Offshore Wind in Japan & the Netherlands
Scroll down for developments in the Netherlands
Japan has considerable wind resources offshore, particularly in the north of the country with most of the potential in deeper waters further offshore. The Global Wind Energy Council (GWEC) estimates a potential capacity of around 128 GW for fixed bottom projects and 424 GW for floating offshore wind in deeper waters.
Japan aims to install between 30 GW and 45 GW of offshore wind farms by 2040 as part of the country’s goals to reach carbon neutrality by 2050. The Ministry of Economy, Trade and Industry (METI) also set an interim target of 10 GW by 2030.
A Marubeni-led consortium launched Japan's first large-scale commercial offshore wind operations at Noshiro Port (84.0 MW) and Akita Port (54.6 MW) in Akita Prefecture in late 2022 and early 2023, respectively. JERA and Green Power Investment were commissioned to the Ishikari Bay project in Hokkaido Prefecture with 14 Siemens Gamesa (8 MW) turbines. Operations started in January 2024.
Auction results/rounds
Round 1
In December 2021, the government of Japan concluded the first commercial auction with three projects of 1.7 GW of bottom-fixed wind turbines. The consortium, Mitsubishi Corporation Energy Solutions, C-Tech Corporation and Mitsubishi Corporation was the winner of all these projects.
• Yurihonjo (819 MW) port area
• Noshiro-Mitane-Oga (478.8 MW) port area
• Choshi (390.6 MW) port area
Kajima and Van Oord are the Balance of Plant (BoP) contractors for these three projects.
In April 2022, the floating wind project (16.8 MW) was awarded to the sole bidder, the Goto Floating Wind Farm consortium.
• Toda Corporation, ENEOS Renewable Energy Corporation, Osaka Gas, INPEX, Kansai Electric Power, Chubu Electric Power encountered multiple challenges, and operation is expected to commence in 2026. The eight (2.1 MW) turbines will be supplied by Hitachi.
After Round 1 the Japanese government paused the actions to revise regulations to encourage a wider range of bidders to take part.
Round 2
The government’s auction for another 1.8 GW of capacity at four sites was concluded in June 2023 (all bottom-fixed installations). The following three consortia have been selected in December 2023:
• JERA leads the consortium of the 315 MW wind farm project off the coast of Oga-Katagami-Akita in Akita Prefecture. Partners are J-Power, Itochu and Tohoku Electric Power. Vestas supplies the 21 (15 MW) turbines, to be installed on monopile foundations;
• Sumitomo Corporation leads the 420 MW wind farm off the coast of Enoshima in Nagasaki Prefecture, partnering with TEPCO Renewable Power. Vestas supplies the 28 (15MW) turbines, to be installed on monopile foundations;
• Mitsui & Co. leads the 684 MW wind farm off the coast of Murakami-Tainai in Niigata Prefecture. Partners are German RWE and Osaka Gas. The 38 turbines of Haliade-X (18 MW) will be installed on monopile foundations.
Round 2-A
The consortium Japan Renewable Energy Corporation (Renamed as ENEOS Renewable Energy Corporation in April 2024), Spanish Iberdrola, and Tohoku Electric Power has secured the site off the coast of Happo Town and Noshiro City in Akita Prefecture. The 375 MW offshore wind farm will have 25 Vestas (15 MW) turbines installed on monopile foundations. The construction is scheduled to start in 2026 expected to be in full operation in 2029.
Round 3
The government’s auction for 1,065 MW of capacity at two sites (both bottom-fixed installations) was conducted till July 2024. The following consortia have been selected in December 2024:
• JERA, Green Power Investment, and Tohoku Electric Power lead the Aomori South (615 MW) project, less than 6km from shore, with an expected commercial operations date (COD) of June 2030.
• Marubeni, KEPCO, BP Iota, Tokyo Gas, and Marutaka lead the Yamagata Yuza Town (450 MW) project, less than 5km from shore, with an expected COD of June 2030.
In order to secure domestic support, the offshore wind projects in Japan need to contribute to the local economy. Therefore, the best way for foreign companies in the long term is to build partnerships with local Japanese enterprises.
Despite its huge potential, the local supply chain for offshore wind in Japan is relatively fragmented compared to other countries. Another big challenge will be to unlock the huge potential for floating wind. In 2024, a group of Japanese trading corporations and developers joined forces with the establishment of the Floating Offshore Wind Technology and Research Association (FLOWRA) with the objective to accelerate offshore wind innovations and related commercial opportunities.
The conditions for offshore wind energy development in the Netherlands Exclusive Economic Zone of the North Sea are excellent. Not only because of its relatively shallow waters, sandy seabed and strong winds, but also because of a strong supply chain of marine contractors and equipment suppliers, outstanding port facilities and – last but not least – a stable regulatory framework to create long-term investor confidence in the Dutch offshore wind market.
Nevertheless, whilst the Netherlands was an early mover in offshore wind already in 2007, the offshore wind market truly developed after switching to a more proactive and supportive regulatory framework. Under this new framework, the installed offshore wind capacity accelerated from just 1 GW until 2016 to no less than 4.7 GW at the end of 2023, equal to around 16% of the current electricity consumption in the Netherlands.
Through a proactive designation of offshore wind farm zones in marine spatial planning and the subsequent release of multi-annual site tender schemes (Roadmaps), the Dutch government provides a long-term investor outlook for project developers. And by taking responsibility through state-owned entities for EIA and permit preparation (RWS), site surveys and tender coordination (RVO) and for onshore HV grid connection (Tennet), the Dutch policy also supports the business case for project developers by reducing early development risks and costs.
Today, the Netherlands has developed into a mature offshore wind market, driven by a rapid deployment of large-scale offshore wind projects, incredible cost reduction as a result of highly competitive (zero-subsidy) site tenders and a consistent track record of technological innovation. Looking towards 2030 and beyond, the Netherlands plans to dramatically further increase its installed offshore wind capacity, targeting a considerable installed capacity of 21 GW by 2033, equal to around 75 per cent of the country’s current electricity consumption.
The Netherlands is traditionally home to a wide range of established businesses, maritime companies and research institutes in offshore energy, from engineering and manufacturing to construction and installation works. Because of continuous innovation in Balance of Plant cost reduction, the Dutch supply chain is avowed to equip international partners with the latest technological solutions for offshore wind challenges in different site conditions around the world. And what’s more, they are eager to share their expertise and forge strong international partnerships to support the development of local supply chains world-wide, and Japan in particular.
