Technology-led Solns Help Turbine Makers Tap Addl Revenue Opportunities: Report

The new onshore wind energy installation capacity rose by 17 percent to touch 54.2 GW in 2019, as against previous year, mainly on account of decline in wind turbines’ overall costs, as well as ambitious both national & regional level renewable energy targets, says the business consulting firm.

As per Frost & Sullivan, the global market is forecasted to add an average onshore wind capacity of 54.28 GW annually through 2025, with cumulative installations expected to reach 954.47 GW in 2025.

Commenting on the report, Frost & Sullivan’s Research Manager, Energy & Environment, said that “emerging technologies such as 5G, edge computing, augmented and virtual reality (AR, VR),  and advanced lightweight composite materials, are creating additional revenue opportunities for wind industry participants.”

“Innovations like LiDAR, digital twin, additive manufacturing, radar, and drones are expected to phase out manual inspections of wind turbines and ultimately help participants deliver greater process and cost efficiencies to utilities, independent power producers (IPPs) and wind farm owners,” Research Manager added.

“The repowering of wind farms by replacing old wind turbines with new and technologically superior models, especially in the US and Europe, is expected to bolster the global market,” noted the analyst.

“Meanwhile, the shift in financing mechanisms from subsidies to competitive auctions across regions like Europe, Asia, and Latin America is expected to make the market sustainable and subsidy-free,” suggested the analyst.

The Frost & Sullivan highlighted that the wind turbine manufacturers are expected to find new growth opportunities through – developing IoT-enabled smart wind turbines to ensure product differentiation; implementing AI and analytics solutions to improve operational efficiency by obtaining operational data; focusing on data monetization and collaborations and partnerships with technology companies and startups to expand their smart product offerings; creating attractive business solutions and offerings, especially for repowering ageing wind farms; gaining competence in managing costs, execution time, and project development as the market moves toward an auction model; and strategizing to expand in high-growth regions such as China, India, South-East Asia, and Latin America.