EDF and China Energy Investment Corporation (CEI) have reached a new milestone in their industrial partnership through the financial closure of the joint venture agreements relating to the Dongtai IV and V projects. The new joint company now builds and operates offshore wind projects with a total capacity of 502 MW, located off the coast of Jiangsu province north of Shanghai, China.
The agreement covers Dongtai IV, a 302 MW offshore wind farm, commissioned in December 2019, and Dongtai V, a 200 MW project currently under construction and scheduled to be commissioned in 2021. Jointly , the two partners are continuing the construction of the Dongtai V offshore wind project and will carry out the operation and maintenance activities of the two parks.
The EDF group takes a stake of 37.5 % in the joint venture, via its subsidiaries EDF Renewables and EDF China, while the CEI Group retains the rest of the capital through its subsidiaries Shenhua Renewable and Shenhua Clean Energy Holdings .
The creation of this joint venture and the financial closing follow the cooperation agreement, signed on March 25, 2019, between the presidents of EDF and CEI, in the presence of French and Chinese heads of state.
The Dongtai IV and V projects are the EDF Group's first offshore wind projects in China. EDF is a major player in offshore wind power, with strong skills in development, operation and maintenance activities. Its subsidiary EDF Renewables has a portfolio of nearly 6.5 GW of offshore wind projects under development, construction and operation, in France, Belgium, Germany, Ireland, the United Kingdom, the United States and now in China.
The offshore wind market is booming in China, with an expected installed capacity of more than 40 GW by 2030, compared to 6 GW installed today. Present for 35 years in this strategic country for the group, EDF is a recognized player in the local energy market, with net electricity production capacities of 3.6 GW, including nuclear, renewables and three district heating networks in operation. EDF Renewables currently operates and builds more than a gigawatt of renewable energy projects there, in solar, as well as onshore and offshore wind power.
Bruno Bensasson, Executive Director of the EDF Group in charge of the Renewable Energy Sector and Chairman and CEO of EDF Renewables, declared: “With recognized global expertise in offshore wind power, the EDF group is pleased to support China , the leading country for the growth of the renewable market, in its energy ambitions by contributing to the development of carbon-free electricity. Thanks to this partnership with CEI, EDF is strengthening its presence in this strategic market, the group already being present in China through its other businesses: nuclear, solar, onshore wind and energy services. This partnership is also part of EDF's CAP 2030 strategy, which aims to double its net installed renewable energy capacity worldwide between 2015 and 2030, bringing it to 50 GW.
EDF in China
Present in China for more than 35 years, the EDF Group operates in several segments of the energy market:
Nuclear : as part of a joint venture with China General Nuclear Power Corporation (CGN), the Group built and operates the two EPR reactors at the Taishan nuclear power plant (3.5 GW). The first of these reactors was commissioned in December 2018 and the second in September 2019. The plant provides low-carbon electricity to around 5 million Chinese consumers. EDF also provides assistance to the CGN group for the operation of its entire fleet.
Renewable energies : in July 2016, EDF Renewables acquired a majority share (80 %) in the company UPC Asia Wind Management (AWM) which develops and builds wind projects in China. In 2018, the Group's subsidiary dedicated to renewables diversified its activities into distributed solar by creating a joint venture with the company ACC, aiming to develop solar-roof solutions for industrial customers. EDF, in partnership with CEI, now operates the Dongtai IV offshore wind farm (302 MW of installed capacity) and is building Dongtai V (200 MW).
Energy services : EDF has operated, since 2016, a heat distribution network which supplies housing covering an area of 8 million m² in the city of Sanmenxia (Henan province). In the neighboring town of Lingbao, EDF operates a 35 MW biomass cogeneration plant which provides heat and electricity. On the tropical island of Hainan (south of China), the Group has started the construction of an air conditioning network, intended for tourist complexes. Through its subsidiary Citelum, specializing in public lighting, EDF manages 100,000 light points in the city of Kunming (southwest China).
Thermal : EDF holds minority stakes in three companies operating thermal power plants.
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About EDF
A major player in the energy transition, the EDF group is an integrated energy company, present in all businesses: production, transport, distribution, trading, energy sales and energy services. Leader in low-carbon energies in the world, the Group has developed a diversified production mix based on nuclear energy, hydraulics, new renewable energies and thermal energy. The Group participates in the supply of energy and services to approximately 38.9 million customers (1), including 28.8 million in France. In 2019, it achieved a consolidated turnover of 71.3 billion euros. EDF is a company listed on the Paris Stock Exchange. (1) Customers are counted at the end of 2018 by delivery site; a customer can have two delivery points: one for electricity and another for gas.
About EDF Renewables
EDF Renewables is an international leader in renewable electricity with an installed capacity of nearly 12.5 GW gross worldwide. Its development is mainly focused on wind power and photovoltaic solar power. Mainly present in Europe and North America, EDF Renewables continues its development by taking a position in promising emerging markets such as: Brazil, China, India, South Africa and the Middle East. The Company, which is strongly positioned in the offshore wind sector, is also present in other renewable energy sectors such as energy storage. EDF Renewables ensures the development and construction of renewable energy projects as well as their operation and maintenance, for its own account and on behalf of third parties. EDF Renewables is the subsidiary of the EDF group
dedicated to the development of solar and wind energy.
For more information : www.france.edf-powersolutions.com
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About Shenhua Renewable
Shenhua Renewable Co., Ltd. (abbreviated as Shenhua Renewable) was founded and registered at the end of 2015. The company, with registered capital of RMB 4.198 billion, is a secondary subsidiary of CEI Group. Its foundation follows the decision of Guohua Investment to detach its “new energy” activities and its management is currently entrusted to Guohua Investment Company. Shenhua Renewable is committed to investing, constructing and operating projects in the renewable energy sector, particularly wind power and developing solar power, hydrogen and other renewable energies. To date, the company's assets amount to 67.2 billion RMB, with 64 companies engaged in the new energy sector, totaling an installed capacity of 10.67 GW, including 10.14 million kilowatts of wind power, and 520 000 kilowatts in photovoltaics. The projects are located in 14 provinces, cities and autonomous regions in China, as well as Australia and Greece.
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