MOL, Toho Gas and Hokuriku Electric Power have agreed to acquire a 25% stake in Formosa Investment from Macquarie’s Green Investment Group in order to participate in Taiwan’s offshore wind power business, according to an announcement on March 4. This will mark the first investment made into the offshore wind power generation space outside of Japan by these three companies.

Formosa operates an offshore wind farm with 128 MW of generation capacity, the Formosa 1, located off the coast of Miaoli County. Formosa 1 is the first utility-scale offshore wind farm in Taiwan, and has been contracted to generate and sell electricity to Taiwan Power Company for 20 years based on the Feed in Tariff (FIT) scheme in April 2017 for Phase 1 (8 MW) and December 2019 for Phase 2 (120 MW).

The acquisition is planned to be carried out through a special purpose company (SPC) jointly established by the three companies in Taiwan, in which MOL, Toho and Hokuriku will own 37.5%, 37.5% and 25.0% of the shares respectively. 

Photo credit: iStock/ ClaudineVM