wind energy's future and the impact on u.s. manufacturing
DESCRIPTION
Wind Energy's Future and the Impact on U.S. Manufacturing presentation at Ports-to-Plains Alliance Energy Conference in Washington DC on April 26, 2013.TRANSCRIPT
Outlook for Wind industry Manufacturing Jobs in Wind industry Policy recommendations (non-PTC)
Electrical Generation Sources Shifting in U.S.
47%Coal
25%Coal
24%Natural
Gas
35%Natural
Gas
2% Renewables 12% Renewables
19% Nukes
20% Nukes
6% Hydro
6%Hydro
2010 2030
Source: U.S. Energy Information Association
Natural Gas Relative to Wind Power(Wind installs increase when Natural Gas Prices Increase)
0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
$0.00
$2.00
$4.00
$6.00
$8.00
$10.00
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
2013
2014
2015
2016
$6.50
Sources: U.S. Energy Information AssocAmerican Wind Energy AssocMAKE Consulting
Natural GasPrice per dekatherm
Wind installations will increase
when N Gas prices rise
5-MW Turbines for Offshore Wind
taller than Washington Monument1.5-MW
Wind TurbinepredominantLand-Based
size
26-stories
Increasing Size – Logistics More Difficult & Costly
80 meters
250 meters
200 meters
100 meters
Wind Turbines parts are also becoming huge
China & Asia$600,000 Tower
Germany & China$290,000 Gearbox
Italy & Europe$90,000 Pitch & Yaw Drives
Germany & Europe$290,000 Gen & Electronics
Wind Turbine = 60% Imported
U.S. Capacity vs. Demand
Vela Team – Setup Brevini Wind ConfidentialVertraulich
Gear Market – Size vs. Quality
6
8
10
14
Qua
lity
(AG
MA
Leve
l)
4
Rail
Auto
Aerospace
Off HwyTrucks
Vela’s niche
Defense
Large sizeHigh Quality
Gears
Wind Energy
Oil & Gas
PowerGen
6” 30” 60” 90”Gear Part Size
(Diameter in Inches)
MiningMining
Vela Team – Setup Broadwind Facility in Chicago
Vela Team – Setup Broadwind Facility in Chicago
U.S. Turbine Fleet Aging – Maintenance Increasing
0
500
1,000
1,500
2,000
2,500
3,0002008
2010
2012
2014
2016
2018
2020
5% Repairs after 5 years1% Repairs after 2 years
15% Repairs after 10 years
Total Repairs
Note: Currently 45,000 utility grade wind turbines installedin the U.S., by 2017 thousands will need gear repairs
Global Strategy – Regional Supply Chains
Eickhoff manfs gearboxes in Germany for export to U.S.
Nordex assembles turbines in Jonesboro Arkansas but desires domestic supply chain
Vela’s plans are to contract manufactureEickhoff gearboxes in the U.S. for Nordex,and repair all wind turbine drives for theU.S. market, by acquiring Brevini Wind USA
Global Strategy – Regional Supply Chains
Note: Nordex turbines use Eickhoff gearboxeswhich are imported from Germany at high cost,GE imports nearly $1 billion from China
6.4MW Test Bench
February 25, 2010
ConfidentialVertraulich
Note size
Strategic Central U.S. Location
West 31%
18,131 MW10,073 Turbines
East 10%
5,916 MW3,287 Turbines
Pittsburgh6 hrs (580km)
Midwest 60%
35,323 MW19,624 Turbines16 hrs (1,800km)
each dot represents a large U.S. Wind Farm
Strategic Central U.S. Location
6 hrs Pittsburgh16 hrs Vestas
16 hrs Mitsubishi
8 hrs Nordex
6 hrs Acciona
8 hrs GE
12 hrs Gamesa
Note: Distance to various customer locations,Eickhoff has a repair facility in Pittsburghbut without machine tools or test stand
