{"id":78863,"date":"2023-08-08T01:00:23","date_gmt":"2023-08-08T01:00:23","guid":{"rendered":"https:\/\/enterpriseam.com\/climate\/2023\/08\/08\/siemens-takes-less-of-a-hit-than-expected-on-faulty-wind-turbines-and-the-world-bank-funds-nigerias-solar-expansion\/"},"modified":"2023-08-08T01:00:23","modified_gmt":"2023-08-08T01:00:23","slug":"siemens-takes-less-of-a-hit-than-expected-on-faulty-wind-turbines-and-the-world-bank-funds-nigerias-solar-expansion","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/climate\/2023\/08\/08\/siemens-takes-less-of-a-hit-than-expected-on-faulty-wind-turbines-and-the-world-bank-funds-nigerias-solar-expansion\/","title":{"rendered":"Siemens takes less of a hit than expected on faulty wind turbines and the World Bank funds Nigeria\u2019s solar expansion"},"content":{"rendered":"

A massive setback for Siemens Energy:<\/strong> Technical faults<\/a> at Siemens Energy\u2019s wind turbine unit will cost it EUR 2.2 bn (c. USD 2.4 bn), its 3Q results (pdf)<\/a> showed on Monday. The setback has hit the energy giant\u2019s subsidiary Siemens Gamesa, bringing its net losses this year to EUR 4.5 bn. It also slashed its sales outlook and issued a new lower profit outlook due to technical issues<\/a> in onshore wind turbine components and ramp-up issues for offshore production.<\/p>\n

It\u2019s not as bad as predicted:<\/strong> Yesterday\u2019s cost tally remains below worst-case estimates of over EUR 5 bn issued by UBS, according to Reuters<\/a>. \u201cWhile the results are negative, they are not as bad as feared by some investors,\u201d Reuters quoted JP Morgan analysts as saying. They said an additional EUR 700 million euro writedown on deferred tax assets could help the group \u201cclear the decks.\u201d<\/p>\n

REMEMBER- <\/strong>Gamesa is a major player in Egypt\u2019s wind energy sector and is involved in the 500 MW Gulf of Suez wind farm<\/a> \u2014 formerly known as the Ras Gharib wind plant<\/a> \u2014 the 250 MW West Bakr wind farm<\/a>, and the 220 MW Gabal El Zeit 2 wind project<\/a> in the Gulf of Suez.<\/p>\n

\n

A helping hand for Nigeria\u2019s mini solar grids:<\/strong> The World Bank plans to help finance the construction of 1k mini solar power grids in Nigeria under a partnership with the government and private sector, Reuters<\/a> reported earlier this week, citing statements by the Washington-based lender\u2019s President Ajay Banga. Nigeria \u2014 which is Africa\u2019s biggest economy \u2014 has an installed power generation capacity of 12.5 GW, but produces only a fraction of that, leaving mns of homes and businesses dependent on petrol and diesel generators. Banga said that nearly 150 mini grids partly funded by the lender had been built to provide power to communities without electricity. \u201cWe are putting another 300 in, but our ambition with the government is to go all the way to 1k. We\u2019re talking about hundreds of mns of USD that are being invested,\u201d he said, without providing a specific timeline for the construction of the new grids.<\/p>\n

OTHER STORIES WORTH KNOWING ABOUT THIS MORNING-<\/strong><\/p>\n