During the bid invitation for the first national offshore wind power concession projects, the consortium formed by Shanghai Electric Wind Power Equipment Co., Ltd. (“Wind Power Company”) and Shandong Luneng, a subsidiary of State Grid, won the bid for the 200MW intertidal zone project in Dongtai, Jiangsu Province with the 3.6MW large-scale wind turbines self-developed by Wind Power Company. In May 2010, National Energy Administration initiated the bid invitation for the first offshore wind power concession projects, which included 4 projects with a total capacity of 1,000MW, namely two 200MW intertidal zone projects in Dongtai and Dafeng, Jiangsu Province and two 300MW offshore projects in Binhai and Sheyang, respectively. Power suppliers, equipment manufacturers, and installation companies were required to form a consortium to make a joint bidding for the project, and such four projects have attracted a total of 71 tenders from 21 consortiums, most of which were strong state-owned enterprises, and this has attracted a great attention among the peers in the industry. Wind Power Company successfully acquired the tender in the fierce competition and has become one of the first three enterprises that ever engaged in the offshore wind turbines business besides Sinovel and Goldwind, and has achieved the goal of “starting to obtain national concession project” as planned at the beginning of the year, which represented that it has begun to be recognized by the country and that it has become one of the nationwide manufacturers of wind turbines. This has indicated that Wind Power Company has achieved much greater progress than other peers in the wind power equipment industry and that it has become a player in the leading position in the industry in terms of its technical capability and overall strength, which is a milestone for its future development.
Shanghai Municipal Committee and Shanghai Municipal Government take the offshore wind power project of Shanghai Electric very seriously and the management of the Group has taken the project as one of the key subjects of the Group’s strategic development. Shenergy and Lingang Group have provided strong support to our Group’s offshore wind power project and the 3.6MW large-scale wind turbines which won the tender of Dongtai concession project is the large-scale wind turbines first self-developed by the Group and the capacity of which is by now the largest in the country. With the dedicated effort for innovation made by the technical team of Wind Power Company over the last two years, the wind turbine has been successfully integrated into the state grid in August this year and this has allowed the Group to acquire the qualification for bidding. Meanwhile, the Dongtai Manufacturing Base invested by Shanghai Electric was successfully completed in September. All of such achievement has provided a foundation for acquiring the bid of offshore wind power concession project.
The initiation of the first offshore wind power concession project demonstrates China’s determination in developing offshore wind power. The construction of the two intertidal zone and two offshore wind power projects will offer valuable experience in developing large scale offshore wind power projects in the future.