Siemens is latest firm to invest in UK offshore wind manufacturing

Greenwise Staff

29th March 2010

Siemens has become the latest wind turbine manufacturer to declare plans to invest in the UK offshore market, announcing today that it will spend in excess of £80 million on new production facilities in England.

Siemens, the largest provider of wind turbines to the UK, said it was currently exploring a number of sites on the East coast and in the North East at which to locate the new factory, where around 700 new jobs will be created.

Siemens said the new manufacturing facility would enable it to extend its market leadership in the UK, producing the next generation of turbines for offshore application and drawing on research and development (R&D) provided by its dedicated Centres of Excellence for wind power at Keele and Sheffield Universities.

Siemens' investment influenced by Government investment in ports

Siemens said its decision to invest in the new plant had been influenced by the Government’s Budget last Wednesday, in which the Chancellor of the Exchequer pledged £60 million to help UK ports host offshore wind manufacturers.

“The UK Government has created a stable framework to attract inward investment in renewables and offshore wind power in particular. The competition for land development, announced in the Budget last week, gives us confidence that the appropriate UK port infrastructure can be made available to support our production plans,” said Andreas Goss, Siemens’ chief executive in the UK.

Siemens’ announcement comes hot on the heels of GE’s decision – also unveiled after the Budget – that it will spend just under £100 million on an offshore wind turbine manufacturing plant in the UK.

They both follow announcements, last month, by Clipper Windpower that it will build the world’s biggest wind turbine in the UK, and by Mitsubishi that will invest £100 million in an offshore wind R&D facility, creating up to 200 jobs.

The Government and the renewables industry both welcomed Siemens’ plans, today, saying it confirmed the UK as a “world leader” in offshore wind.

“This is a vote of confidence from one of the foremost companies in the offshore wind sector, looking to set up a base in the UK,” said Energy Secretary Ed Miliband. “More proof that we’re exploiting the great natural resource that we have and creating the right conditions to attract investment. Siemens’ investment will help create jobs and help us meet our renewable energy targets.”

RenewableUK chief executive Maria McCaffery added: “Today’s announcement clearly demonstrates the long term potential of the UK’s offshore wind market. This announcement and the involvement from Siemens shows what can be achieved when industry and Government work together to create the right investment conditions, and gives us confidence that as a country we will deliver on our renewable energy targets.”

The Government expects this and other similar investments will create a new industrial sector in the UK that could employ a workforce of 70,000 by 2020.