Siemens China Venture Eyes 30% of Offshore Wind Market by 2015

Shanghai Electric Wind Energy Co., a Chinese joint venture of Siemens AG (SIE), plans to capture about 30 percent of China’s offshore wind market by 2015, according to Chief Executive Officer Jin Xiaolong.

Jin expects China, the world’s biggest wind power market, to install 2.5 gigawatts to 3 gigawatts of projects in coastal waters by 2015, he said in an interview in Shanghai yesterday.

The focus on offshore projects comes as China’s turbine makers see profits decline from onshore installations, which fell 18 percent to 15.9 gigawatts last year compared to 2011, according to Bloomberg New Energy Finance data.

Siemens and Shanghai Electric Group Co. agreed to set up their venture in 2011. Rivals include Xinjiang Goldwind Science & Technology Co. (2208) and Sinovel Wind Group (601558) Co.

China has to date approved 3.95 gigawatts of offshore wind farms, Yi Yuechun, deputy chief engineer at the state-owned China Renewable Energy Engineering Institute, said at a conference in Shanghai yesterday. The country had 366 megawatts of installed offshore wind capacity as of the end of 2012, Yi said. The government had announced a target of 5 gigawatts of installed capacity by 2015.

Shanghai Electric expects to sell 75 sets of its main model for offshore projects, 4-megawatt turbines, next year and double that in 2015, Jin said. The company also plans to roll out a 6-megawatt offshore wind-turbine prototype in 2014, he said.

To contact the reporter on this story: Feifei Shen in Beijing at fshen11@bloomberg.net

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

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