Onshore Wind Power Bidding Falls Short for Third Consecutive Year Threatening 2030 Renewable Energy Goals
The government's onshore wind power bidding has failed to meet its targets for the third consecutive year, selecting only three projects totaling 156.28 MW from a planned 230 MW for 2025. Experts warn that the annually lowered price caps, set at 163.85 Korean won per kWh, are too low to ensure project viability amid rising costs, raising concerns about achieving the 100 GW renewable energy capacity target by 2030.
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The government's onshore wind power competitive bidding has failed to meet targets for the third year in a row, with only three projects totaling 156.28 MW selected from a planned 230 MW for 2025. This follows a pattern since the introduction of the fixed-price contract system in 2023, where bidding volumes have consistently fallen short.
The government has been lowering price caps annually, with the upper limit set at 163.85 Korean won per kWh for 2025. Industry experts argue this limit is too low to ensure project viability, exacerbated by rising costs in labor and materials.
The government maintains that declining global renewable energy costs justify the lower caps. Concerns are increasing that the target of 100 GW of renewable energy capacity by 2030 may not be achievable, particularly if wind power is to contribute significantly, requiring the installation of nine 4 MW turbines daily over five years.
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