TIME-LIMITED:Projects on government-owned land are given a nine-year lease, while most financing is extended over 15 years, making private banks skeptical
Taipei Times
Date: Nov 04, 2017
By: Ted Chen / Staff reporter
Local and foreign financial institutions and systems providers yesterday shed light on the challenges of securing financing for offshore wind farm projects in Taiwan.
While Taiwan is an attractive destination for offshore and onshore wind projects, and the government has shown its support for such development, a number of lingering challenges remain, panelists said at a renewable energy finance summit organized by the Taiwan Academy of Banking and Finance in Taipei.
For onshore wind farms, one of the most pressing difficulties is that projects are often built on government-owned land that comes with many limitations, said Yuni Wang (王雲怡), chairperson of Wpd Taiwan Energy Co Ltd (達德能源), the local subsidiary of German-based Wpd Group, a global renewable energy operator and developer.
“Even if projects are approved, lenders remain concerned about financing plans that could span more than 15 years, while the government’s land use approvals are extended over nine-year intervals,” Wang said. [FULL STORY]