niigata offshore wind project delayed: tsmc's japan operations at risk?
tokyo, Tuesday, 3 June 2025.
a niigata offshore wind power project, involving mitsui & co. and osaka gas, faces construction delays. onshore facility construction is taking longer than expected. this pushes some work from april to october. the june 2029 operation start date remains. delays in renewable energy could impact energy supply for semiconductor manufacturing. tsmc’s japanese operations could be affected. this raises concerns about energy stability for the broader semiconductor industry. the ministry of economy, trade and industry plans to formulate introduction targets for floating offshore wind power by 2040.
Offshore Wind Project in Niigata Faces Delays
Construction of offshore wind power generation projects off the coast of Murakami and Tainai cities in Niigata Prefecture, Japan, undertaken by Mitsui & Co., Osaka Gas, and others, has been delayed due to longer-than-expected construction of onshore facilities for voltage transformation and power transmission. [1] Some construction scheduled to begin in April has been postponed to October, though the scheduled start of operations at the end of June 2029 remains unchanged. [1] This delay in renewable energy infrastructure development could impact the energy supply available for semiconductor manufacturing, potentially affecting TSMC’s operations in Japan and raising concerns about energy stability for the broader semiconductor industry. [1][2]
Renewable Energy Expansion in Japan
The revised Renewable Energy Sea Area Utilization Act, which allows the installation of offshore wind power facilities in the Exclusive Economic Zone (EEZ), was passed in the House of Representatives on June 3, 2025. [3] In February 2025, the government decided to increase the percentage of wind power in the 2040 fiscal year’s power source composition from the current 1% to approximately 4-8%. [3] The Ministry of Economy, Trade and Industry (METI) is planning to formulate introduction targets for floating offshore wind power by 2040. [3]