GE-Wind overtakes Vestas as world leader in wind energy

Make put Siemens on 10.8 percent of the market, while BTM said the German conglomerate took 9.5 percent of sales.

Make put Spain’s Gamesa Corp. (GAM) Tecnologica SA in fourth place at 8.2 percent, and Germany’s Enercon GmbH in fifth with 7.8 percent. India’s Suzlon Energy Ltd. (SUEL) was sixth at 6.5 percent, while the top 10 was rounded out by four Chinese companies: Xinjiang Goldwind Science & Technology Co., Guodian United Power Technology Co., Sinovel Wind Group (601558) Co. and Guangdong Mingyang Wind Power Industry Group Co.

In BTM’s ranking, Enercon was fourth, Suzlon fifth and Gamesa was sixth, with the four Chinese manufacturers occupying the same positions as in Make’s survey.

In 2012, GE shipped 5,000 wind turbines, double that of the previous two years. This year, however, it only plans to ship 3000, reflecting the drop in the world market that’s affecting the industry.

Two research firms have released different takes on the wind turbine original equipment manufacturer (OEM) market, with MAKE Consulting placing Vestas at No. 1 in 2012 and Navigant Research assigning the top spot to GE.

According to MAKE Consulting, the top 10 turbine suppliers of 2012 were as follows:

1. Vestas

2. GE

3. Siemens

4. Gamesa

5. Enercon

6. Suzlon Group

7. Goldwind

8. United Power

9. Sinovel

10. Mingyang

MAKE Consulting says the No. 1 spot “went down to the wire,” but Vestas ultimately pulled ahead of GE by a narrow 0.9% margin: Vestas held 14.6% of the global market, and GE held 13.7%. If all of GE’s 2012 Brazil-based projects had been grid-connected, however, the firm says the OEM would have beat out Vestas.

Navigant Research’s top 10 list, meanwhile, includes the same big-name companies but gives the lead to GE, with GE holding 15.5% of the global market and Vestas holding 14%. (Other deviations from MAKE’s list include ranking Enercon, Suzlon and Gamesa fourth, fifth and sixth, respectively.)

Navigant says GE’s progress can be attributed to a rush to take advantage of the U.S.’ production tax credit, and MAKE adds that GE’s strong growth in emerging EMEA markets was also essential.

Regardless, both research firms seem to agree that Vestas still reigns as one of the largest OEMs and that 2012 was a huge year for GE.

Both reports also say that Chinese market leaders Goldwind and Sinovel slid down the rankings in 2012. According to Navigant, Sinovel “continues to drop in the rankings, narrowly maintaining its position in the top 10.” Perhaps most notable, though, is that Goldwind dropped on both lists from second place in 2011 to seventh place last year.

In part, MAKE says the declines are due to a 26% decrease in Chinese installations, while Navigant says “transmission bottlenecks and manufacturing overcapacity” in the Chinese OEMs’ home markets are to blame.

Both reports use the word “strong” when describing Siemens’ 2012 growth, landing the OEM its third-place ranking. Navigant says Siemens did well in both the U.S. and offshore markets. Regarding Gamesa’s ranking, MAKE notes that the OEM’s performance in the Americas and the Asia-Pacific region compensated for a lower installation volume in the EMEA market.

Although Make Consulting still gives Vestas an edge with a 14.6% market share compared to GE’s 13.7%, BTM Consulting contends Vestas holds a 14% market share, supplanted by GE’s 15.5%. Either way, Vestas is close to losing its lead, if it hasn’t already.

Vestas supplied 14 percent of the world wind power market last year for wind turbines and other parts, topped by GE-Wind, which bolted to a 15.5 percent market share.

Vestas had been the world market-share leader since 2000, Navigant reported.

GE Wind benefited from the year-end rush to take advantage of production tax credits in the U.S., which were set to expire.

Congress wound up extending the wind tax break for another year, but uncertainty prompted wind developers to speed construction of new projects last year.

The feared expiration of the tax break brought a banner year to Oregon’s wind power industry in 2012, for new installations. While layoffs mounted at Vestas and Iberdrola, a wind power operator that also maintains its North American headquarters in Portland, new wind developments bloomed.

Oregon became the nation’s fourth-leading state for wind power deployment by year’s end, in part because of completion of the Shepherd Flats project, the nation’s second-largest wind farm.

The United States recaptured its place as the world’s largest market for new wind power installations in 2012, topping China. Last year, there were 13,124 megawatts of new wind power installed in the U.S. That brought an 18.6 percent increase in the supply of wind power worldwide.

Both studies agree that Siemens holds third place with 10.8% of the market, according to Make, and 9.5% according to BTM. It rose from 9th place in 2011.

Next comes Spain’s Gamesa with 8.2%, followed by Germany’s Enercon (7.8%), India’s Suzlon (6.5%); Goldwind; Guodian United Power; Sinovel Wind and Guangdong Mingyang Wind Power.

Navigant forecasts that total wind power development will fall 10 prcent this year compared to 2012.

The research group calculates that wind power will account for 2.6 percent of the world’s electricity this year, but will grow to 4.9 percent in four years.

For more information: www.navigantresearch.com/research/world-market-update-2012.