Taiwan's Energy Administration Convenes Briefing on Round 3 Administrative Contracts for Offshore Wind Zonal Development, Clarifying Contractual Provisions
Taiwan's Energy Administration Convenes Briefing on Round 3 Administrative Contracts for Offshore Wind Zonal Development, Clarifying Contractual Provisions
Taiwan's Energy Administration under the MOEA convened a briefing on the Round 3 Offshore Wind Zonal Development administrative contracts, outlining key elements of the project selection mechanism and updates to the R3.3 contract framework. Revisions incorporate stakeholder feedback, including separate contracts for awarded and expanded wind sites, a one-year flexible grid connection window with incentives, clearer performance bond obligations, and strengthened ESG and local economic impact requirements with defined penalties.
Energy Administration stated that, with "local collaboration" as its guiding principle, it encourages participation from a diverse range of industries, including manufacturing, services, marine engineering, and talent development. The forms of cooperation and industry categories are not restricted to manufacturing, service sectors, marine engineering, or industrial talent cultivation. The scoring methodology for procurement and investment amounts under "local collaboration" will continue to follow the provisions set forth in the MOEA' March 27 announcement on developer selection guidelines.
Regarding the term of power sales, in addition to the current 20-year license and the existing extension mechanism of up to 10 years, developers that achieve targets such as early grid connection, local economic benefits, and enhanced energy resilience may be eligible for an additional incentive-based extension of up to 5 years.
R3.3 contract aim to improve project clarity and financial planning by assigning independent contractual responsibilities to each wind site. Drawing on past development experience, the introduction of flexible grid timelines addresses construction and resource scheduling challenges. ESG compliance, local value creation, and energy resilience are now subject to stricter verification and penalty mechanisms, while maintaining fairness in selection and existing limits on liquidated damages.
Public comments will be accepted until May 6, after which the MOEA will finalize and publish the contract templates. With a planned allocation of 3.6 GW capacity, the Zonal Developmrnt Round 3 program seeks capable developers and promotes local collaboration through incentive schemes. The government reaffirmed its commitment to a transparent selection process, aiming to strengthen Taiwan's position as the world's 5th-largest offshore wind market and advance energy independence and net-zero transition goals.
Source: MOEA
