Vestas won the largest share of order capacity in Q2 — a record quarter for global wind turbine order intake.
4 September 2019 by Craig Richard
The Danish manufacturer secured turbine purchase agreements for 5,696MW in the second quarter, according to its own figures.
Vestas’ intake was the highest yet quarterly figure for a single OEM, while the global total order intake of 31GW was up 111% year on year, smashing the previous quarterly record of 17.8GW set in Q4 2019, according to Wood Mackenzie.
Developers in China ordered more than 17GW in Q2 2019 — up 267% year on year.
The majority (71%) of this capacity was for projects in the north of the country, while more than 3GW of this total was for offshore developments.
Five developers ordered more than 1GW for Chinese wind farms in Q2, Wood Mackenzie noted.
The Chinese government plans to scale back or remove wind subsidies for new projects by the end of 2020.
Developers moving swiftly to claim expiring subsidies also drove activity in the US, where the production tax credit subsidy is being scaled back ahead of its eventual removal
Danish manufacturer Vestas won the largest share of global order capacity for a fifth consecutive quarter.
Wood Mackenzie’s director power and renewables research Luke Lewandowski said that diversity in the Chinese market – in which seven OEMS received orders for more than 1GW – prevented a dominant leader and allowed Vestas to retain the top spot.
The top ten OEMs for Q2 global order intake (above, left) was completed by Mingyang, Siemens Gamesa, Goldwind, GE, Sewind, Windey, Nordex, DEC and CSIC Haizhuang.
Wood Mackenzie recorded more than 9GW of orders rated 4.0-4.99MW in the second quarter, as order intake for the segment increased for the fifth consecutive quarter.
China, the US and Brazil accounted for 91% of orders in this ratings segment, while Vestas, Sewind, Mingyang, Goldwind and DEC each received more than 1GW of orders in this segment.
Turbine prices rose in several markets due to strong demand and the availability of larger, newer, more expensive models, Wood Mackenzie stated.
Prices rose due to strong demand in the US and China, for example, where developers rushed to beat subsidy expirations.
Brazil experienced the same trend rose as newer, more expensive models hit the market to satisfy demand for larger turbines.
In India, prices were recorded as remaining unchanged due to rising demand and currency devaluation cancelling each other out.
Lewandowski explained that developers had pushed back against aggressive price ceilings in auctions in Q2.
However, since July 2019, the US dollar had gained 4% in value against the Indian rupee, making Indian turbine prices lower when recorded in US dollars.