Taiwan's Energy Administration hit back at Copenhagen Infrastructure Partners (CIP) after the Danish fund's local chief said the government had rushed its offshore wind tenders, Taiwan Times reported on October 14. The agency, part of the Ministry of Economic Affairs, said it found the remarks puzzling and regrettable because CIP has won more capacity than any other developer.
The row comes as Taiwan prepares to allocate capacity under the third round of its zonal offshore wind programme. Bids for Round 3-3 closed at the end of September, and the ministry plans to finish selection and announce allocations before the end of the year.
Hsu Nai-wen, managing director of CIP, made the comments at the Taiwan International Smart Energy Week. Hsu said Rounds 3-1 through 3-3 had failed to draw investors and urged the government to make bidding rules and market conditions more attractive in Round 3-4. Hsu also called for a full survey of available sea areas before that round.
Hsu said holding Round 3-4 in the first half of next year would be too soon. The earlier rounds had failed because they were constantly rushed, Hsu said, adding that many developers wanted bolder changes to the tender rules.
Hsu said CIP had joined every government tender since the second-phase selection in 2018. After each win it had paid on schedule and secured financing on time with backing from state-owned shareholders, including during the COVID-19 pandemic, Hsu added.
Future projects will have to move into deeper waters, Hsu said, citing concerns from NGOs and weaker winds closer to shore. Deeper sites require more advanced technology and cost more, and very few developers in Taiwan can build them, Hsu noted. Hsu said better screening of bidders and greater lending by domestic banks would be key to that shift.
The Energy Administration said Taiwan had pursued offshore wind for more than a decade. It said every round had gone through public consultation and reached consensus before a fair selection process began. The view of one company could not erase what Taiwan had achieved, the agency added.
In Round 3-3, CIP bid with its Fengmiao 3 offshore wind farm, while Ørsted entered the Dadu 1 project. The two sites, off Taichung and Changhua, overlap heavily, and only one is expected to be selected.