CIP’s Localization Operations — Enablers in Taiwan

Marina HsuChief Development Officer, Taiwan

25 April 2019at Global Offshore Wind Summit - Taiwan

2Key facts

Presenter

Marina HsuChief Development Officer

Near 10 years experience in offshore wind, government relations, and energy industry promotion in Taiwan and Denmark

Previously wind energy advisor for the Danish Ministry of Foreign Affairs

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Introduction of CIP and CIP’s Activities in Taiwan

Company introduction, project introduction

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CIP established in market

Project opportunities near/mid term

Atlantic Canada

CIP is currently involved in the development of the Beothuk offshore wind project

US East Coast CIP has been awarded 800 MW in May 2018 for the Vineyard Wind offshore wind project

Australia, Victoria

CIP is currently involved in the development of the 2 GW Star of the South offshore wind project

Europe (UK)

CIP involved in construction of the 588MW offshore wind project Beatrice

Europe (Germany)

CIP has constructed the 402MW offshore wind farm Veja Mate

Taiwan

CIP currently has 3 offshore wind projects under development in Taiwan: Zone 27, Xidaoand Chungneng

CIP team members have been involvement in +50 large-scale energy infrastructure projects and managed +NTD 1,300bn - Including 16 offshore wind farms with total capacity over 7 GW

World’s largest project using jacket foundations

World’s deepest jacket foundations installed on Beatrice

Single largest amount of project financing in offshore wind on Beatrice

OTM (offshore transmission module) applied for the first time on an offshore wind farm

Beatrice (588 MW)

CIP has opened offices in Seoul and Tokyo in Aug. 2018

Seoul and Tokyo

US West Coast

CIP is currently involved in the development of Magellan floating project off the coast of California.

The completion was four months ahead of the schedule with costs significantly below budget

The maiden voyage of Scylla, the world’s biggest jack-up WTG installation vessel, set a construction record

Veja Mate (402 MW)

CIP is the One of the Most Experienced Offshore Windfarm Developers to DateCIP is the only developer who is active in 4 continents

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More than 10 million Pension Holders in Europe and Asia are behind CIP

Copenhagen Infrastructure Partners (CIP) was established in 2012 by the former top executives from the offshore wind industry and PensionDanmark — one of the largest pension fund in Denmark.

CIP is backed up by institutional investors — 42 pension funds with Euro 6.8 billion (NTD 240 billion).

Our strategy is buy and hold.

CIP provides industry leading technical and project management competences during development, construction and operation.

Nykredit Alpha

K Alternativ Infrastruktur I K/S

Zhinfra K/S(Danish family

office)Swiss Pension

Scheme(name disguised)

(On behalf of a UK pension fund)

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Introduction to Changfang and Xidao- Combined project with 600MW with expected combined financial close in 2019

Key facts

Location Changfang Xidao

Taiwan

ChanghuaChang-

fang

Xidao

Key dates

Capacity 552 MW 48 MW

Location

Grid connection

100MW in 2021

452MW in 202348 MW in 2024

SuppliersWind turbines: MHI-Vestas Foundations: Bladt-CenturyRemaining contracts: Q4-18 to Q2-19

Expected to reach Financial Close in Q4 2019

Located ~15 km from shore

Water depths between 30-45m

Located ~13 km from shore

Water depths between 30-45 m

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Enablers for Local Supply Chain

Procurement concept, examples of localization strategies

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CIP’s Localization Operations: Enablers for Taiwan

Supply chain localisation and

knowledge transfer

Thriving local green finance

and investment

Dedicated local communication,

enhancing localisation in every aspects

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Procurement concept and localization strategies Teaming up local suppliers with experienced international companies & identifying and preparing local resources

Selected Rambøll to partner with CECI in detailed design

Three-way exclusive agreement Rambøll-CECI collaboration

officially kicked off

Binding Award Agreement with CWP and Bladt Industries for foundation supply

Supply contract signed with CWP

Foundation Design Foundation Fabrication

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Cost competitiveness and technical capabilities

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Localisationproposal

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Insurability / bankability

Supplier selection

Award agreement with MHI Vestas turbines with localisationplan fulfilling IDB’s expectation

Signed localization agreement with MHI Vestas

MHI Vestas signed tower agreement with local supplier

WTG Components

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Rambøll-CECI-CIP Cooperation Agreement for foundation design

World-leading engineering company providing comprehensive consulting services, including wind turbine foundation design.

Highly-experienced multidisciplinary engineering and project managmenet consulting frim in Taiwan.

CECI to participate in the whole foundation design process including conceptual design, FEED, and details design phases, and to proivde local knowledge and relevant services.

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JV between Bladt Industries and Century Wind Power

• First foundation delivered in 2002

• More than 1300 foundations on list of references

• 40 years of offshore know-how

• One of the largest domestic manufacturers of steel structures

• Manufactured the underwater structure of Fuhai met mast—the only domestic supplier with such experience

• Century BladtFoundations to deliver ready-to-install jacket foundations for the CFXD project.

• Components will be transported to CBF’s new factory in Port of Taipei for final assembly and load out to the windfarm site.

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MHI Vestas selected as the WTG supplier with strong localisation proposal and commiments

Localisation Agreement with MHI Vestas

• CIP already signed award agreement to MHI Vestas in March 2018.

• An additional localisation agreement was sligned in October to strengthen WTG localisation commiments.

• MHI Vestas futher firmed up its localisation plan for tower manufacturing in Taiwan by signing a conditional contract with the CS Wind/Chin Fong partnership.

• Backed by its headquarters in Europe, MHI Vestas has a strong, cross-functional local team with support from MHI and Mitsubishi Corporation.

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Gear Up Local Site Investigation Contractor for Stepping Up HSE Standards

• To prepare local site investigation contractor for gearing up to meet international HSE standards, CIP has prepared a tailored HSE training programme to guide them step by step.

• A careful inspection of a brand new vessel was done with thorough discussions with the local companies where CIP shared comments and feedbacks of the findings.

• HSE workshops have been taken place to assist local companies in achieving international offshore safety standards and strengthening HSE management.

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Cultivating Local TalentsCultivating offshore wind talents in Taiwan, including academic research, safety training, and O&M

O&M Apprenticeship Programme

• ‘Green-collar’ talent cultivation.

• Collaboration with Chienkuo Technology University to establish the Offshore Wind O&M Apprenticeship Programme. Two rounds of workshops have taken place to assist the university in setting up curriculum relevant to the programme. Lecturers from the university have visited Denmark to receive a 10-day professional training.

• Outstanding students of the programme will be selected to receive training in Europe and become recruitment preference of local offshore WTG technicians.

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Cultivating Local TalentsCultivating offshore wind talents in Taiwan, including academic research, safety training, and O&M

Collaboration between CIP, NTU & DTU• Bridging Technical University of Denmark

(DTU), the world’s leading research institute in offshore wind, and National Taiwan University to assist NTU in planning the Offshore Wind Energy Master’s Program, including a three-party industrial-academia forum and a trip to Denmark’s turbine component manufacturers.

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Cultivating Local TalentsCultivating offshore wind talents in Taiwan, including academic research, safety training, and O&M

Graduate Programme• White-collar talent cultivation.

• Among 100 applications from all around Taiwan and through two interview processes, six freshly-graduated outstanding students were selected to join the two-year, full-time paid programme started in September 2018. They are placed under HSE, Site Investigation, T&I, and Foundation Packages, involving in procurement process and project management. Graduates with dedication and excellent performance will be offered direct employment following the end of the programme.

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Thank you