Overview
The Government of Taiwan aimed to maximise cost-efficiency and local economic benefit of offshore wind (OSW) expansion. To support this goal, the Metal Industries Research and Development Centre and the Chung-Hua Institution for Economic Research asked us to provide in-depth cost and policy analysis.
We conducted a Taiwan detailed cost breakdown of Phase 3 of Taiwan’s OSW development planned for installation between 2025 and 2030. Using our internal cost model, we analysed over 100 individual cost elements. We scenarios accounting for different turbine technologies, installation years, and site conditions. We provided tailored policy recommendations to help the Government shape effective localisation strategies, informed by global best practices. We enabled Taiwan to understand how to grow a local supply chain while remaining competitive.
We were re-engaged to update the Taiwan detailed cost breakdown and analysis. This used new assumptions and turbine models to reflect the changes in the OSW market and economic climate. This updated analysis helped inform Taiwan’s next steps to scale up offshore wind and build a supply chain.
Key challenges
- Accounting for market volatility, with rapidly changing technology costs and macroeconomic factors
- Balancing localisation goals with cost competitiveness
- Assessing complex cost structures
- Updating assumptions to reflect the fast-evolving global offshore wind landscape
Key impact
- Delivered comprehensive Taiwan detailed cost breakdown and assessments
- Provided a structured comparison of localisation policies
- Updated cost models in 2024
- Enabled the Taiwanese Government to refine OSW strategy
- Contributed to policy decisions.
BVGA team
Bruce Valpy
