The main reason for this change is the further increase in the number of wind power project postponements, which is due in particular to financing commitments still pending. In light of the weak wind energy market development, it has only been possible to offset these postponed wind farm projects with adequate replacement orders to a limited extent in the current financial year.
Andreas Nauen, CEO of REpower Systems AG, emphasized, “Primarily this is due to wind farm projects being postponed – wind farms are being realized later than originally planned. In line with market forecasts, for our company and for the whole wind energy industry we expect further growth in the medium to long term and thereby an increasing demand for REpower onshore and offshore wind turbines.”
In response to the price and margin pressure, the Executive Board has already initiated extensive cost reduction measures in order to achieve a sustainable improvement in the competitiveness of REpower.
In particular, this includes leveraging cost benefits to a greater extent by purchasing components in Asia, especially in China and India. The first phase of this development will largely focus on established suppliers with corresponding local production sites. From 2011 on, the company is also planning to manufacture wind turbines in Asia. The wind turbines manufactured there are planned to be supplied to Australia, New Zealand and the USA.