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22 days ago

SOUTH KOREA OPENS 1.8GW WIND POWER BIDS WITH OFFSHORE FOCUS

Industry News

Source - reNews - South Korea launches 1.8GW wind tender

South Korea has opened bids for ambitious wind energy projects, including 1GW of fixed-bottom offshore wind, 500MW of floating offshore wind, and 300MW of onshore wind.

The bid submission deadline is set for November 22, 2024.

The tender outlines reserved capacities of 1GW for fixed-bottom offshore wind and 500MW for floating offshore wind, with a ceiling price set at 176.565 KRW/MWh. This ceiling applies to floating offshore as well, though industry sources note it may be revised after the bid deadline if necessary.

This announcement follows South Korea's Offshore Wind Power Competitive Bidding Roadmap, introduced in August by Trade, Industry, and Energy Vice Minister Namho Choe.

According to this roadmap, South Korea plans to initiate around 7-8GW in offshore wind tenders over the next two years.

The current round of bidding also features extended project timelines. For projects exceeding 300MW, the expected development period is now 78 months from contract signing, with potential flexibility outlined in the guidelines for floating wind projects.

In line with its roadmap, the government will use a two-stage evaluation approach. In the first stage, nonprice attributes will be assessed, selecting 120%-150% of the total bid quantity, while the second stage will focus on price-based criteria to determine competitiveness.

Bidders will be ranked based on the combined scores from both rounds, with the highest-scoring participant awarded the contract.

Additionally, Seoul plans to increase the scoring weight for nonprice attributes from 40 to 50, with new criteria such as maintenance, security, and public works contributing to the evaluation.

This tender includes South Korea’s inaugural bid for 500MW of floating offshore wind, marking a significant first for the sector.

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