A collaboration agreement to develop a project pipeline of up to 688 MW across Southeast Asia was signed between The Blue Circle, a Singapore-based renewable energy project developer, and global wind power giant Vestas Wind Systems in Singapore on September 17.
According to the five-year plan set out in the collaboration agreement, the two parties will have their initial focus on Thailand and then explore further wind power opportunities in Vietnam and Indonesia.
“This agreement shows Vestas commitment to help make wind power happen in Southeast Asia following the rest of the world six-fold increase of wind installed capacity during the last 10 years. We are thrilled by this Collaboration Agreement with the world’s leading wind turbine manufacturer which is going to bring its latest on-shore turbine technology for low wind speed sites to Southeast Asia with us,” says Olivier Duguet, Chairman and Chief Executive Officer of The Blue Circle Pte Ltd. “Having Armstrong Asset Management as shareholders, EREN Renewables as development partners and Vestas Wind Systems as preferred technology providers will build a strong ecosystem of world and Southeast Asia leaders for our teams in Singapore and across the region to build success upon.” adds Olivier Duguet.
“Vestas is honored to be chosen as preferred technology partner by The Blue Circle for their projects being developed in Thailand, Vietnam and Indonesia. We look forward to working with our partners in the coming years to unlock these wind power opportunities. We will support the development of this project pipeline in Southeast Asia making use of our global experience in delivering wind energy in 74 countries around the world and leveraging our strong technical expertise”, said Anders Runevad, Group Chief Executive Officer & President of Vestas Wind Systems A/S.
Out of 318 Gigawatts of world wind power installed capacity counted by the REN21* at the end of 2014, only 0.5 Gigawatt was installed in Southeast Asia, very far from the 92 Gigawatts installed in China or the 20 Gigawatts installed in India. However, several countries have issued positive regulation or tariffs for renewable energy and wind these past two years, notably Thailand, Indonesia, The Philippines and Vietnam. The cut in the ASEAN US$51b annual fossil fuel subsidies at the beginning of the year by major economies in the region (i.e. Indonesia, Malaysia and Thailand) is also going in the right direction and adding to the potential positive momentum behind renewable power.
As pointed by the International Energy Agency**, Southeast Asia energy demand, with its 600 million inhabitants, is expected to increase by 80% between today and 2035, a rise equivalent to the current demand of Japan. If its current emphasis on coal power is confirmed, Southeast Asia might become the world’s leading CO2 emitter by 2035, highlighting the urgent need to integrate more renewable power into the region energy mix.
About The Blue Circle
The Blue Circle is a developer of wind and solar energy projects in Southeast Asia. The Singapore based company looks to bridge the gap in project development in the region by bringing international project development experience, financial expertise and capabilities together with local market understanding. Its growth strategy is twofold: through the development of its own projects and through partnership with local developers. By being vertically integrated and having its own wind engineering team, The Blue Circle can identify green field sites, pursue project development milestones up until financing and operating of the generating assets. www.thebluecircle.sg
For further information, please contact:
The Blue Circle
Olivier Duguet Tel: +65 62594921
*Renewable Energy Policy Network for the 21st Century (REN21) report, Paris, 2015
**IEA Southeast Asia Energy Outlook report, Paris, 2013