Ørsted signs MoU with KOSPO to form cooperative framework, signifying landmark milestone for Incheon offshore wind projects

The MoU signing event was held as a virtual meeting due to the COVID-19 pandemic and attended by senior management representatives, including Seung-Woo Lee, President of KOSPO, Martin Neubert, Deputy Group CEO of Ørsted and Matthias Bausenwein, President of Ørsted Asia-Pacific.

The 800 MW offshore wind project is part of the 1.6 GW Incheon projects, which will provide clean energy to 1.3 million South Korean households and reduce carbon emissions by almost 4 million metric tons per year, thus making significant contributions to achieving Net-Zero emissions by 2050. 

In addition, the total investment for the Incheon offshore wind projects is multi-trillion Won, and the large-scale investment related to the Green New Deal will lead to various positive ripple effects, such as the creation of a construction base, supply of equipment, and job creation, which is expected to revitalize the Incheon economy.

Under the MoU, Ørsted and KOSPO agreed to explore key areas of collaboration on Ørsted’s Incheon offshore wind projects, including Renewable Energy Certificate offtake, joint operation and technology exchange for offshore wind O&M.

Ørsted is a global offshore wind leader with a market capitalization of approximately KRW 55 trillion, operating a total of 7.6 GW of offshore wind farms, and occupies about 30% of the global installed capacity.

In cooperation with Ørsted, KOSPO expects to strengthen its development capabilities for large-scale new and renewable energy projects, including technological exchanges for offshore wind power O&M.

In addition, Ørsted and KOSPO plan to build an offshore wind power project site at a distance of more than 70km from the Incheon coastline to minimize environmental impact and strive for win-win cooperation with local residents and fishermen in Incheon to minimize damage to the nearby fishing environment.

Martin Neubert, Deputy Group CEO of Ørsted, says: “This MoU marks an important milestone for the Incheon offshore wind projects to receive secured revenues, taking us one step closer towards making the flagship wind farms a reality. We are confident that by leveraging our more than 30-years of global experience as well as the know-how and local expertise of KOSPO, we will adapt to the Korean market and form a strong team to foster a vibrant offshore wind industry to create local benefits and economic opportunities, making significant contributions to support Korea in achieving its ambitious 12 GW offshore wind target.”

Seung-Woo Lee, President of KOSPO, says: "The MoU with Ørsted, the world's leading company in the offshore wind industry, will be of great help to our company's expansion of the new and renewable energy business." He also said: "I expect that it will not only achieve the government's energy transition goal, but also speed up Korea's large-scale offshore wind power development."