APAC leads the global offshore wind revolution, driving innovation and sustainability. In 2020, it had 11 GW of capacity, projected to exceed Europe, the Middle East, and Africa (EMEA) by the mid-2030s. By 2050, APAC will target 410 GW, with China contributing 240 GW[1]. With a 123% increase in EPCI expenditure, APAC’s impact is undeniable[2].
Driving forces of growth
APAC’s offshore wind sector sees remarkable growth due to rising demand for sustainable energy. Abundant coastlines and wind resources support this expansion. A recent report by the International Renewable Energy Agency forecasts installations in China, Taiwan, South Korea, Japan, and Vietnam will surpass 60 GW by 2030[3].
What’s more, governments across the region are implementing robust policies and regulatory frameworks to support the growth of the offshore wind industry. From China to Taiwan, and Japan to South Korea, ambitious targets and incentives are driving significant investments in offshore wind infrastructure.
Regional leadership and collaboration
APAC, led by China, demonstrates significant progress in offshore wind. China’s market growth outpaces others, contributing nearly half (49%) of global offshore wind capacity in 2022[4]. Meanwhile, countries like Vietnam, Taiwan, and Japan are rapidly emerging as promising markets, attracting investments and encouraging innovation in offshore wind technology.
One of the defining features of APAC’s offshore wind journey is the spirit of collaboration. Governments, industry players, and research institutions are joining forces to overcome common challenges and accelerate the development of offshore wind projects. By sharing expertise, resources, and best practices, APAC is fostering an environment for sustainable growth in the offshore wind sector.
Overcoming challenges for a sustainable future
While the potential for offshore wind energy in APAC is immense, the industry also faces significant challenges. From unpredictable sea conditions to supply chain bottlenecks, navigating the complexities of offshore wind projects requires innovative solutions and strategic planning.
However, APAC is rising to the challenge by investing in technological advancements and infrastructure improvements[5]. Enhanced communication systems, streamlined project execution, and investment in local manufacturing capabilities are just some of the strategies being employed to overcome hurdles and make sure offshore wind ventures are successful.
Charting a course for the future
As APAC continues to lead the way in offshore wind development, the future of renewable energy looks brighter than ever before. With ongoing investments, collaborative efforts, and a steadfast commitment to sustainability, the region is ready to play a pivotal role in the global energy transition.
By harnessing the power of offshore wind, APAC isn’t only reducing its carbon footprint but also driving economic growth, creating jobs, and supporting a cleaner, greener future for generations to come. As we look ahead, let us draw inspiration from APAC’s remarkable journey and work together to accelerate the transition towards a more sustainable and resilient energy ecosystem.
References:
- https://www.mckinsey.com/industries/electric-power-and-natural-gas/our-insights/how-to-succeed-in-the-expanding-global-offshore-wind-market
- https://www.orrick.com/en/Insights/2024/01/Orricks-2024-Global-Offshore-Wind-Report-Energy-Transition-Targets-to-Drive-Growth
- https://maritime-executive.com/editorials/op-ed-offshore-wind-in-asia-pacific-a-global-approach-to-a-local-issue
- https://media.orrick.com/Media%20Library/public/files/insights/2024/orrick-global-offshore-wind-report-2024.pdf
- https://bisresearch.com/insights/the-rise-of-asia-pacifics-investment-and-vc-ecosystem
