JERA Aims "Zero CO2 Emissions" with Acquisition of Parkwind, Belgium's Leading Offshore Wind Power Company

Outstanding Qualities of Parkwind People

What kind of company is Parkwind?

Nathalie Oosterlinck: Parkwind is an offshore wind power company established in 2012 in Leuven, Belgium, which currently operates four offshore wind power projects in Belgium (total capacity: 771 MW, net capacity: 420 MW) and 257 MW in Germany (net capacity: 180 MW). In addition, the company is involved in 4.5 GW (net capacity) of offshore power projects under development in Europe and around the world. It is Belgium's largest operator of offshore wind power.

Parkwind is a fast-growing company and has become Belgium's largest operator in the decade since its establishment. Why did the shareholders sell the company?

The shareholder, Virya Energy, is a holding company that owns several renewable energy companies, including Parkwind. The Colruyt Group, the shareholder of Virya Energy, is a family-owned retail corporation (listed on the Euronext Brussels Stock Exchange), and with demand for renewable energy growing rapidly in the wake of the Russian invasion of Ukraine in 2022, the Group had initiated an assessment of the best possible options to execute Parkwind’s ambitious growth plan and decided to conduct a competitive sale process.

On the flip side, what did JERA appreciate about Parkwind?

The essence of success in renewable energy and infrastructure development and operation lies in its people. We already have dedicated and capable teams at JERA and we are building a world-class organization. Parkwind has over 130 employees, including development engineers, project managers, and operations engineers. The team's strong project development capabilities, project delivery skills backed by risk management, power plant operational capabilities, and management track record are excellent. We are also impressed by the quality of the asset portfolio, development pipeline, and joint venture partners, as well as their communication skills in building good relationships with local stakeholders and municipalities. Parkwind's employees are truly a group of professionals, who are the very reason why Parkwind has been so successful over the last 10 years since its start.

Lastly and most importantly, there is a really good fit between JERA and Parkwind in terms of culture and business opportunities. We realized during the many interactions and negotiations with Parkwind that we share the same values and I believe that these shared values and business culture will be an important foundation for the future development and growth of our energy business and the realization of the environmental goals through it.

Achieve zero CO2 emissions by 2050 through complementary renewables and zero-emission thermal power

How will Parkwind benefit JERA?

Both companies can now pursue strong synergy and complementarity in a global market. When you compare the European and Japanese energy markets, Europe has recognized renewable energy, such as offshore wind power, as an important component of its energy portfolio and energy independence and is also building out wide-area power interconnection across Europe.
　What about Japan? Wind power (onshore and offshore) still accounts for only 0.7%¹ of its energy portfolio, however the potential is huge. Like the UK, Japan is surrounded by sea on all sides and has a very long coastline. It has no energy interconnections with other countries, and as a result, it is relatively dependent on imported energy. Harnessing local renewable production potential in Japan in combination with our existing activities and expanding our business globally are the key pillars of JERA’s growth ambition.
　The Government’s policy is to expand offshore wind power and in response to this, JERA will be able to introduce Parkwind's excellent knowledge to Japan, and we believe that other offshore wind power projects that JERA is working on will also benefit from Parkwind's support. JERA and Parkwind are a great combination for the future.

• 1 Japan's Energy White Paper 2021, Agency of Natural Resources and Energy

What makes the Parkwind acquisition successful?

That is a very good question. But it is a difficult question to answer at this point. However, there is no doubt that the most important and key drivers for success are continued "value creation and synergy”.
　JERA is the largest thermal power company in Japan, generating about 30% of Japan's electricity. In October 2020, JERA announced its “JERA Zero CO2 Emissions 2050” objective, under which it aims to achieve zero CO2 emissions from its business both in Japan and overseas by 2050 through complementary renewables and zero-emission thermal power plants. We are confident that the combined synergies with Parkwind and JERA's offshore wind power business will contribute enormously to realizing our "JERA Zero CO2 Emissions 2050" ambition.

Impressed by JERA’s "Ambition" to Realize Zero CO2 Emissions

You had been the CEO of other Belgian offshore wind power companies. What were your reasons for joining JERA?

First of all, I was impressed by the vision of the management and the company. I just touched on the "JERA Zero CO2 Emissions 2050" initiative, the unique approach of "complementary renewables and low carbon thermal power plants” and activities across the entire value chain make JERA unique. I found it truly interesting that a company would set such high aspirations and use them as its identity to become an energy player with a global presence. That is why I joined JERA. There is a lot of ambition at JERA, and it is great to be a part of that positive growth story.