Research and development (R&D) expenditure among the world's top ten wind turbine Original Equipment Manufacturers (OEM) have more than doubled in the last four years, reaching €1.6 billion in 2018, according to estimations of global energy consultancy Wood Mackenzie on Tuesday.
This figure is expected to increase to €2.3 billion by 2023, according to the latest Wood Mackenzie Power & Renewables Next-Generation Wind Turbine Models report.
Turbine OEMs have also accelerated R&D investments in next-generation turbine platforms as turbine technology investments are central to lowering Levelized Cost of Electricity below the €15-20 megawatt-hour mark.
Commenting on the data, Shashi Barla, Wood Mackenzie Power & Renewables principal analyst, said in the statement that offshore wind turbine sizes are expected to sit at around 20 megawatts (MW) by 2030.
The consultancy's data shows that wind turbine OEMs are expected to continue their frantic pace of new product introductions, including 7-8 MW onshore turbines with 200+multi rotors expected to be available by 2025 and 20+ MW offshore turbines with 280+multi rotors possible before 2030.
China, India, and the U.S. are expected to lead the market through 2028, according to Barla.
“There’s strong interest from western OEMs in India as domestic OEMs face challenges. Most OEMs are expected to migrate to the 3.0 MW configuration with 145-155m rotors within the next 12 months," he stated and added that Scandinavian markets have been early adopters of the latest generation wind turbine technologies.
- Almost 100 new turbine models to hit the market by 2024
According to Wood Mackenzie's data, the top 10 leading OEMs are expected to launch over 90 new onshore and offshore turbines within the next five years.
"Mass migration to a product platform development approach will increase the number of new product variants customized to specific wind regimes," Barla said and added that lower product development costs, flexibility in component sourcing, stronger supplier relationships and increased economies of scale will result in a more cost-effective approach to mass customization.
"This will address the global procurement needs of developers and asset owners," Barla concluded.
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By Gulsen Cagatay