Taiwan’s Energy Administration is considering terminating the administrative contract for the 700 MW Youde offshore wind project, developed by Shinfox Energy.
According to Taiwan’s Central News Agency (CNA), the Energy Administration confirmed on August 24 that the developer had not completed the outstanding performance bond payment.
The Youde project company initially paid 50% of the required performance bond upon signing the administrative contract, with the balance due one year later. The Energy Administration requested payment from the developer on May 18 and June 12, 2026.
The agency set a final deadline in August. When payment was not received by this date, the Energy Administration began the contract termination process, during which the developer submitted a response, reports CNA.
Youde was chosen in Taiwan’s Offshore Wind Block Development Phase 3.2 selection in August 2024 as one of five awarded projects, the others being the 800 MW Formosa 6 (Synera Renewable Energy), the 600 MW Fengmiao 2 (Copenhagen Infrastructure Partners), the 360 MW Formosa 3/Haiding 1 (Corio Generation and TotalEnergies), and the 240 MW Deshuai (Enervest).
In May last year, the Ministry of Economic Affairs (MOEA) announced that all five developers submitted their contract applications, but later cancelled the development rights for Corio and TotalEnergies’ Formosa 3 and Enervest’s Deshuai for unmet requirements.
Taiwan has since incorporated provisions for vacated or terminated project sites into its offshore wind policy framework.
Following an offshore wind meeting on July 2, Taiwan’s Energy Administration stated that terminated contract sites will be considered for expansion capacity, with the government finalizing changes to the Phase 3 selection mechanism and administrative contracts.
The Ministry of Economic Affairs published the Phase 3 administrative contract framework on July 23. The framework introduces separate administrative contracts for allocated and expansion projects, outlining developer rights, obligations, and liabilities.
“In addition to the 3.6 GW allocation, this round will include terminated contract sites for expansion. A transparent mechanism will select developers with proven capabilities, advancing work towards the 2026 selection completion, promoting industry development, and moving towards the 2050 net-zero target”, MOEA stated on July 23.
Foxwell Energy, an affiliate of Shinfox, is building the 300 MW Taipower Offshore Wind Project Phase II (TPC Changhua Phase II), after winning the tender from Taipower in June 2020.
In June, Shinfox Energy was delisted from the Taiwan Stock Exchange after reporting negative net worth due to significant financial losses, including those from its offshore wind engineering subsidiary Foxwell Energy.
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