Conférence L'éolien offshore: caractéristiques et mode de construction Paris, 5 th June 2018
Offshore Business Unit 2 Agenda 1 2 3 4 Siemens Gamesa Renewable Energy Our Offshore business Offshore product portfolio Contributions throughout the entire Value Chain
SGRE - Offshore by the numbers (FY17) 7.2 B Backlog 1 1.7 GW Order entry 2 3.2 B Revenue 2 >25 years Experience in the offshore industry ~11 GW installed ~6k employees Most modern and scalable footprint The world s best offshore turbine 1) As of December 2017 2) Pro-forma
Offshore Business Unit 4 Agenda 1 2 3 4 Siemens Gamesa Renewable Energy Our Offshore business Offshore product portfolio Contributions throughout the entire Value Chain
Our offshore business Market leader within Offshore Wind Power: ~ 11 GW installed 1) 5 Holland United Kingdom Project Year Burbo Bank: 25x SWT-3.6-107 2007 Dudgeon: 57x SWT-6.0-154 2017 Greater Gabbard: 140x SWT-3.6-107 2012 Gunfleet Sands I & II: 48x SWT-3.6-107 2009 Gunfleet Sands III: 2x SWT-6.0-120 2013 Gwynt Y Mor: 160x SWT-3.6-107 2015 Hywind: 5x SWT-6.0-154 2017 London Array: 175x SWT-3.6-120 2013 Lincs: 75x SWT-3.6-120 2013 Lynn/Inner Dowsing: 54x SWT-3.6-107 2008 Rhyl Flats: 25x SWT-3.6-107 2009 Sheringham Shoal: 88x SWT-3.6-107 2012 Teesside: 27x SWT-2.3-93 2013 Walney I: 51x SWT-3.6-107 2011 Walney II: 51x SWT-3.6-120 2012 Westermost Rough: 35x SWT-6.0-154 2015 Project Year Gemini: 150x SWT-4.0-130 2016 Westermeerwind: 48x SWT-3.0-108 2016 Germany Project Year Alpha Ventus: 6x AD5-116 2015 Amrumbank West: 80x SWT-3.6-120 2015 Baltic I: 21x SWT-2.3-93 2010 Baltic II: 80x SWT-3.6-120 2015 BHV Airport: 1x AD8-180 2017 Borkum Riffgrund I: 78x SWT-4.0-120 2015 Butendiek: 80x SWT-3.6-120 2015 DanTysk, 80x SWT-3.6-120 2015 Global Tech: 80x AD5-116 2015 Gode Wind I & II: 55x SWT-6.0-154 + 42 x SWT-6.0-154 Lehe 1, 2 & 3: 2x AD5-116 + 1x AD5-135 2016 2017 2008 2013 Meerwind Süd Ost: 80x SWT-3.6-120 2014 Riffgat: 30x SWT-3.6-120 2014 Sandbank: 72x SWT-4.0-130 2017 Speckenbüttel 1 & 2: 2x AD5-116 2004 Trianel Borkum: 40x AD5-116 2015 Veja Mate: 67x SWT-6.0-154 2017 Wikinger: 65x AD5-135 2017 Sweden Norway Finland Denmark Project Year Anholt: 111x SWT-3.6-120 2013 Frederikshavn: 1x SWT-2.3-82 2003 Horns Rev II: 91x SWT-2.3-93 2009 Middelgrunden: 20x SWT-2.0-76 2000 Rødsand/Nysted: 72x SWT-2.3-82 2003 Rødsand II: 90x SWT-2.3-93 2010 Rønland: 4x SWT-2.3-93 2002 Samsø: 10x SWT-2.3-82 2002 Vindeby: 11x 0.45 MW -37 1991 Project Year Pori: 1x SWT-2.3-101 2010 Project Year Hywind: 1x SWT-2.3-82 2009 Project Year Lillgrund: 48x SWT-2.3-93 2007 1) Installed by November 2017 Taiwan Project Year Formosa: SWT-4.0-120 2017 China Project Year Rudong Intertidal: 21x SWT-2.3-101 2011
Our offshore business 6 LCoE cost out strategy: The road to reaching below 8 ct. /kwh (FID) by 2025 Continuous improvements Five cost-down levers Wind turbine Foundations OPEX AEP Grid Roadmap until 2030 14.5 ct/kwh <10 ct/kwh <8 ct/kwh 2014 2020 2025 2030
Our offshore business 7 Future contributors to cost out Cost reduction through wind turbine upgrades Size does matter: The way forward to improve competitiveness of wind turbines 30 years of experience in wind turbine technology 22kW 30kW 95kW 120kW 450kW 600kW 1MW 1.3MW 2MW 2.3MW 3.6MW 4.0MW 6.0MW 7.0MW 7.0MW 8.0MW In rounded figures, AEP increases by: 6% at a 10% increase of rated power 4% at a 10% increase of rotor area 10% at a 10% increase of both
Our offshore business 8 Further cost out through industrialization The new plants in Germany and the UK Nacelle production site (Offshore DD platform) Cuxhaven, Germany Investment of 200 mio Up to 1,000 jobs Allows loading via a Ro-Ro ramp directly onto a transport vessel Start of production in CY2017 Blade factory (B75) Hull, England Investment of 190 mio Up to 1,000 jobs Allows loading via a Ro-Ro ramp directly onto a transport vessel Production began: end of CY2016
Offshore Business Unit 9 Agenda 1 2 3 4 Siemens Gamesa Renewable Energy Our Offshore business Offshore product portfolio Contributions throughout the entire Value Chain
Offshore portfolio 10 Continuously evolving Product Portfolio to match market and customer needs Commercializing offshore Evolving proven technology Maximizing profitability 2006 2009 2010 2011 2012 2013 2014 2015 2016 2017 Offshore Geared SWT-3.6-107 SWT-3.6-120 SWT-4.0-130 SWT-4.0-120 Offshore Direct Drive SWT-6.0-120 SWT-6.0-154 SWT-7.0-154 SG-8.0-167 DD
Upgrading from 7MW to 8MW enables significant customer benefits at lowest possible risk SWT-7.0-154 SWT-8.0-154 Annual Energy Production Time-to-market Industrialization Supply chain Balance of plant Increased ~10% Serial installation 2020 Serial produced >1,000 units by 2020 Re-use technology and supply chain Minimal impact
Highly Accelerated Lifetime Testing (HALT) Simulating 25 years of operation Rotor Structure Performance Test programs performed Blade tests Blade bearing tests Pitch tests Test programs performed Main bearing tests Back-to-Back tests Vibration tests Test programs performed No load test Low load tests Performance tests
SGRE is in pole position to remain the best-in-class LCoE player for the next mid 2020 s generation of giant turbines 167 meter 154 meter 154 meter A380 79.8 meter 6 MW 7 MW 8 MW DX MW installation 2014 2018 2020 Mid 2020 s
Offshore Business Unit 14 Agenda 1 2 3 4 Siemens Gamesa Renewable Energy Our Offshore business Offshore product portfolio Contributions throughout the entire Value Chain
Contributions throughout the entire Value Chain 15 Siemens Gamesa Renewable Energy contributes throughout the entire Value Chain Finance Turbine/BOP Grid Service Help finance certain stages of the project to improve IRR or reduce funding costs for customers Strong focus on reducing LCoE Extending scope to BOP elements where requested Standardization initiative Working with OFTOs and wind developers on grid connections Customized O&M strategies to optimize service at all levels Version Version 04/2 04/2011_d
SGRE is delivering on LCoE in all established offshore European markets reaching lowest level ever below 50 /MWh Strike price, /MWh 250 Historic LCOE 200 150 ROCs X Early CfDs X X X (LCoE) Levelized Cost of Energy CAPEX Wind turbine CAPEX Balance of plant OPEX Lifecycle Energy Output 5% 100 10% Industry 2020 target 100/MWh set in 2012 50 20% 0 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030
SGRE is delivering on LCoE in all established offshore European markets reaching lowest level ever below 50 /MWh Strike price, /MWh 250 200 150 100 50 0 Historic LCOE ROCs X Early CfDs X X X (LCoE) Levelized Cost of Energy East Anglia 1 X X Neart na Gaoithe 5% 10% X Triton Knoll Horns Rev III X X Hornsea 2 & Moray Borssele I & II X X XBorssele III & IV X 20% Gode Wind 3 XDanish near-shore XKriegers Flak X HKZ1&2 X German 0-bid (three projects) 2012 2014 2016 2018 2020 2022 2024 2026 2028 2030 CAPEX Wind turbine CAPEX Balance of plant OPEX Lifecycle Energy Output Industry 2020 target 100/MWh set in 2012
Recent auctions indicate an LCOE reduction of 72% over the past 8 years Auctioned / awarded subsidy (in EUR/MWh) Lifecycle cost in real 2014 EUR/MWh (LCOE) -72% 162 168 144 137 118 Grid 103 87 73 68 63 60 50 69 55 145 125 111 106 67 60 45 41 48 London Array Hornsea one East Anglia one NnG Hornsrev III Borssele 1+2 Danish Nearshore Krigers Flak Borssele 3+4 London Array Hornsea one East Anglia one NnG Hornsrev III Borssele 1+2 Danish Nearshore Krigers Flak Borssele 3+4 2009 FID 2017 FID GBP/EUR exchange rate is constant at 1.2 UK projects reflect real 2012 price in GBP Subsidy for transmission asset added to non-uk projects UK ROC with 20 years of subsidy support, UK CfD, NL with 15 years of subsidy support, DK with 12 years of subsidy support Subsidy payments for UK are inflated with 2% p.a. from 2012 onwards Subsidy payments for DK and NL projects are not inflated over the lifetime Post-subsidy power prices are forecasted (IHS Energy 2015)
Hywind: the world s first floating wind turbine (2009) Hywind Norway, 2009 Cooperation on technology with Statoil Hydro ASA to develop the world's first floating offshore installation In 2009, Siemens Gamesa installed the first wind turbine in Norway at a water depth of about 220 meters Floating offshore wind turbines could be installed at sites with greater water depths Reduced visual impact and increased power production due to strong and stable wind conditions Hywind Scotland, 2017 In 2017, Siemens Gamesa installed 5 floating turbines in cooperation with Statoil.
Thank you! Frédéric Petit Business Development France Director Mobile +33 6 60 37 51 32 Frederic.petit@siemensgamesa.com
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