Taiwan Refocuses Offshore Wind Tenders to Maximize Viability
For the upcoming Round 3.3 offshore wind auction, Taiwan has proposed a raft of measures geared towards improving project viability. In 2025, the offshore wind sector proved rather turbulent, with multiple projects globally failing to reach final investment decision. To counter these challenges, Taiwan has signaled a change in policy guiding allocation of offshore wind capacity going forward.
Last week, the Ministry of Economic Affairs (MOEA) held a public consultation on draft rules for Round 3.3. Although a consensus is yet to be reached, the government highlighted the need for a shift in the country’s renewable energy strategy. The proposed rules prioritize execution and delivery capability of a developer. Previously, offshore wind auctions were price-led and strict on localization rules.
One of the major changes in the proposed updates is the removal of Taiwan's localization regulations, satisfying a cost-control priority for developers. In its place, developer track record and financial capacity will become a key focus, accounting for 35 points of the total evaluation score. Again, the track record will incorporate a “negative list,” evaluating issues such as past delays by a developer, early termination and failure to sign administrative contracts.
“This effectively screens out speculative players and those who have damaged credibility in earlier rounds. Only a limited number of developers can independently meet both execution and financial requirements. The likely market response will be more joint-development partnerships, allowing capital-strong investors and technically capable developers to complement one another in order to participate,” commented Will Liu, Senior Consultant at the global engineering and management consulting firm, AFRY.
Most importantly, the new guidelines have introduced ESG requirements, which will account for 10-15% of the total evaluation score. Conventionally, ESG assessments are carried out during financing stage. The need to incorporate ESG in the early planning stages appears to be an effort aimed at reducing project delays. ESG assessments carried out after capacity is awarded have led to additional baseline surveys, increasing costs and project timelines.
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The awarded wind farms must complete grid connection between 2030-2031. The minimum application capacity is 300 MW, with a maximum cap of 1 GW. MOEA plans the new rules will be finalized by this Q1, with a selection mechanism issued during the same period. The target capacity for this round is 3.6 GW, closing in on the goal to have 60% renewably sourced power by 2050. To date, Taiwan has installed around 4GW of offshore wind capacity.
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