Mood in German wind power industry darkens as US bets on fossil fuels
Handelsblatt / Clean Energy Wire
The business climate in Germany's wind industry has fallen to the lowest level in four years, reported business daily Handelsblatt. The biggest reason for the mood shift – captured in a survey by market research company Trendresearch and the WindEnergy trade fair in Hamburg – is likely due to US president Donald Trump’s announcement that he will rely more heavily on fossil fuels again, said Trendresearch CEO Dirk Briese. The mood in other world markets has similarly worsened, with the biggest dip in North America.
Six months ago, German wind companies had a consistently positive outlook on the market, mostly because the country had recently issued the most permits for new wind turbines in Europe, the paper reported.
Domestic politics is also a factor likely to influence industry sentiment, as the new German government called for a “reality” check on the energy transition, to better align the expansion of renewables with that of the grid, causing uncertainty among investors. “We are holding back on new projects for the time being because we don't know what consequences politicians will draw from this,” an industry representative told Handelsblatt.
The German wind industry had its strongest January-to-March period in terms of licences for new turbines this year. The CEO of Danish wind turbine manufacturer Vestas, the largest outside of China, said in April that the industry's long-term prospects remained solid, even in the US market.
