The 8GW wind project is part of the country's Green New Deal to become carbon neutral by 2050
South Korea has announced plans to build an 8.2GW offshore wind farm with an investment of KRW48.5trillion ($43.2bn) by the end of this decade.
The decision to build what could be the largest offshore wind farm in the world is part of the country’s efforts to nurture a green recovery from the coronavirus pandemic.
A signing event for the offshore wind farm took place in Sinan in the southwestern part of the country and was attended by President Moon Jae-in.
The companies that have participated in the event include Korea Electric Power (KEPCO), SK E&S, Doosan Heavy Industries & Construction, CS Wind, Samkang M&T, and Hanwha Engineering & Construction among other utility and engineering firms.
A significant part of the required funding for the offshore wind farm, at KRW47.6trillion ($42.52bn), is expected come from the companies. The remaining amount of KRW900bn ($800m) will be covered by the government, Reuters reported, citing the Blue House, the office of the South Korean President.
Moon said: “With this project, we are accelerating the eco-friendly energy transition and moving more vigorously toward carbon neutrality.”
The project is seen as a significant part of the Green New Deal which was initiated by the South Korean government in 2020.
The Green New Deal aims to cut down the East Asian country’s dependence on fossil fuels and to achieve net-zero emissions by 2050.
The new offshore wind project is expected to generate up to 5,600 jobs. Besides, it will help South Korea in expanding its current wind power capacity of 1.67GW to 16.5GW by 2030.
In late 2020, Danish renewable energy company Ørsted disclosed plans to develop offshore wind farms in South Korea with a potential capacity of up to 1.6GW.
Prior to that, last September, Total and Macquarie’s Green Investment Group (GIG) announced a partnership to develop a 2.3GW portfolio of five floating offshore wind projects in the East Asian country.