Orsted & Tepco launch JV
Tokyo Electric Power Company (Tepco) and Orsted have set up a joint venture company to work on a bid to develop an offshore wind project in Japan’s Choshi area.
The newly formed Choshi Offshore Wind Farm company builds upon the existing memorandum of understanding signed in 2019 by the companies, to work together on offshore wind projects.
Since then the partners have been drawing up a framework and organisational structure for joint development of the Choshi offshore wind project. The city, which lies east of Tokyo, is located in the Chiba prefecture.
Orsted chief executive Henrik Poulsen said: “I am pleased to see our close collaboration with Tepco for more than one year has led to the successful establishment of the joint venture company for the Choshi offshore wind project.
“With Orsted’s strong global capabilities and Tepco’s local expertise, we are well prepared and dedicated to participating in the upcoming auction.”
The joint venture will submit a joint bid in the Round 1 auction once the Japanese government officially designates the Choshi-city offshore wind promotion area, and will also work together on future offshore wind opportunities in the area.
Tepco representative executive officer and president Tomoaki Kobayakawa said: “Tepco and Orsted have been making excellent progress in developing our partnership and we are ready to see successful development of the Choshi offshore wind project.
“Our two companies have agreed to establish a unique framework that enables us to effectively integrate and leverage strengths and expertise from both sides. We are confident this is key to succeed in the Choshi offshore wind project.”
Next month Tepco will launch its renewable energy business arm, Tepco Renewable Power, to make renewable energy a core generating source.
“The partnership with Orsted, and the establishment of Choshi Offshore Wind Farm, will help drive business growth for the TEPCO group and TEPCO Renewable Power,” Kobayakawa added.
Poulsen added: “This joint venture is not only a significant step in Orsted and Tepco’s efforts to deliver on Japan’s ambitions for domestic renewable power generation, but also a landmark moment for Orsted’s market entry in Japan and for our aspirations to help Japan become a leading offshore wind market in Asia Pacific.”