Is crisis at Siemens Energy symptom of a wider wind power problem?
(The Guardian, 27 Oct 2023) Rising construction and financing costs are likely to require fresh policies from the UK and US.
One of the world’s biggest wind turbine makers has reignited concerns over the headwinds facing the industry after losing billions in market value this week.
Shares in Siemens Energy, the owner of the turbine manufacturer Siemens Gamesa, plummeted after it emerged that the company was in rescue talkswith the German government to secure €15bn of guarantees to shore up its balance sheet. The company expects heavy losses this year after faults were discovered in its newest turbine models.
Claudia Kemfert, an energy expert at the German Institute of Economic Research in Berlin, said that while Siemens’ wind power woes were “tragic” they were not emblematic of the wind industry, which was in good shape overall.
“Wind power is literally on the rise globally,” Kemfert said. “The problems at Siemens Gamesa are homemade. The group must get a grip on quality problems. The fact that this has not been done to a sufficient degree to date is astonishing and must be changed.”