Collaboration breaks new ground in Taiwan: Siemens Gamesa confirmed as preferred supplier for full 1,044 MW Hai Long offshore wind projects

The strong collaboration between Siemens Gamesa Renewable Energy and customer Hai Long Offshore Wind Project (Hai Long) has been extended to 1,044 MW. Siemens Gamesa’s largest offshore agreement in Taiwan to date now covers the Hai Long 2B (232 MW) and Hai Long 3 (512 MW) projects. The preferred supplier agreement for Hai Long 2A (300 MW) was announced on November 13, 2019.

Flagship SG 14-222 DD offshore wind turbines and service for the full volume of the project are included in the preferred supplier agreement. The agreement remains subject to contract and final investment decision from Hai Long consortium partners, Canadian independent power producer Northland Power Inc. and Taiwan-based developer Yushan Energy Co., Ltd., jointly owned by Mitsui & Co., Ltd. in Japan and Yushan Energy Pte., Ltd. in Singapore. This is expected in 2022.

Siemens Gamesa will deliver SG 14-222 DD offshore wind turbines to all three wind power projects of Hai Long. The exact number of machines remains to be determined. The SG 14-222 DD offshore wind turbines are planned to be installed 50 km off the coast of Changhua County. Each turbine will have a capacity of 14 megawatts and feature a rotor diameter of 222 meters using 108-meter long Siemens Gamesa IntegralBlades.

“A collaboration such as this demonstrates how we’re unlocking the power of wind every day. We are proud to strengthen our relationship with Northland Power and Yushan Energy on this highly significant project, where we will deploy our game-changing SG 14-222 DD offshore wind turbine. Together, we are positively impacting the expansion of the global offshore wind industry, benefitting the local market and society-at-large at the same time,” said Marc Becker, CEO of the Siemens Gamesa Offshore Business Unit.

The Hai Long offshore wind undertaking consists of three separate projects: Hai Long 2A (300 MW), Hai Long 2B (232 MW) and Hai Long 3 (512 MW). Recently, the 300 MW Hai Long 2A’s Industrial Relevance Proposal was conditionally approved subject to certain conditions to be fulfilled by Hai Long as agreed with the Taiwanese authorities.

Siemens Gamesa is currently constructing a Nacelle Assembly Facility in Taichung, towards start production in Q3 CY2021. With the conditional approval of the Hai Long 2A Industrial Relevance Proposal, a factory expansion will start in 2022, subject to final investment decision by the project partners. This will more than double the plot area up to approx. 80,000 m2, as well as more than double the number of Siemens Gamesa employees working in the factory. The expansion will broaden the production scope with new production halls to be constructed on the extended plot.

Niels Steenberg, Siemens Gamesa’s Executive General Manager for Offshore in Asia-Pacific said: “We are delighted to expand our collaboration with the Hai Long partners. With our latest technology, the SG 14-222 DD and the 1,044 MW Hai Long projects, we will be striving to unlock a lower cost of electricity, and to enable the transition of the offshore wind industry from fixed-subsidies to price-based auctions. This is yet another important for Siemens Gamesa, as well as the rest of the offshore wind industry in Taiwan.”

Hai Long Offshore Wind’s project director Felipe Montero stated: “As the anchor project for positioning Taiwan as the Asia-Pacific Export Hub of the offshore wind industry, Hai Long is committed to helping Taiwan develop a sustainable offshore wind industry and establish a local supply chain. Our selection of Siemens Gamesa as preferred supplier of WTGs for Hai Long 2A was always based on their outstanding localization proposition. Expanding our agreement with Siemens Gamesa should create strong synergies to support Siemens Gamesa’s localization efforts, helping us meet our commitments for Hai Long 2A and creating additional localization opportunities for Hai Long 2B and Hai Long 3.”