Spain's Acciona Commits to Major Wind and Renewable Energy Projects

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Researched by Industrial Info Resources (Sugar Land, Texas). The wind energy power generation sector in Europe is continuing to grow in capacity to levels which may have seen like promotional hype three or four years ago. The EWEA (European Wind Energy Association) reported that 2005 showed a cumulative power capacity increase of 18% to a total of 40,504 megawatts, which was up from 34,372 megawatts at the end of 2004. The European Union had 6,183 megawatts installed in 2005 supporting a wind turbine manufacturing turnover of $7.7 billion and has surpassed the region’s targets set for 2010.

Germany is still the leading country in the application of wind with over 17,000 megawatts installed capacity and targeting an increase to 36,000 megawatts in 2015 (14% of total national electrical power consumption) and a possible 48,000 megawatts in 2020. With the international market for wind energy growing by 40% in 2005, the German wind industry had a turnover of $13.44 billion in the year and 38% of that came from the domestic market. Exports generated 71% of the profit of $5.07 billion, which points to an annual increase of 59%.

Spain is setting a strong pace with new installation projects and a total installed capacity of 10,028 megawatts in 2005. In the eastern Valencia region, development rights have been awarded by the regional government for windfarms with a total capacity of over 2,100 megawatts. Valencia has lagged behind Aragon, Castilla La Mancha, and Galicia that currently contain a combined total of 56% of Spanish wind generation power.

Acciona Energia (Madrid:ANA) associate companies Renomar (Valencia) and Drives Energy (Madrid), a renewable energy infrastructure company, have signed an agreement with nine banking groups for $1 billion in loan financing for a program of wind projects. When complete, 21 windfarms will have a total capacity of over 750 megawatts. Renomar, owned 50% by Acciona Energia, with Iberdrola (OTC:IBDRF) (Madrid) and Banca Valencia holding the balance, has already completed three of the projects. Four other groups are working on the regional projects.

In another renewable initiative, signed on the same day at the end of July as the windfarm finance agreement, IT Drives signed a collaboration agreement with the Community of Madrid to develop renewable energies covering thermal and photovoltaic (pv) solar energy-fed power generation, biomass, biocombustibles and hydrogen, and an evaluation of the power generation potential of urban and industrial solid waste. The company will also analyze the viability of a biodiesel plant using suitable locally produced feeds and a hydrogen plant using an electrolytic process with a renewable energy feed

The Madrid plan for renewable energies 2005-2010 parallels the power plan for the community of Madrid 2004–2012. The plan requires IT Drives to install pv solar power facilities in 100 teaching institutions and thermal solar power in 50 senior citizen homes plus solar power in a minimum of 50 commercial buildings.

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