The JGC Japan Corporation and the Sumitomo Corporation have agreed to explore a potential collaboration in the floating offshore wind (FOW) power generation sector.

The partnership aims to reduce costs, enhance efficiency and achieve mass production of critical floater components by leveraging each company's strengths.

The exploration will focus on establishing a supply chain.

The two companies will examine collaboration based on floating foundation design, the development of manufacturing partners for floater components, order placement and management, and transportation to base ports for offshore wind power generation.

The goal is to create a robust supply chain to meet the increasing demand for FOW power generation, projected to grow significantly by 2050.

According to DNV [Det Norske Veritas, a Norway-based marine insurance organisation], the global FOW power generation capacity is expected to surge from 0.2 GW in 2022 to 269 GW by 2050. But the supply of floater components is not keeping pace with the demand for offshore turbines, hindering market expansion.

The JGC Group has established a department dedicated to offshore wind power generation, identifying it as a critical area for its "Energy Transition" and "Future Growth Engines" strategies in its long-term and mid-term management plans. The company is actively working to enter and expand in this sector.

Sumitomo Corporation, a significant player in offshore wind power investments, has stakes in companies that own heavy lift vessels, and operate and engineer equipment transport vessels. The corporation is also part of a consortium for a power generation project off Enoshima Island, and is considering utilising Oshima Shipbuilding's facilities and technology for floating structures.

Both the JGC Group and the Sumitomo Corporation Group stated that they are committed to exploring avenues to establish a supply chain in the offshore wind power generation field, contributing to a carbon-neutral society.