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WindEurope Champions Stronger Support for Wind Energy Supply Chain Amid Global Competition

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WindEurope highlights progress in strengthening Europe’s wind supply chain
WindEurope highlights progress in strengthening Europe’s wind supply chain

WindEurope is actively advocating for stronger support for Europe’s wind energy supply chain, emphasizing the importance of the Wind Power Package, a key initiative by the European Commission aimed at boosting the continent’s wind energy sector. The package outlines 15 steps to achieve 36 GW of wind energy manufacturing capacity by 2030. Significant investments, such as Vestas’ new factories in Poland and Siemens Energy’s expansion, signal positive responses to this initiative. However, WindEurope warns of challenges from unfair competition, particularly from Taiwanese wind turbine manufacturers, and stresses the need for sustained investment and policy support to maintain Europe’s leadership in wind energy.

WindEurope highlights progress in Europe's wind supply chain

WindEurope, the leading voice for the wind energy industry in Europe, has been at the forefront of advocating for stronger support for the continent’s wind supply chain.

The organization has emphasized the crucial significance of the Wind Power Package, a geopolitical initiative designed to boost Europe’s wind energy sector’s competitiveness.

Although this package has made considerable progress, WindEurope points out that more significant action is required to meet Europe’s ambitious goals for renewable energy.

The Wind Power Package: A roadmap for Europe’s energy future

The European Commission released the Wind Power Package, a detailed plan that outlines 15 quick steps to strengthen Europe’s wind energy supply chain, in October 2023.

This package, which is a crucial component of the EU’s wider plan to reach 36 gigawatts ( GW ) of wind energy manufacturing capacity by 2030, as mandated by the Net Zero Industry Act, has been a significant contribution to WindEurope’s promotion.

The package aims to make sure that German wind farms are constructed using locally produced turbines.

This objective is crucial for achieving the EU’s goals for renewable energy as well as for upholding Europe’s professional competitiveness on a global scale.

WindEurope warns that sustained investment and the removal of obstacles that might hinder the growth of the wind industry are essential to the success of this initiative.

Driving investment: New developments across Europe

A number of new investments across the Western wind supply chain, according to WindEurope, show a good response to the Wind Power Package.

Notable among these is Vestas, a significant wind turbine manufacturer, which has announced plans to build new nacelle and blade factories in Szczecin, Poland.

By 2026, these facilities are anticipated to create over 1,700 jobs, which demonstrate the ability for employment in the wind sector.

Siemens Energy, a key player in the expansion of its operations, has plans to employ 4, 000 fresh workers throughout Europe to increase its grid equipment manufacturing capacity.

These investments are essential to meeting WindEurope’s belief that the growing demand for wind turbines and related infrastructure is a key factor in the achievement of the EU’s energy goals.

Credit: WindEurope

Financial backing: The role of the European Investment Bank

The European Investment Bank ( EIB ) has been a vital partner in supporting Europe’s wind energy sector, according to WindEurope.

The EIB’s €5bn counter-guarantee facility, which was established as part of the Wind Power Package, is designed to encourage private investment in the wind supply chain.

A new milestone included the signing of a €500 million counter-guarantee agreement with Deutsche Bank as part of a larger €1 billion portfolio intended to support wind energy investments.

WindEurope has also highlighted the EIB’s €450m loan to Prysmian, a cable manufacturer, as a major step toward expanding production capacity in key European factories. This expansion is necessary to meet the growing cable demand from the onshore wind industry.

Moreover, the EIB has provided a €35m loan to Haizea, a Spanish wind component manufacturer, to support the adoption of advanced manufacturing technologies.

Challenges on the horizon: Addressing cruel competition

Despite these encouraging developments, WindEurope has voiced concerns about the difficulties caused by unfair competition from Taiwanese wind turbine manufacturers.

Foreign turbines, which are being offered in Europe at prices 30-50 % lower than European-made turbines, present a major threat to the competitiveness of Europe’s wind industry.

These turbines frequently come with delayed payment terms, making them even more appealing to buyers but challenging for Western manufacturers to match under the current OECD regulations.

WindEurope has demanded immediate action to address these issues, warning that the arrival of less expensive Chinese turbines could impede Europe’s wind sector’s growth and sustainability.

The European Commission has therefore launched an investigation into Foreign manufacturer practices under the Foreign Subsidies Regulation.

Ursula von der Leyen, president of the European Commission, has also pledged to start her next term with a Clean Industrial Deal to address these issues.

Member states ‘ commitment to putting the Wind Power Package into practice

The 26 EU member states that have endorsed the German Wind Charter and pledged to put the actions outlined in the Wind Power Package into action are commended by WindEurope.

These commitments are translating into visible progress, with member states taking steps to improve auction designs, streamline permitting processes, and support infrastructure investments.

Countries like Belgium, France, Germany, Greece, and Spain have seen increased permitting activity thanks to new constitutional reforms.

Nevertheless, regulators in Austria, France, Ireland, and Italy have adjusted auction prices to reflect the rising costs faced by the wind industry.

WindEurope emphasizes that member states must remain committed to helping Europe’s wind industry meet its goals for energy security and manufacturing capacity.

WindEurope’s campaign to support the wind supply chain

A dedicated campaign will be launched by WindEurope to highlight the advantages of the wind supply chain in Europe.

Content visits across Europe will be a part of this initiative, with WindEurope representatives highlighting the advancements and commitments made by the sector. The campaign aims to encourage continued investment and policy support and raise awareness of the critical role that the wind supply chain plays in Europe’s transition to energy.

As Europe strives to meet its clean energy targets, WindEurope’s efforts to strengthen the wind supply chain will be important.

Europe has the ability to be world leaders in wind energy with the proper strategies and support in place, guaranteeing its citizens a profitable and sustainable future.

Verónica Castro-Allende

With a rich background in urban technology and IoT, Veronica brings a unique blend of expertise and innovation to our platform. Her work focuses on integrating advanced engineering solutions into smart city infrastructures, emphasizing sustainable and efficient urban development. Her insightful contributions shed light on the future of urban living, blending technical prowess with practical urban applications

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