Siemens Gamesa, the renowned division of Siemens Energy specializing in wind turbines, has suffered a significant setback. Recent data revealed higher-than-expected failure rates of wind turbine components, causing concern for the company and its investors.
“The outcome of the current review is much worse than expected. The quality problems are beyond what we initially knew, especially in onshore turbines. We are actively addressing this issue, but it will take time and there will be costs. It is really discouraging for all of us.” – said Jochen Eickholt, CEO of Siemens Gamesa.
Concerns are mainly in the Spanish division, where quality defects have been identified in onshore turbines, affecting blades, rotors and other components. Corrective actions include fixing small cracks, replacing bearings and other necessary measures. Although older turbine models are also affected, no specific details have been released.
According to Reuters, out of more than 132 GW of installed capacity, Siemens Gamesa has turbine-related problems in an estimated 15 to 30 percent. In response to this crisis, the company has withdrawn its annual earnings estimates and warned shareholders that more than $1.1 billion may be needed to correct the situation. As a result, the company’s shares plummeted 37 percent in Frankfurt.
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About: BaxEnergy is an Italian software house specialized in the development of innovative software solutions for the monitoring and control of critical infrastructures worldwide. We interconnect thousands of power plants around the world, optimizing data and operations of over 110GW of energy from renewable sources.