Ørsted and Taiwan-based TSMC have signed a corporate power purchase agreement (CPPA). TSMC, one of the largest semiconductor foundry, will offtake the full production from Ørsted’s 920MW Greater Changhua 2b & 4 offshore wind farm.
The 20-year fixed-price contract period starts once Greater Changhua 2b & 4 reaches commercial operations in 2025/2026, subject to grid availability and Ørsted’s final investment decision. Under the agreement with TSMC, the Greater Changhua 2b & 4 offshore wind farm will receive a price for power including T-RECs (Taiwan renewable energy certificate) during the 20-year contract period that is higher than the feed-in-tariff which was originally secured via the outcome of Taiwan’s first offshore wind auction in June 2018. This improves the project’s financial viability and helps Ørsted mature Greater Changhua 2b & 4 towards a final investment decision.