Suzlon Energy Secures $100 Million Wind Turbines Order for 100-Megawatt Project in Inner Mongolia

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Researched by Industrial Info Resources (Sugar Land, Texas)--Suzlon Energy Tianjin Limited (SETL) (Tianjin, China), the wholly owned local subsidiary of wind energy solutions provider Suzlon Energy Limited (BSE:532667) (Pune, Maharashtra), recently signed an agreement with Inner Mongolia North Longyuan Wind Power Corporation (IMNLWPC) (Inner Mongolia, China) to supply 80 wind turbines for the latter's 100-megawatt (MW) power project in Hohhot. While the financial details of the contract are yet to be disclosed, industry reports peg the value of the order in excess of $100 million.

SETL will supply 80 units of its S64 series of wind turbines, which have a power generation capacity of 1.25 MW each. Delivery of the turbines will be carried out in two stages. The first set of 40 units will be delivered in 2010, and the second set will arrive in 2011. Suzlon's manufacturing facility in Tianjin not only produces wind turbines, but also executes the integration of wind-turbine generators and other components, including control panels, rotor blades and nacelles. The facility has an annual production capacity of 600 MW and is equipped with a dedicated state-of-the-art design center.

IMNLWPC is a joint initiative by China's leading wind power developer, Longyuan Power Corporation (Beijing), and North Union Power Company (Beijing). The firm's wind power project will be located in Hohhot, the capital city of the Inner Mongolia Autonomous Region. The project will be developed with financial assistance from the World Bank.

The Hohhot project will be developed in proximity to another wind power plant that has been operated by Suzlon since 2007. The power plant runs on 32 units of S64 wind turbines with a power generation capacity of 1.25 MW each. Inner Mongolia's mountainous and rugged terrain, with an annual average temperature of minus 2 degrees Celsius, has some of the world's fastest winds. IMNLWPC selected SETL on the basis of proven experience in developing wind turbine generators suitable for extreme climates and the company's capability to install and commission wind power plants in harsh weather conditions.

Located in the northern region of China, the Inner Mongolia Autonomous region is also rich in natural resources such as coal, rare earth minerals and natural gas. The region is estimated to have a wind power potential of more than 100,000 MW and has plans to generate more than 6,000 MW of wind power by 2020. The Chinese government has approved a proposal to develop 22 wind farms across 1,800 square kilometers of land in the Kerqin Zuoyi Zhongqi Region. Wind power parks have also been planned in Hutengliang, Zhouzi and Bailingmiao in the Inner Mongolia Autonomous Region. This is in line with China's target to become the world leader in wind-power generation by 2020. China aims to develop 30 large wind power projects with a capacity of 100 MW each by 2010 in Inner Mongolia, the Hebei province and the country's eastern coast.

Suzlon Energy Limited, the world's fifth largest wind energy company, recently signed a deal with Australia's leading energy utilities firm AGL Energy Limited (ASX:AGK) (St. Leonards, New South Wales) to deliver 54 units of the S88 series of wind turbines with a power generation capacity of 2.1 MW each. The order is the third awarded by AGL Energy to Suzlon. The first order consisted of 45 units of S88 2.1-MW turbines supplied to the 94.5-MW Hallette-I project, while 34 units were supplied for the 71.4-MW Hallette-II project. The two wind power plants are located in southern Australia. Hallette-I is commercially operational, while construction of Phase II of the project is currently under way. AGL Energy presently supplies power and natural gas to more than 3.4 million households in Australia.

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