Korea's construction industry is accelerating technology development and securing project track records to capture the offshore wind power market, which has emerged as a promising new revenue stream. With the implementation of the Offshore Wind Special Law significantly reducing permit timelines and dramatically improving the investment environment, construction companies are transforming from mere builders into "energy developers" overseeing everything from project planning to operations.
According to industry sources on Tuesday, projects that had been stalled are gaining momentum following the enforcement of the Special Act on Promotion of Offshore Wind Power and Industry Development on December 26. Previously, private developers had to obtain dozens of permits from individual government ministries, often taking more than 10 years to break ground. However, the special law introduces a government-led "one-stop" support system expected to cut project timelines by three to four years. With the biggest obstacle—permit-related risks—now removed, construction companies previously held back by uncertainty are preparing strategic expansions.
Hyundai Engineering & Construction is moving most aggressively. The company plans to break ground in the second quarter on the Sinan Ui Offshore Wind project, for which it signed a construction contract worth 824.5 billion won ($606 million) late last year. The 390-megawatt Sinan Ui project will see Hyundai E&C handle engineering, procurement, and construction (EPC) for foundation structures, submarine cables, and offshore substations, building on experience from the Southwest Sea offshore wind demonstration complex and Jeju Hallim offshore wind farm. Through this, the company aims to establish itself as an operator spanning the entire offshore wind value chain—from project planning and financing to operations management. Hyundai E&C also plans to break ground on the Wando Geumil project next year.
Hoban Industrial, an affiliate of Hoban Group, is focusing on grid connection work including submarine cable installation at the Yeonggwang Nakwol offshore wind farm, targeting completion within the year. Hoban Industrial plans to actively participate in future bids by leveraging synergies with group companies such as Taihan Cable, which has strengths in submarine cables.
