillion won this year to feed in tariffs for wind, solar and other renewable energy projects.