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Wind Turbine Prices Aren't Recovering, New Energy Finance Says
2010-08-04 12:29:25.169 GMT
By Alex Morales
Aug. 4 (Bloomberg) -- Wind turbine prices remain about 15
percent below their peak in 2008 and show little sign of
recovering over the next three years, a survey by Bloomberg New
Energy Finance found.
Wind farm builders are paying turbine makers an average of
1.04 million euros ($1.37 million) a megawatt of capacity for
delivery by the middle of next year, the London-based analysis
company said today in an e-mailed statement. That's down from a
peak of 1.22 million euros for contracts in 2008 for 2009
delivery.
"Expectations for turbine prices have never been so low,"
said William Young, manager of Energy Finance's Wind Insight
Service. "The current market oversupply will continue for quite
a while longer. That may not be great for wind turbine
manufacturers, but the good news for the sector is that it will
improve the competitiveness of wind with gas, coal and
nuclear."
Turbine markers such as Denmark's Vestas Wind Systems A/S
and Gamesa Corporacion Tecnologica SA have struggled with sales
as financing for developers dried up during the financial
crisis. Turbine prices are also little changed from deliveries
in the first half of this year and the main turbine buyers don't
expect prices to begin increasing until 2013, New Energy said,
without naming the companies.
New Energy Finance's Wind Turbine Price Index, published
twice a year, is based on a survey of confidential data provided
by 22 turbine buyers. Today's survey covers 110 contracts, or
about a quarter of the market, the company said.
New Energy Finance is a unit of Bloomberg LP, the parent of
Bloomberg News.
For Related News and Information:
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--Editors: Jonas Bergman, Reed Landberg
To contact the reporter on this story:
Alex Morales in London at +44-20-7330-7718 or
amorales2@bloomberg.net.
To contact the editor responsible for this story:
Reed Landberg at +44-20-7330-7862 or landberg@bloomberg.net
