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.
3. Outlook for Wind industry
Manufacturing Jobs in Wind industry
Policy recommendations (non-PTC)
4. 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
5. 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 Assoc
American Wind Energy Assoc
MAKE Consulting
Natural Gas
Price per dekatherm
Wind installations
will increase
when N Gas prices rise
6.
7.
8.
9.
10.
11.
12. 5-MW Turbines
for Offshore Wind
taller than
Washington
Monument1.5-MW
Wind Turbine
predominant
Land-Based
size
26-stories
Increasing Size – Logistics More Difficult & Costly
80 meters
250 meters
200 meters
100 meters
27. Vela Team – Setup Brevini Wind Confidential
Vertraulich
28. Gear Market – Size vs. Quality
6
8
10
14
Quality
(AGMALevel)
4
Rail
Auto
Aerospace
Off Hwy
Trucks
Vela’s
niche
Defense
Large size
High Quality
Gears
Wind
Energy
Oil & Gas
Power
Gen
6” 30” 60” 90”
Gear Part Size
(Diameter in Inches)
MiningMining
29.
30. Vela Team – Setup Broadwind Facility in Chicago
31. Vela Team – Setup Broadwind Facility in Chicago
32. U.S. Turbine Fleet Aging – Maintenance Increasing
0
500
1,000
1,500
2,000
2,500
3,000
2008
2010
2012
2014
2016
2018
2020
5% Repairs after 5 years
1% Repairs after 2 years
15% Repairs after 10 years
Total Repairs
Note: Currently 45,000 utility grade wind turbines installed
in the U.S., by 2017 thousands will need gear repairs
33. 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 manufacture
Eickhoff gearboxes in the U.S. for Nordex,
and repair all wind turbine drives for the
U.S. market, by acquiring Brevini Wind USA
34. Global Strategy – Regional Supply Chains
Note: Nordex turbines use Eickhoff gearboxes
which are imported from Germany at high cost,
GE imports nearly $1 billion from China
36. Strategic Central U.S. Location
West 31%
18,131 MW
10,073 Turbines
East 10%
5,916 MW
3,287 Turbines
Pittsburgh
6 hrs (580km)
Midwest 60%
35,323 MW
19,624 Turbines16 hrs (1,800km)
each dot represents a
large U.S. Wind Farm
37. Strategic Central U.S. Location
6 hrs Pittsburgh
16 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 Pittsburgh
but without machine tools or test stand