Japan’s Marubeni eyes offshore wind power in northern Vietnam

Japanese conglomerate Marubeni plans to make offshore wind power investments in Vietnam’s northern province of Thai Binh, the firm made the suggestion at a recent meeting with provincial authorities.

At the Monday meeting, Yuji Sato, vice president of Marubeni Europower Ltd., said Marubeni has already signed an agreement with Vietnamese conglomerate T&T Group to develop an offshore wind power project in Thai Binh province. "The firms seek recommendations from provincial authorities for project development," he added.

The executive also highlighted Marubeni’s experiences in offshore wind power, as it is among the first offshore wind power developers in Japan, with major projects in Fukushima, Akita port, and Noshiro port.

It also joins overseas activities, including investments in Gunfleet Sands and Westermost Rough in the UK, survey of Scotwind project in Scotland, survey of Ilocos Norte Offshore, and Malay Offshore projects in the Philippines.

Welcoming the initiative, Ngo Dong Hai, chief of Thai Binh's Party Committee, said T&T Group is a leading wind power company in Vietnam and the province would support the duo's cooperation.

Thai Binh also boasts high potential for wind energy with an average wind speed of eight-ten meters per second, the provincial leader added.

Thai Binh authorities are seeking the government’s permission to offer preferential policies for projects in its economic zone, which is set to expand to the province’s long coast of 54 kilometers in Thai Thuy and Tien Hai districts, Hai emphasized.

In August 2022, a joint venture between T&T Group and Denmark’s Orsted revealed an offshore wind power proposal in Thai Binh province. The 1,000 MW project, with an investment of $2.5 billion, was set to generate 3.5 billion of kWh annually, starting 2030.

However, in June 2023, Orsted said it had "paused market development activities in Vietnam," noting that Vietnam is still "an important supplier market." Per Mejnert Kristensen, its senior vice president and Asia-Pacific president, said that Orsted would bid selectively and deselect opportunities without sufficient values, as it had already deselected auctions in Massachusetts, Taiwan, and markets in France and Vietnam.

In its “Global Offshore Wind Report 2023,” the Global Wind Energy Council (GWEC) said no “real” offshore wind project has been built in Vietnam as all projects are nearshore (intertidal) ones. “Real” offshore wind projects are expected to be built from 2028, the council added.