ULSAN, South Korea – Ulsan City and Hexicon, a leading Swedish floating offshore wind developer, have pledged to establish a collaborative partnership to advance floating offshore wind projects, marking a significant step towards South Korea's renewable energy goals. The commitment was made during a recent meeting in Stockholm, Sweden, between Ulsan City's European investment delegation, led by Vice Mayor for Economic Affairs Ahn Hyo-dae, and Hexicon CEO Marcus Thor. The meeting, held on June 13 at 10 AM local time (5 PM KST), built upon previous discussions, including Thor's visit to Ulsan City Hall last September.
Hexicon is the driving force behind the MunmuBaram project, a 750MW floating offshore wind farm situated approximately 65 kilometers off the coast of Ulsan in deep waters ranging from 120-150 meters. This project, which initiated with a memorandum of understanding with Ulsan City in 2018, has achieved key milestones including the approval of its Environmental Impact Assessment (EIA) in August 2024 and the signing of a Transmission Service Agreement (TSA) with Korea Electric Power Corporation (KEPCO) in October 2024. Hexicon acquired full ownership of the MunmuBaram project from Shell in November 2024, demonstrating its strong commitment to the region.
Vice Mayor Ahn highlighted the critical role of recent legislative and policy developments in accelerating such ventures. He emphasized the "Special Act on Promotion of Distributed Energy," enacted on June 13, 2023, and effective June 14, 2024, which provides a legal framework for businesses to secure electricity at more competitive prices, thereby alleviating the limitations of the existing centralized power system. Ahn further expressed optimism that Ulsan's anticipated designation as a 'Distributed Energy Special Zone' in the first half of this year would inject significant momentum into the city's ambitious offshore wind initiatives. Ulsan City has actively pursued this designation, notably by launching the nation's first Distributed Energy Support Center in July 2024.
Ulsan is at the forefront of developing a massive floating offshore wind farm cluster, aiming to achieve a total generation capacity of approximately 5.8 GW to 6 GW by 2030. This extensive project, located 58 kilometers east of Ulsan Port within the Exclusive Economic Zone (EEZ), is poised to become one of the world's largest floating offshore wind areas. It is projected to produce around 23,653 GWh of electricity annually, sufficient to power 5.4 million households in the Yeongnam region, and is expected to contribute significantly to carbon emission reductions (10.46 million tons annually). The long-term economic impact of the Ulsan floating offshore wind project is substantial, with an estimated KRW 65.2 trillion in domestic production inducement and the creation of over 270,000 jobs through 2059.
Both Ulsan City and Hexicon reaffirmed their mutual commitment to continued collaboration and the establishment of a robust, symbiotic relationship, underscoring their shared vision for a sustainable energy future in South Korea.
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