Report Highlights Regional Trends, Production Data, Demand Drivers & Forecast 2013 - 2017
CHICAGO & COPENHAGEN, Denmark--Navigant Research announced today that it has released the annual BTM wind report International Wind Energy Development: World Market Update 2012. The 180+ page BTM wind report, World Market Update 2012, published by Navigant Research, is the eighteenth edition of this annual wind energy market report. The report includes more than 80 tables, charts and graphs illustrating global wind market development, as well as a wind market forecast for 2013-2017 and highlighted trends for the wind market through 2022.
The report delivers several views on the fast‐growing wind market, including:
*More than 285 GW of wind power now installed globally
*45 GW of new capacity added in 2012, including 1.1 GW from offshore wind
*The United States surpassed China as the largest market in terms of new installations in 2012
*Europe lost its position as the largest world region in terms of new installations
*Wind installations in the Americas grew by 12.3 percent compared with 2011
*Big shake-up in the top ten wind turbine supplier ranking
*Strong Chinese presence among top 15 wind owner‐operators
*Wind market structures continue to evolve
*The penetration of wind power in the world's electricity supply has reached 2.62 percent
*Offshore wind more than doubled the capacity added in 2011, with more than 4 GW currently under construction
With the addition of 44,951 MW in new installations in 2012, world wind power capacity grew to around 285,700 MW, an increase in the total wind power installation base of 18.6 percent. Market growth year-over-year in 2012, though a modest 7.8 percent, was still higher than in 2011. Average annual growth for the past five years has been 17.8 percent, achieved during the aftermath of the 2008 financial crisis, with traditionally large markets for wind power in economic recession in America and Europe.
The wind power industry continues to demonstrate its ability to rapidly evolve to meet new demands in markets that face a variety of challenges. The focus on product diversification grows with wind turbine vendors designing machines for maximum energy production in low wind speed areas, for operation in high altitudes or in cold climates.
American, European and Indian manufacturers have pushed Chinese manufacturers out of the top five in 2012. Despite increasing its global market share by 1.1 percent in 2012, Vestas was displaced from the No. 1 position for the first time since claiming the top spot in 2000. Meanwhile, with a global market share of more than 15 percent in 2012, GE Wind ascended from the No. 3 to the No. 1 position, boosted by a rush to capitalize on the U.S. Production Tax Credit (PTC).
For the second consecutive year, a reduction in market size is forecast for the upcoming five year period. The World Market Update 2012 forecasts that 241,620 MW will be added through 2017, 10 percent less than the forecast made in 2011. The lowering of the forecast growth rate is mainly due to a projected slowdown in wind turbine sales in 2013 and 2015. The average growth rate for new installations from 2013 to 2017 is expected to be 5.1 percent, with a decrease of more than 10 percent in 2013 compared to 2012.
That decrease will be reflected in the U.S. market in 2013, as a result of 2012's last-minute one year extension of the federal production tax credit. The U.S. market will likely face additional political uncertainty when the PTC expires after 2013. Established European wind power markets, such as Spain and Italy, are expected to decline in coming years, while China, the world's largest wind market, will still be in transition from a period of breakneck growth to one of more stable development.
Special Chapter: Cold Climate Turbines
As cold climate sites often provide favorable wind conditions, the deployment of wind energy in cold climate areas is growing rapidly. World Market Update 2012 reviews the challenges presented by cold climate, provides a geographical breakdown of cold climate wind turbine markets, analyzes the economics of cold climate technologies and projects, introduces the latest commercial applications developed by leading turbine vendors and component suppliers, and identifies future wind-related opportunities in cold climate markets.
More information and report pricing for World Market Update 2012 can be found at www.navigantresearch.com/research/international-wind-energy-development-world-market-update-2012. For questions about the report, please contact one of the following report authors:
Birger T. Madsen
About Navigant Research
Navigant Research, the dedicated research arm of Navigant, provides market research and benchmarking services for rapidly changing and often highly regulated industries. In the energy sector, Navigant Research focuses on in-depth analysis and reporting about global clean technology markets. The team's research methodology combines supply-side industry analysis, end-user primary research and demand assessment, and deep examination of technology trends to provide a comprehensive view of the Smart Energy, Smart Utilities, Smart Transportation, Smart Industry, and Smart Buildings sectors. Additional information about Navigant Research can be found at www.navigantresearch.com.
Navigant (NYSE: NCI) is a specialized, global expert services firm dedicated to assisting clients in creating and protecting value in the face of critical business risks and opportunities. Through senior level engagement with clients, Navigant professionals combine technical expertise in Disputes and Investigations, Economics, Financial Advisory and Management Consulting, with business pragmatism in the highly regulated Construction, Energy, Financial Services and Healthcare industries to support clients in addressing their most critical business needs. More information about Navigant can be found at www.navigant.com.