Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Wind Energy Industry Challenges & Opportunities

- Ravindra Utgikar Head - Corporate Marketing 11th Apr 2012, Grand Hyatt, Santacruz Mumbai

Nature has given enough for every body's need but not for everybodys greed.
-M.K. Gandhi

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Preamble
Depleting natural resources Environmental impact; Global
warming, Climate change

Energy Security Global GDP growth, ever

increasing energy consumption

Rising cost of fossil fuels Global regulatory framework

Renewable energy has emerged as most promising solution for energy Renewable energy has emerged as most promising solution for energy & environment issues & environment issues
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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Outline

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Global Energy Demand

Projection of Global Net Electricity Generation, 20072035 (trillion kWh) Projection of Global Net Electricity Generation, 20072035 (trillion kWh)

Global electricity demand to grow by around 26% between 2011 and 2020 Global electricity demand to grow by around 26% between 2011 and 2020 Electricity consumption in developing economies (i.e. BRIC) expected to become double in next 15 years Electricity consumption in developing economies (i.e. BRIC) expected to become double in next 15 years The fossil fuel consumption at current rate cannot support the projected rate of growth for more than 30 The fossil fuel consumption at current rate cannot support the projected rate of growth for more than 30 years years

Increasing energy demand cannot be serviced with estimated reservoir Increasing energy demand cannot be serviced with estimated reservoir of fossil fuel, alone of fossil fuel, alone
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Source: US Energy Information Administration

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Energy Scenario: India

Indian Energy Requirement, Availability and Shortage 1997-2011 Indian Energy Requirement, Availability and Shortage 1997-2011

Energy supply not sustainable to support GDP growth Energy supply not sustainable to support GDP growth
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Source: Indian Ministry of Power

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Renewable Energy in Global Energy Mix

Electricity Consumption by Source in the Year 2010 Electricity Consumption by Source in the Year 2010

Total Energy Consumption in Total Energy Consumption in 2010 140,000 TWh 2010 140,000 TWh
Source: US Energy Information Administration

Renewable Electricity Capacity Renewable Electricity Capacity Worldwide (Excluding Hydro) Worldwide (Excluding Hydro)

Excluding Hydropower, Wind Energy is the most successfully and Excluding Hydropower, Wind Energy is the most successfully and commercially used viable source of renewable energy commercially used viable source of renewable energy
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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Outline

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Energy in Wind
Basic Equation of Wind Power

Wind Power is derived from the kinetic energy of the wind by obstructing its path with wind turbines. Once wind hits a wind turbine blade it results in the following vital equation: P= * M * V2 * Cp M= *A*V
P = Power output A = Swept area V = Wind speed = Air density Cp = Power Coefficient

Power Curve

P = * A * * v3*Cp
A = D2/4

Quality wind sites are essential to techno-commercial feasibility

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Introduction to Wind Turbine

Component illustration of Suzlon S97

ROTOR

Blade Length - 47m Material - Glass fiber

NACELLE Tower Height 80m, 90 m & 100m Weight 181.6 T (90 m) TOWER

Nacelle Dimensions - 9.75 m (L), 4.1 m (W) & 4.12 m (H) Weight 77.7 T

Designers challenge is to strike a balance between the interface of critical component while continuously improving stability, reliability and performance
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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Harnessing Wind Power

Leverages existing grid and power evacuation facilities to reach consumers

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Wind Energy: Value Chain

Wind Resources Mapping Land and Site Identification Design & mfg. of WTGs Site Infrastructure Development Installation & Commissioning Power Evacuation Life cycle Asset Management Value Added Services (CSR, Regulatory approvals)
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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Outline

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Challenges (1/2)

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Challenges (2/2)

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Opportunities (1/4)
Wind market size expected to remain large
CAGR 11%

64

CAGR 40% ROW 16% India

CAGR 28%

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10% Europe

11% US

11.4

5% China

Offshore: 2011- 2015 EU: 15.0 GW CH: 3.0 GW US: 0.8GW

Long term growth of Industry is secured due to competitive Cost of Energy by Wind Turbines
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*Source : Make Consulting

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Opportunities (2/4)

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Opportunities (3/4)

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Opportunities (4/4)

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Outline

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Suzlon Group in Numbers

Wind farms

Strong technology focus, manufacturing in LCC and presence in high growth markets make Suzlon a leading global player
Renewable Energy Finance Symposium Innovations, Risks & Opportunities

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* As on end 2009

Suzlon Group installations

(Figures in MW)

Europe installations Germany France Germany UK Others Total

Belgium Turkey Canada UK France Portugal and Spain Italy Japan China

2,113 1,273 754 1,509 5,649

N. America USA and 3,181 Canada

Nicaragua

S. America Brazil Nicaragua Total 388 63 451

Brazil

India

Asia China Japan India Sri Lanka Total 1,163 118 6,879 10 8,170

Australia Total 913

Customized solutions as per market requirements Around 18,000 MW in 30 countries & 2,100 technicians working worldwide*
1: As on December 2011; includes all installed and SCADA connected systems

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Market Leadership
Rajasthan : 1029 MW
Wind parks at Jaisalmer (825+MW) & Jodhpur (200+ MW)

Northern Region:
Regional HO at Delhi 3 Marketing offices

Gujarat : 1231 MW
Wind parks at Kutch (860+ MW - Asias largest) and Saurashtra (400+ MW) Manufacturing plants Blade Testing Center

Madhya Pradesh: 124 MW

Wind farm at Dewas, Ratlam and Mahuria

Maharashtra : 1552 MW
Wind parks at Dhule (760+ MW), Sangli (270 MW), Satara (206 MW) Manufacturing plants Engineering center Group Global HQ

Eastern Region:
Regional HO at Kolkata 2 Marketing offices

Andhra Pradesh: 8.5 MW Karnataka : 661 MW

Wind parks at Kappatguda (197 MW), Harpanhalli, Chitradurga & Hassan Manufacturing plant Wind farm at Tirupati Upcoming wind park at Anantpur

Tamil Nadu : 1687 MW

Wind parks at Sankaneri (700+MW), Coimbatore (530MW) and Devarkulam (419MW) Manufacturing plants Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Kerala : 21 MW
Wind park at Agali

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Putting it all Together

Suzlon your trusted partner for WIN-WIN alliance

Renewable Energy Finance Symposium Innovations, Risks & Opportunities

Thank you!
www.suzlon.com
For business queries write to marketing.india@suzlon.com

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Renewable Energy Finance Symposium Innovations, Risks & Opportunities