Wind is big business. Earlier this month, Siemens won a €1.5bn contract for a Dutch offshore wind park that will also give Europe's largest engineering company its biggest-ever energy service contract.
The order for the Gemini wind park, 85 kilometers offshore from Groningen, Netherlands, comprises 150 wind turbines with a capacity of four megawatts apiece, the Munich-based company said.
"We have considerably improved our service approach for this wind park," said Markus Tacke, the head of the wind-power division at Siemens. The provision of equipment accounted for about half of the contract's value, he said.
Siemens has tempered its willingness to bid for big-ticket work since Joe Kaeser became chief executive officer in August. Delays to projects connecting windfarms to the grid have led to charges topping €1.1bn since 2011, prompting Mr Kaeser to promise investors the company would be more circumspect in future contract tenders.
The company signed a power transmission contract last month with TenneT Holding under more lenient conditions, intended to avoid a repeat of such charges, which have also burdened earnings at Zurich-based competitor ABB.
Siemens is also building a £160m wind turbine factory in northern England to improve its ability to serve the North Sea offshore wind market. Britain's 3,689 megawatts of installed offshore wind capacity represent more than half of the 6,930-megawatts global total, according to Bloomberg New Energy Finance. To read the full article please click here