306 Trillion Won Offshore Wind Market to Open... "Expanding by 4GW Annually"

"Offshore Wind Supply Chain Conference 2026"


Estimated Construction and Operation Costs for 34GW of Permitted Projects Over 20 Years


Long-Term Bidding Roadmap Through 2035 to Be Announced in First Half of This Year


Offshore Wind Power Competitiveness Enhancement Committee to Release Strategic Report in December

Offshore Wind Power Construction Site in Jeonnam.

The government has estimated that investments in domestic offshore wind power over the next 20 years will reach 306 trillion won. The government plans to build infrastructure so that more than 4 gigawatts (GW) of offshore wind power can be constructed every year from 2030 onward.

At the "Offshore Wind Supply Chain Conference 2026," held by the Korea Wind Energy Association at the Yeosu Expo in Jeonnam on the 16th, Division Chief Jinman Noh of the Ministry of Climate, Energy and Environment (Head of Offshore Wind Infrastructure Support Team) stated, "The total lifecycle cost of building 1GW of offshore wind power in Korea is 9 trillion won. Given that the volume for which power generation business permits have already been secured amounts to 34GW, the domestic offshore wind power market is expected to see investments totaling 306 trillion won over the next 20 years."

The total lifecycle cost refers to all costs incurred over the lifetime of a power generation facility, and is largely divided into initial facility investment (CAPEX) and operation and maintenance (OPEX) costs. According to the ministry, of the 9 trillion won cost, the initial investment is estimated at 6.47 trillion won, and the operation and maintenance costs over 20 years at 2.53 trillion won.

In Korea's offshore wind power supply chain, the share of value added by sector is highest in operation and maintenance (O&M) at 39%, followed by wind turbines at 26%, auxiliary facilities at 19%, installation and construction at 14%, and project development at 2%. Considering that wind turbine suppliers in practice also take on O&M, turbine companies account for 65% of the value added in offshore wind power.

Although the potential of the domestic offshore wind power industry is significant, as of May only 17 sites with a combined capacity of 0.36GW are operational, which is just 1% of the 33.8GW (100 sites) that have been granted power generation business permits.

Project progress is being delayed due to complex permitting procedures, and the lack of economies of scale has resulted in the cost of power generation being higher than in major countries. There is a severe shortage of infrastructure such as ports and installation vessels (WTIV), and domestic turbines lack global competitiveness. In addition, public acceptance among local residents is also holding back deployment.

The government has set a plan to supply and begin construction of 10.5GW by 2030, and to supply 25GW by 2035. The aim is to lower the current power generation cost of 330 won per kilowatt-hour (kWh) to 250 won by 2030 and to 150 won by 2035.

In particular, the government has also set a goal of building infrastructure such as ports and installation vessels so that 4GW can be supplied annually by 2030. At present, even if the government speeds up permitting, the lack of supporting ports and installation vessels makes it impossible to construct offshore wind farms.

Attendees are discussing at the "Offshore Wind Supply Chain Conference and Exhibition 2026" held on the 16th in Yeosu, Jeollanam-do. From the left in the photo: Professor Beomseok Kim of Jeju National University, Section Chief Jinman Noh of the Ministry of Climate, Energy and Environment, Daul Jang, Country Head for South Korea of Ocean Energy Pathway, Professor Sangmin Cho of Korea Polytechnic University, Wind PD Geumseok Kang of the Korea Energy Technology Evaluation Institute, and Vice President Eunseong Kim of Next. Photo by Heejong Kang

There are only two domestic offshore wind supporting ports—Mokpo New Port and Pohang Yeongilman—so only 1.3GW can be constructed annually. There are just two installation vessels, Hyundai Frontier O and Hansan 1, which together can handle an annual facility capacity of about 1GW.

The ministry, in cooperation with the Ministry of Oceans and Fisheries, plans to establish seven new supporting ports by 2030: Ulsan Namsin Port, Saemangeum New Port, Gunsan Port, Samcheonpo New Port, Haenam Hwawon Industrial Complex, Dangjin Port, and Taean Port. This will provide infrastructure to install 2.8GW annually. After 2031, an additional two supporting ports will be added, enabling the construction of 1.8GW per year.

The government also announced plans to introduce three extra-large installation vessels capable of installing turbines of 15 megawatts (MW) or more. Currently, Hanwha Ocean is building installation vessels, and offshore wind developers are also considering importing installation vessels that are already in operation overseas.

To improve business predictability for operators, the ministry plans to release a long-term bidding roadmap for 2035 within the first half of this year. Division Chief Jinman Noh stated, "We are seeking to reduce costs by extending the fixed-price contract period from the current 20 years to 25 years, and by considering a transition to a Contract for Difference (CfD) system in line with the revision of the Renewable Portfolio Standard (RPS) system."

The government also plans to accelerate the designation of planned sites under the Offshore Wind Power Special Act. Using the offshore wind site information network, the government will identify preliminary zones with a scale of 2.5GW annually across all Korean waters.

The public-private Offshore Wind Power Competitiveness Enhancement Committee is also in full operation. At the conference, private co-chair Professor Beomseok Kim of Jeju National University said, "We will gather the results of discussions from each subcommittee and publish a strategic report by December."

At the opening ceremony of the "2026 Offshore Wind Supply Chain Conference Exhibition" held on the 16th at the Yeosu World Expo Hall in Jeonnam, attendees are participating in a ribbon-cutting ceremony. Korea Wind Industry Association.

The Offshore Wind Power Competitiveness Enhancement Committee, which was launched in February by benchmarking the UK Government-Industry Offshore Wind Industry Council (OWIC), operates with three subcommittees: cost reduction, supply chain development, and infrastructure construction. Daul Jang, Country Head for South Korea of Ocean Energy Pathway, explained, "The UK was able to expand from 2GW to 16GW over 15 years through public-private cooperation, achieving early cost reductions and building a foundation of trust between the government and industry."

Eunseong Kim, Deputy CEO of NEXT and head of the infrastructure construction subcommittee, said, "We are developing concrete and realistic strategies so that no one will say offshore wind power cannot be built due to a lack of infrastructure such as ports, vessels, or grid connection."

Geumseok Kang, Wind PD at the Korea Institute of Energy Technology Evaluation and Planning and head of the supply chain development subcommittee, stated, "We are preparing scenarios so that internationally competitive turbines can be supplied by the mid-2030s."

Professor Sangmin Jo of Korea Polytechnic University, head of the cost reduction subcommittee, said, "We are working to create a standardized levelized cost of energy (LCOE) for offshore wind power." LCOE refers to the value obtained by dividing all costs incurred over the lifecycle of a power plant by the total amount of electricity generated during that period and is commonly used to indicate the cost of power generation.

This content was produced with the assistance of AI translation services.