Aug. 29 (Bloomberg) -- Siemens AG has halted its work with Marine Current Turbines Ltd. on a tidal-power project in Wales.
Siemens, which bought Marine Current Turbines in 2012, will continue to review its strategy for deployment, it said in an e-mailed statement today without giving a reason for its decision.
“Our discussions with suppliers and other key stakeholders are ongoing on different opportunities,” the company said in the statement. “We continue to believe that tidal energy will play an important future role in delivering the U.K.’s low-carbon economy and creating long-term sustainable jobs.”
The news is a blow to the emerging tidal-stream energy industry that’s still struggling to scale up technologies to a commercial-scale. Bloomberg New Energy Finance earlier this month revised down its 2020 capacity forecast for the sector by 11 percent to 148 megawatts, saying development was taking longer than hoped and costing more than expected.
Marine Current Turbines has been regarded as one of the leaders in the development of turbines that harness tidal currents to generate electricity, having had an operational commercial-scale system in Wales running since 2008.
Despite being an emerging business, the industry has attracted the attention of large industrial companies. DCNS last year bought a majority stake in OpenHydro Group Ltd., Andritz Hydro GmbH owns more than half of Hammerfest Stroem SA and Alstom bought Tidal Generation Ltd. from Rolls-Royce Plc.
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