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Suzlon : Headwinds - Retrofitting blades will hurt the firm's profits
March 4, 2008 by Shobhana Subramanian & Amriteshwar Mathur in Business Standard
March 4, 2008 by Shobhana Subramanian & Amriteshwar Mathur in Business Standard
The world's fifth largest wind turbine manufacturer is in a bit of a spot. The Rs 7,985 crore Suzlon Energy will have to incur a cost of Rs 100 crore for retrofitting blades. Essentially, about 1251 blades will need to be structurally reinforced and the firm may need to spend additionally on higher warranty provisions and increased raw material costs.
Moreover, there could be a slippage in volumes, later on, due to delays in execution. All this, say analysts, could shave off anywhere between 14-17 per cent from the company's earnings between FY08-10.
Also filed under [
Technology]
Greenpeace is deliberately misleading the public into thinking that wind and solar energy, both of which are inherently intermittent and unreliable, can replace baseload power that is continuous and reliable. Only three technologies can produce large amounts of baseload power: fossil fuels, hydroelectric plants and nuclear power. Given that we want to reduce fossil fuels and that potential hydroelectric sites are becoming scarce, nuclear power is the main option. But Greenpeace and its allies remain in denial despite the fact that many independent environmentalists and now the IPCC see the situation clearly.
Over the past 10 years, Germany and Denmark have poured billions of taxpayers' euros into wind and solar energy in the vain hope that this would allow them to shut down fossil fuel and nuclear plants. They have not succeeded because every solar panel and every wind turbine must be backed up by reliable power when the sun isn't shining and the wind isn't blowing. ...Greenpeace and company are stuck in the 1970s when it comes to the policy on energy as it relates to climate change.
Also filed under [
Energy Policy]