Mitsubishi Reconsidering Japanese Offshore Wind Projects Due to ‘Material Changes in Macroeconomic Environment’

February 4, 2025, by Adrijana Buljan

Mitsubishi Corporation is reevaluating its offshore wind projects in Japan, planned to be built in the waters off the coasts of Akita Prefecture and Chiba Prefecture. The Japanese energy company said on 3 February it put the business plans for the projects under review “due to material changes in the macroeconomic environment.“

Mitsubishi Corporation, through consortia led by its subsidiary Mitsubishi Corporation Offshore Wind, was selected to build three offshore wind farms in Japan in the country’s first fixed-bottom offshore wind auction in 2021.

The projects include the 819 MW Yurihonjo wind farm offshore Akita Prefecture, the 478.8 MW Noshiro Mitane Oga project, also off Akita Prefecture, and the 390.6 MW Choshi project off Chiba Prefecture.

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“Since [Mitsubishi Corporation’s] selection as the operator of these projects in December 2021, we have made progress in our development activities in partnership and consultation with the various parties involved. However, in the wake of the pandemic and the Ukraine crisis, the business environment for offshore wind power has significantly changed and is continuing to change worldwide due to factors such as inflation, the depreciation of the yen, tight supply chains, and rising interest rates”, Mitsubishi Corporation said on 3 February.

As a result of these changes, the business plans for the three projects are being revised and the appropriate next steps will be considered after thoroughly examining the results of the review, Mitsubishi Corporation said.

The strike price secured in 2021 for the Yurihonjo offshore wind farm is JPY 11,990 per MWh (EUR 74.73 per MWh), for Noshiro Mitane Oga JPY 13,260 per MWh (EUR 82.62 per MWh), and JPY 16,490 per MWh (EUR 102.73 per MWh) for Choshi offshore wind farm.

All three projects are planned to feature GE Haliade-X wind turbines with an individual capacity of 12.6 MW.