Taiwan Cogeneration Corporation (TCC) has won an EPC contract worth more than TWD7bn ($228m) from Danish offshore wind power company Orsted for the first 900MW Greater Changhua projects in Taiwan.
Under the contract, TCC will construct two onshore substations, cable corridors, landfalls and transition joint bays for the projects.
This is the largest EPC contract for Taiwan’s offshore wind industry.
TCC-owned Star Energy will be responsible for onshore deliverables pertaining to design, procurement, construction and commissioning of onshore substation.
Star Energy will sign contracts with local sub-suppliers approved by Orsted, which will create around 800 to 1,000 local jobs.
Orsted has secured land lease rights in Lun-Wei district, within the Changhua Coastal Industrial Park, to build the two onshore substations.
Onshore work is expected to commence in the second quarter of 2019 after Orsted’s final investment decision.
Orsted Asia Pacific general manager Matthias Bausenwein said: “We are very pleased to collaborate with Taiwan Cogeneration Corporation on building our first two onshore substations.
“Onshore substation is a crucial piece of infrastructure for our Greater Changhua wind farms. It will allow the incorporation of green energy into the power grid and bring clean energy to the households of Taiwan. This also marks the first step of our onshore construction in Changhua starting from early 2019.”
From the early planning stage, Orsted has contracted Sinotech to implement the conceptual design and several surveying works that laid the foundation of the onshore substation EPC contract.
TCC chairman Chang Ming-Chieh said: “Orsted has placed the EPC contract for its onshore substation with Star Energy which is 100% owned by TCC. The procurement of electrical components (such as transformers, resistors, switchboards, cables, etc) and the civil engineering works will predominantly come from local suppliers.
“We estimate more than 85% of the entire project will be supplied by local suppliers and will create 800 to 1,000 new job opportunities. This will fulfil Orsted’s commitment to localise as much as possible the construction of the onshore substations.”
Star Energy chairman Tsai Ching-Fa said: “Orsted places great importance on QHSE standards. Star Energy was able to satisfy the requirements made by Orsted during the tendering period.
“We will also establish an external audit system to enhance the QHSE standards of our sub-suppliers, and to improve Taiwan’s overall quality of project management.”
Image: TCC wins $228m contract from Orsted for wind power substations in Taiwan. Photo: Courtesy of Orsted.