EDP Renováveis, the world's leading producer of wind power and Aker Solutions, a 40-year-old engineering and technology company specializing in offshore projects, have decided to invest in Korea Floating Wind Power («KFWind») to develop a floating wind farm in South Korea.
The two companies thus join WindPowerKorea, the founding shareholder of KFWind. Principle Power played a key role in the development of KFWind's project portfolio and will supply the project with its Windfloat technology.
The new consortium is committed to supporting the ambitious renewable energy plans of the South Korean government, which wants to install 13 GW of offshore wind power by 2030 and have at least 30% renewable production by 2040. KFWind signed a Memorandum of Understanding with Ulsan regional authority in January 2019, to cooperate in the development of floating wind projects and to support industrial development in the Ulsan region as a production hub for the South Korean offshore wind market and other countries.
Ulsan region has the necessary conditions for the commercialisation of floating wind power,due to the combination of market leading shipyards, strong maritime technique and quality port facilities in the region.
The consortium foresees that this project will contribute to economic and environmental benefits for the region and Ulsan populations of Ulsan. The wind farm will make use of innovative WindFloat technology, which allows the installation of hitherto inaccessible deep-water floating platforms, and where South Korea's best wind resources can be tapped. The consortium is also committed to working with fisheries associations and local stakeholders to ensure that projects are well located and developed responsibly.
Relevant companies in the sector
The consortium includes established leaders in renewable energy production and offshore project development, coupled with knowledge of WindPower Korea's local industry and market.
EDP Renováveis, majority-owned by EDP, is one of the world's leading wind power producers with operations in 14 countries. This wind farm is included in the joint venture announced between EDP Renováveis and French Engie, aiming to become one of the five largest offshore wind power operators globally. This EDPR/Engie partnership currently has 1.5 GW of capacity under construction and 4.0 GW in development.
EDPR also has a solid commitment to the Windplus consortium, which is developing the Windfloat project, allowing the installation of the three largest offshore wind turbines on a floating platform to date. This project demonstrates EDP Renováveis' unique experience in offshore floating energy production.
About the business
EDPR and Akso Solutions acquired a stake in KFWind from WindPower Korea, a project developer that continues to be a minority shareholder, and Principle Power, the global leader in floating wind technology, which will move out of the shareholder structure to focus on developing its core technology and service activity in the Korean market. KFWind was advised by Green Giraffe, a consulting firm specialized in the renewable energies sector. The parties agreed not to disclose the value of the transactions.
About Aker Solutions
Aker Solutions has a long history of executing complex offshore projects and has supplied more than 60% of the world's semi-submersible floating structures. It has 16,000 employees in over 20 countries and is focusing on the floating offshore wind industry to reduce the costs and risks of development and further stimulate industry growth. It has also been collaborating with Korean partners for several decades.
Aker Solutions is partly owned by Aker ASA, an industrial investment company with stakes in diverse energy and marine companies.
WindPower Korea (WPK) was incorporated in 2009 and has since then assumed the leading position in fostering the South Korean offshore wind power industry. In 2017, the company founded KFWind to harness the potential of South Korea's deepwater offshore wind power. WPK promotes the association of world-class technologies with high quality and competitive Korean suppliers. WPK is strongly committed to intellectual property protection and has a long history of reliable partnerships with global companies.
About Principle Power
Principle Power is a global energy technology and services company. WindFloat® floating technology, created by this company, is providing access to offshore wind potential worldwide, enabling projects to harness the best wind resources, regardless of water depth or seabed condition. Principle Power acts as a trusted partner for developers, independent energy producers, utilities and EPCs, supporting their customers throughout the life cycle of their projects. With 100 MW in advanced construction and development in Portugal, Scotland and France, Principle Power is the market leader in floating offshore wind technology.