Clean Power

Published on May 9th, 2008 | by Timothy B. Hurst

7

A Big Week for Vestas Wind Systems

May 9th, 2008 by  

vestas wind systems, wind turbine industryDenmark-based Vestas Wind Systems (VWS:DC) had a big week. First, the world’s largest wind turbine manufacturer announced that they would be building a tower manufacturing plant in Colorado. Second, Vestas reported a 94 percent jump in earnings in the first quarter of 2008, as compared to the same period last year.

Although they have yet to disclose the location of the new tower manufacturing facility, it would be situated to complement the company’s fist North American blade manufacturing plant, which recently opened its doors in Windsor, Colorado.

For the tower plant, the company will need a large parcel of land that is ideally served by freight rail, a combination that Northern Colorado can provide at several locations, including the Windsor location.

Healthy Profit Margins Hide Industry Bottlenecks

In the second piece of big news for the Vestas, the company reported very strong earnings on Thursday – the kind of earnings that emphasize the wind energy industry’s resilience to the slumping economy. Net income for Vestas rose 94 percent to 33 million euros ($56 million) from 17 million euros a year earlier. The company was expected to earn 35.5 million euros, according to the median estimate in a Bloomberg survey of five analysts.

Despite the strong growth in the wind energy business worldwide, the overall demand pressure on the industry persists. According to Bloomberg, there are still long lead times for a number of key components that can last as long as 15 months. Of particular concern to turbine manufacturers is a global increase in demand for carbon-fiber, the graphite composite material that moderns turbines blade use because of their light weight, and high tensile strength.

With that said, it seems that it will be a few years before supply will match demand. Even as new manufacturers pop up around the globe, they are being outpaced by the increases in global demand for clean, renewable energy.

Follow Tim Hurst on twitter

Photo: Vestas Wind Systems


Check out our new 93-page EV report.

Join us for an upcoming Cleantech Revolution Tour conference!

Tags: , , , , , ,


About the Author

is the founder of ecopolitology and the executive editor at LiveOAK Media, a media network about the politics of energy and the environment, green business, cleantech, and green living. When not reading, writing, thinking or talking about environmental politics with anyone who will listen, Tim spends his time skiing in Colorado's high country, hiking with his dog, and getting dirty in his vegetable garden.



  • Vestas has really taken the lead in worldwide wind turbine manufacturing. I hope they continue to show that wind energy can be a viable option for our energy needs.

  • Vestas has really taken the lead in worldwide wind turbine manufacturing. I hope they continue to show that wind energy can be a viable option for our energy needs.

  • Pingback: Could Wind help Save Water? : CleanTechnica()

  • Uncle B

    At last! someone comes to the rescue of an energy starved America. Thank you Denmark for showing us the way!

  • Uncle B

    At last! someone comes to the rescue of an energy starved America. Thank you Denmark for showing us the way!

  • Lishster

    Excellent. Now how do we reduce (not just compensate for) how much oil we use?

  • Lishster

    Excellent. Now how do we reduce (not just compensate for) how much oil we use?

Back to Top ↑