Camilla Hodgson<\/a><\/p>\n\nThe global wind sector will face a supply chain crunch this decade, as looming bottlenecks for key components and ships are set to squeeze the sector, an industry body has warned.<\/p>\n
The Global Wind Energy Council said \u201cspare capacity\u201d in wind energy manufacturing was \u201clikely to disappear by 2026\u201d.<\/p>\n
The squeeze will hit the US and Europe particularly hard as they both target an ambitious rollout of domestic renewable energy projects even as much of the wind industry\u2019s supply chain is concentrated in China, the group said.<\/p>\n
Companies were already feeling the crunch, with Singaporean shipping group Marco Polo warning of a \u201cbig vacuum\u201d of the large vessels required to install offshore turbines<\/p>\n
Growing demand for new wind projects meant that \u201cthis problem is now becoming more acute\u201d, said Sean Lee, chief executive of Marco Polo Marine Group.<\/p>\n
European wind turbine manufacturers including Vestas and Siemens Gamesa endured a bruising 2022, as a combination of rising input costs, supply chain constraints and the slow permitting process for new projects hit profits and caused delays.<\/p>\n
GWEC said 2022 had been the third best year for new wind capacity installations despite the tough conditions, and forecast that 2023 would be the year the world reached 1TW of total installed wind capacity.<\/p>\n
However, it warned that policymakers \u201cneed to act now to avoid a supply chain bottleneck stalling the deployment of wind energy from 2026\u201d. There was an \u201curgent need\u201d to increase investment in the global onshore and offshore wind sector supply chains, it added.<\/p>\n
Many companies were \u201cnot in a position to invest to the degree that they should be because they haven\u2019t made money for the last few years\u201d, said GWEC\u2019s chief executive Ben Backwell.<\/p>\n
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Attempts by European and US lawmakers to encourage a shift of manufacturing away from China, in key sectors including renewable energy, risked amplifying the shortages, GWEC warned.<\/p>\n
Shortages for key components such as wind turbine nacelles, which contain the gearbox, generator, and brake and blades, were likely to emerge, the report added.<\/p>\n
Europe\u2019s offshore turbine nacelle assembly capacity would \u201cno longer be able to support growth outside of Europe\u201d from 2026, and by 2030 it would need to double from current levels \u201cto meet European demand alone\u201d, GWEC said.<\/p>\n
China accounts for about 60 per cent of total onshore and offshore nacelle production. There are no offshore nacelle assembly facilities in North America, though companies including GE Renewable Energy and Vestas have recently announced US investment plans.<\/p>\n
SOURCE: ![\"\"](\"https:\/\/www.carilec.org\/wp-content\/uploads\/2023\/03\/FT-300x42.png\")
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