Utilities

<p style="text-align: justify;"><span data-preserver-spaces="true">By 2050, the global wind park must be about eight times its current size, reaching around 8TW of installed capacity.&nbsp;</span><span data-preserver-spaces="true">This</span><span data-preserver-spaces="true"> will require a steep ramp-up in supply chain investment to build the necessary production facilities, infrastructure, partnerships, </span><span data-preserver-spaces="true">innovation&nbsp;,</span><span data-preserver-spaces="true"> and workforce to deliver new wind capacity.</span></p><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;"><strong><span data-preserver-spaces="true">Competitive Landscape of </span><span data-preserver-spaces="true">Wind</span><span data-preserver-spaces="true"> Industry</span></strong></span></h2><p style="text-align: justify;"><span data-preserver-spaces="true">There are several opposing forces that are balancing the current competitive landscape: </span></p><ul style="text-align: justify;"><li style="list-style-type: disc;"><span data-preserver-spaces="true">Market volatility due to inflation</span></li><li style="list-style-type: disc;"><span data-preserver-spaces="true">Raw materials scarcity</span></li><li style="list-style-type: disc;"><span data-preserver-spaces="true">Wars</span></li><li style="list-style-type: disc;"><span data-preserver-spaces="true">Regulators pushing for more localization and thus forcing economics against mass-scale ramp-up, diversion of capacity policies between West and East (predominantly China) industries, preventing the companies from adjusting rapidly to upscaling or </span><span data-preserver-spaces="true">downscaling</span></li><li style="list-style-type: disc;"><span data-preserver-spaces="true">Last but not least, the capitalization gap on rapid technology forwarding, with innovation on component and system level not being allowed to consolidate enough industrialization of existing technologies</span></li></ul><p style="text-align: justify;">&nbsp;</p><h2 style="text-align: justify;"><span style="font-size: 14pt;"><strong><span data-preserver-spaces="true">Mitigation of Risks to Supply Chain for the Wind Energy Sector</span></strong></span></h2><p style="text-align: justify;"><span data-preserver-spaces="true">Some recommendations for mitigating the resilience risks associated with wind energy supply chain: </span></p><ul style="text-align: justify;"><li style="list-style-type: disc;"><span data-preserver-spaces="true">Industry must standardize and open design concepts to the modular approach, enabling the global footprint of industrialization</span></li><li style="list-style-type: disc;"><span data-preserver-spaces="true">OEMS must drop the race to the </span><span data-preserver-spaces="true">bigger</span><span data-preserver-spaces="true"> turbines and focus </span><span data-preserver-spaces="true">more</span><span data-preserver-spaces="true"> on validating existing technologies for better quality, reduced costs, and the opportunity to localize component manufacturing at affordable costs. </span><span data-preserver-spaces="true">This</span><span data-preserver-spaces="true"> is called regionalization of the global supply </span><span data-preserver-spaces="true">chain</span></li><li style="list-style-type: disc;"><span data-preserver-spaces="true">It is </span><span data-preserver-spaces="true">important</span><span data-preserver-spaces="true"> to gauge and adjust the reshoring of some components/services versus the risk of internal capacity constraints, as it would lead to intermittent trade flows or delays in </span><span data-preserver-spaces="true">deployments</span></li></ul><p style="list-style-type: disc; text-align: justify;">&nbsp;</p><p style="list-style-type: disc; text-align: justify;">&nbsp;</p><p style="list-style-type: disc; text-align: justify;">&nbsp;</p><p style="list-style-type: disc; text-align: justify;">&nbsp;</p>