Japan’s Current Floating Market Status

24 Jan, 2019

Japan Wind Power Association (JWPA)

http://jwpa.jp

5th Offshore Wind day in Tokyo

The Japan Wind Power Association (JWPA)

■ Brief HistoryDecember 17, 2001： started as a Voluntary AssociationApril 1, 2010 ： incorporated as a General Incorporated Association

■ Basic philosophy- to improve the energy security of Japan and contribute to solutions for global

environmental issues including warming- to promote sound growth of the wind power industries at home and abroad- to conduct ourselves with strong awareness of responsibility as an industry group

representing our country- to be accountable and maintain compliance by ensuring the function and ability

to exert influence both internally and externally ■ Composition of Members (as of 19 Dec. 2018)

✔ Number of members：384 companies covering whole wind industry✔ Our members own and operate approx.85% of wind farms in Japan.

■ President of the JWPA✔ Mr. Jin Kato, Vice Chairman, Japan Wind Development Co.

(Former CO-CEO of the MVOW)

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New Offshore Promotion Law has established in Japan

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- It secures developers 30 years occupation

rights at General common Sea Area.

Schedule

- Approved by both Diets on 31 Nov.2018.

- Public announced on 7 Dec.2018.

4 months for fixing the detail ordinaries

- Enforced early April 2019.

- 1st auction will be announced in early summer.

- The winner will be announced.

Laws and Tariff at Offshore Wind Power in Japan

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Japan sea area is divided into several categories by Japanese law system.

Sea Area Categories Law Occupation year Tariff

FY2019 FY2020

TerritorialSea

(Within 22.4 km)

Port AssociatedSea Area

Harbor & Port Law(Amended in 2016)

10 years(repeatable)

FIT36 JPY/kWh

FIT36 JPY/kWh

General Common Sea Area

Each prefectural / special city’s regulations

Such as 3 – 4 years (repeatable)

FIT36 JPY/kWh

No data

New offshore law(Enforced in April

2019)

30 years Auction

Exclusive Economic Zone (EEZ)

No regulations No data No data No data

Researched by JWPA

Current Offshore Wind Power Projects in Japan(Both fixed and floating type)

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As for floating offshore wind:

- 16MW, 4 turbines, 2 projects are in operation (One 7MW turbine is to stop operation in 2019)

- NEDO’s one 3MW turbine is under commissioning. It will start official operation soon.

- Toda Co.’s 22MW project is under development.

Water depth: 96m(LSWL)-

99m(HSWL)

Distance from land: 1km

Distance for marine cable: 2km

Vaverage@60m: 7.5m/s

Ve50@60m: 53.1m/s

Hs50: 7.7m

Ts50: 14sec

Max Current: 0.96m/s

2km

Cable

1km

MOE Floating WTG National Project

at Kabashima in Goto Islands,

Nagasaki Pref.(GOTO-FOWT)

Hitachi’s

Down wind type

2MW wind turbine

Conducted by Toda Co.

28 Oct.2013: in Operation

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MOE: Ministry

of Environment

Relocated and granted to Goto city in 2016

MOE’s national project has finished in Mar. 2016.

The turbine was granted from MOE to Goto city local government.

Toda Co. has moved WTG about 10km southwest from Kabashima to Fukuejima.

Fukuejima has more population(38k) and larger electricity capacity than Kabashima.

It was re-connected to the gridline and started commercial operation in Mar. 2016.

METI approved offshore wind tariff 36JPY/kWh for it. (1st and only case in Japan)

Relocated

(10 km)

Ref: Press release by Toda Co. on 15 Apr. 2016

http://www.toda.co.jp/news/pdf/20160415.pdf Photo: Taken by Mr. Hoichi Nishiyama

5 km from seashore

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Toda Co. announced to develop 22MW floatingoffshore windfarm at Goto islands on 3 Oct.2016

http://www.toda.co.jp/hairyo.html

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Toda Co. issues 10 billion JPY

Green bond for this project.

Source; Fukushima offshore wind consortium

2013 2013 2015 2017

Hitachi 2MWMitsui semi-sub6 mooring lines

MHI 7MWMHI semi-sub

8 lines

Hitachi 5MWJMU Spar

6 lines

HitachiJMU Spar

Fukushima floating WT project (Overview)

Project Consortium:11 members Marubeni (Project integrator)

MHI

University of Tokyo

Mitsubishi Corp.

IHI Marine United

MES

Nippon Steel

Hitachi

Furukawa Electric

Shimizu Corp.

Mizuho Information & Research

METI’s Fukushima Recovery, Experimental

Offshore Floating Wind Farm Project

(FukushimaFORWARD)

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Summary results of FukushimaFORWARD

Hitachi 2MW turbine

Downwind type

Since Nov. 2013.

4 years 8 months operation

Availability 94.1%

Capacity Factor 32.9%

Evaluation: Good

Mitsubishi 7MW turbine

Upwind, hydraulic drive

Since Dec.2015

2 years 7 months operation

Availability 16.4%

Capacity Factor 3.7%

Evaluation : Very bad

To stop for decommission

Hitachi 5MW turbine

Downwind type

Since Feb.2017

1 year 5 months operation

Avairability 61.3%

Capacity Factor 18.5%

Evaluation: Poor, but

gradually improving 10

NEDO’s new floating offshore national project for aiming cost reduction using foreign new technologies

- One 3MW floating turbine at Kitakyushu 15 km offshore.

It is to starts operation in early 2019

- 2 bladed turbine designed & manufactured by German Aerodyn.

- Moon pool barge type floater designed by French IDEOL,

made by Japanese Hitz at their dockyard at Sakai, Osaka pref..

Kitakyushu

in July 2018

Kitakyushu

in Oct. 2018

Sakai Hitz dockyard

June 2018

Another NEDO project :

1/10 scale model, designed & made by

German Aerodynis in operation at

Kure, Hiroshima now.