Korea Offshore Wind Auction 2026 H1: 9 Projects Compete for 1.8 GW

Nine offshore wind projects have submitted bids in Korea's 2026 H1 competitive auction, which closed on May 12. With a combined capacity of 3,625 MW competing for approximately 1,800 MW of announced volume, the average competition ratio of 2:1 marks the highest on record. With the government expected to continue lowering ceiling prices, this round is shaping up to be the most competitive in Korea's offshore wind auction history.

The 2026 H1 round is the first auction to be dedicated entirely to offshore wind, with volume split across three tracks: approximately 1,000 MW fixed-bottom, 400 MW floating, and 400 MW public-led. All three tracks received bid volumes exceeding the announced capacity, but final selections remain uncertain — projects may be excluded regardless of capacity if their proposal scores fall below qualitative thresholds. In the 2025 H1 round, for reference, 844 MW of fixed-bottom bids were rejected against a 750 MW target due to non-price evaluation failure — a "cutoff" mechanism that has since been abolished in 2026 H1.

The Korea Energy Agency (KEA) is expected to notify individual results in June.

Fixed-Bottom: Who Wins Among the Four?

The four fixed-bottom projects compete for selection of up to three winners, depending on final evaluation rankings. Namhae Mijo Offshore Wind (formerly Yokji Offshore Wind, 384 MW) — which had been steadily preparing for bid participation — ultimately stepped back from this round, citing reduced grid connection distance and lowered ceiling prices as factors that made business viability difficult to secure.

Notably, Gulupdo Offshore Wind initially reviewed a Vestas 15 MW model but switched to a Doosan Enerbility 10 MW unit after careful deliberation. Industry observers view this as a strategic choice to maximize qualitative evaluation scores. "When applying the Doosan 10 MW model, the number of turbines to be installed increases — raising construction time and cost — but it provides flexibility in supply chain utilization including installation vessels, base ports, and substructures," a wind industry source explained. "Considering equipment prices, energy production, and supply chain integration holistically, the cost difference is not large, and the domestic equipment provides evaluation advantages. Since all participating companies in the Gulupdo project — C&I Leisure Industry, SK Eternix, and Daewoo E&C — are Korean, using domestic turbines also carries the symbolic weight of a fully localized project. A higher localization rate could make future project financing smoother."

Hanbit Offshore Wind's third bid attempt is also drawing attention. The most notable change this year is the designation of the turbine as a Unison 13.6 MW model. Last year, the same imported turbine was submitted with a plan for Unison to assemble and manufacture it, but the bid failed. "The difference from last year is that Unison has now received the license for the 13.6 MW model," a Unison representative said. "Going forward, we plan to handle KS certification, manufacturing, sales, installation, and maintenance under the Unison name." Industry watchers will closely monitor how this strategy is evaluated in the qualitative scoring.

Floating: Only One of Three Likely to Win

The floating track received three bids — Haewoori 2 (532 MW), Haewoori 3 (560 MW), and East Blue Power (375 MW) — for an announced volume of ~400 MW, yielding the round's highest competition ratio at 3.66:1. Given the limited announced capacity, only one of the three projects is expected to be selected.

The 2026 H1 ceiling price for floating is KRW 175.1/kWh — KRW 1.465/kWh lower than the inaugural 2024 floating auction. This makes aggressive price bidding strategically difficult, meaning qualitative evaluation scores will likely determine the winner.

All three projects plan to install Siemens Gamesa turbines, but with different supply chain configurations: the Haewoori projects will source from Doosan Enerbility's Changwon factory, while East Blue Power will use imported turbines.

Public-Led: Both Likely to Be Selected

The public-led track received only two bids — Jangbogo Offshore Wind (400 MW) and Geumodo Offshore Wind (160 MW) — against ~400 MW announced, resulting in the lowest competition ratio of the round at 1.4:1. Cheonsa-Eoi (99 MW) and Sinan-Eoi (99 MW), which had been expected to participate, were unable to secure the public equity stake required for public-led eligibility and will wait for the next opportunity. Korea Southern Power Company (KOSPO) was reportedly considering participation but postponed its bid pending more detailed business viability analysis.

Absent special circumstances, both Jangbogo and Geumodo are expected to be selected. Jangbogo has no need to chase a top-ranked score and is likely to bid close to the ceiling price. Geumodo, expected to receive strong qualitative scores due to its use of domestic turbines, similarly has little incentive to submit a low bid price.

Industry Outlook: Government Targets Met, but Execution Risk Remains

"With the ceiling price drop directly affecting business viability, many developers were expected to delay participation in the H1 round — but it appears that concerns about market uncertainty weighed even more heavily," a wind industry source commented. "The government has largely achieved its targets for competitive bid ratios and LCOE reduction. But how many of these projects will actually translate into construction and commissioning remains to be seen."

The source added: "From the Ministry of Climate, Environment and Energy's perspective, the price-competitive Chinese supply chain is a double-edged sword — combining LCOE benefits with national security and industrial ecosystem concerns. If a project using Chinese supply chain is selected, developers' bidding strategies for future rounds will undergo a 180-degree shift, and Korea's offshore wind market will enter an entirely new phase."

Source: Electric Power Journal | May 12, 2026

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