Japan's government has greenlit a draft amendment enabling offshore wind power installations in exclusive economic zones (EEZ), aligning with its goal of achieving carbon neutrality by 2050, as per a Reuters report on Tuesday. The plan targets 10 GW of offshore wind power by 2030 and up to 45 GW by 2040, aiming to replace fossil fuels like coal and liquefied natural gas (LNG). This amendment allows wind farms to be situated farther out at sea, a move praised by Industry Minister Ken Saito for its potential to accelerate offshore wind expansion. Global energy giants have advocated for Japan to bolster auctions and enhance investment attractiveness, amidst escalating costs and global supplier competition. EEZs provide maritime nations with rights for mineral exploration and fishing. The proposed EEZ scheme adopts a two-step approval process, expected to secure legislative approval by late June. However, it could take roughly a decade for operational projects in the EEZ to materialise. The industry eagerly anticipates the legislative changes, seen as pivotal for advancing floating offshore wind development. Japan has conducted three major rounds of state auctions, all have involved turbines anchored to the ocean floor. Thus, the outcome of the impending legislation holds significant implications for the future trajectory of Japan's offshore wind energy sector. Japan's current offshore wind power capacity remains below 0.5 GW, with a focus on fixed turbines.
