Siemens AG aims to grow revenue from solar equipment, wind turbines and other products designed to save energy to 40 billion euros ($55 billion) by 2014 as it jostles with General Electric Co. for market share.
Revenue from environmental products totaled about 28 billion euros in the fiscal year through September, the company said in a statement today. The company had previously targeted revenue of at least 25 billion euros by 2011.
Siemens’ renewable-energy unit generated the highest orders among the 14 divisions in the third quarter, and the company is predicting strong volume growth for both orders and sales in the final three months of the year. GE is investing about $10 billion in green technology by 2015 and has a revenue goal of $20 billion for 2010.
“We want to -- and we will -- increase our advantage over our most important competitors,” Management Board member Barbara Kux said in the statement.
Munich-based Siemens claims a leading position in technology for offshore wind farms, with more than 500 turbines installed, as well as solar thermal energy, advanced electricity grids, and water purification systems.
“Massive” investment in urban infrastructure, including smart grids, will help drive the market, as will the solar industry. Siemens in 2009 purchased Israel’s Solel Solar Systems for about $418 million, adding solar-thermal power plants and receivers that power turbines by generating steam.
“We anticipate that in the coming years our renewable portfolio being an extremely strong driver for Siemens,” Chief Executive Officer Peter Loescher said in an interview.