Largest Installed Capacity in Taiwan Ever: Hai Long, TECO Sign EPC Contract for Onshore Substation, Going Beyond Localization Commitments

A new localization milestone of offshore wind power achieved! Hai Long Offshore Wind Project (Hai Long) and TECO Electric & Machinery Co., Ltd. (1504) held a signing ceremony for the EPC contract of the onshore substation in Changhua Binhai Industrial Zone, Changhua County today. The collaboration scope covers the construction of an onshore substation, its equipment, and onshore cables. The capacity of this project reaches 1,044 MW, and the first energy is expected to be produced in Q1 2025. Works have already progressed significantly and a blessing ceremony was conducted on the site of the onshore substation.

Once completed, the onshore substation will have the largest installed capacity for the offshore wind industry in Taiwan. Once in operation, the wind farm will be the biggest single offshore wind project in Taiwan, providing electricity for more than one million households. Through the continuous partnership with local suppliers such as TECO, Hai Long further supports the localization of offshore wind technologies, exceeding its localization commitments, and creating job opportunities and business opportunities locally in Taiwan.

In September 2021, Hai Long and TECO signed a preferred supplier agreement for the EPC project of the onshore substation, which will be connected to the Hai Long 2A (300MW), Hai Long 2B (512MW), and Hai Long 3 (744MW) wind farms between 2024 and 2025, respectively. The two parties signed the EPC contract today. This collaboration is a manifestation of how Hai Long goes beyond the local content commitments — in addition to the 2A wind farm that is subject to the localization requirements, Hai Long will also utilize locally produced equipment on the 2B and 3 wind farms, so all four transformers will be manufactured in Taiwan. Moreover, the substation system will include the high-voltage GIS (gas-insulated switchgear), switchgear, air-conditioning equipment, diesel generator and other heavy electrical equipment manufactured and supplied in Taiwan, as well as using experienced Taiwanese contractors for the construction of the substation. This shows that the perfect goal of equipment localization will be scored. 

Felipe Montero, Project Director of Hai Long Offshore Wind Project, said, “Hai Long Project is making steady progress this year, and the signing of the onshore substation EPC contract signifies that we have achieved another key milestone in delivering our project. TECO and its subcontractors have impressive track records and extensive construction experience in the offshore wind industry in Taiwan. We are confident that the collaboration will provide strong support for the development of the green energy supply chain in Taiwan, and we look forward to a construction phase that is characterized by adherence to the highest quality and safety standards while collaborating closely with all project stakeholders.”

Chang Sung-pin, President of TECO’s Intelligence Energy Business Group, said, "The offshore wind industry attaches great importance to high-standard construction safety and quality, both of which are indispensable. TECO will select construction equipment that meets environmental protection regulations and monitor the air quality and noise level at all times during construction. TECO has been awarded EPC contracts of around 2GW for the onshore substations of offshore wind projects. This year, TECO will also shoot for offshore substation projects, and find business opportunities for energy storage systems and other renewable energy projects. This way, TECO will lay a solid foundation for the localization of offshore wind power in Taiwan and join hands with international partners to enter the Asia-Pacific wind power market.”

Hai Long Offshore Wind Project is jointly developed by Northland Power Inc., Yushan Energy Pte. Ltd., and Mitsui & Co., Ltd. The total installed capacity of the wind farm is 1,044 MW and will be the biggest single offshore wind project in Taiwan ever. Hai Long is committed to delivering on its promises of localization as per the policies established by the government for the development of the offshore wind industry.