Vestas to Move Blades by Rail to Save Cash in SNCF Geodis Deal

Vestas Wind Systems A/S (VWS), the turbine manufacturer trying to slash 250 million euros ($317 million) from fixed costs, is pioneering the transportation of blades by rail to cut transit costs.

The windmill maker worked with logistics company SNCF Geodis to move nine 55-meter (180-feet) blades by rail from its factory in Lauchhammer, Germany, to the port of Esbjerg, Denmark, where they are due to arrive today, the company said in an e-mailed statement. The Danish company said it expects to cut transport costs by 10 percent to 15 percent compared with moving the gear by road.

It takes one locomotive 20 hours to transport nine blades, compared with 36 hours required by nine trucks and 18 pilot cars to complete the same task, Aarhus-based Vestas said.

To contact the reporter on this story: Alex Morales in London at amorales2@bloomberg.net

To contact the editor responsible for this story: Reed Landberg at landberg@bloomberg.net

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