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Enercon technology chief warns US subsidies could skew European wind competition | Recharge
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rel="noopener noreferrer" title="Wind" class="dn-link pill tag" data-v-8c016434><!--[--><!----><span class="text" data-v-8c016434>Wind</span><!--]--></a></div><!--[--><h1 class="dn-headline title" data-v-7383efc4><!--[-->Enercon technology chief warns US subsidies could skew European wind competition<!--]--></h1><!--]--><p class="lead">German OEM sees good chances for new 6 and 7MW models but CTO Jörg Scholle tells Recharge he's concerned about impact of IRA as well as Chinese competitors</p><figure class="dn-image default article-top-image" data-load="eager"><picture class="ratio-3x2"><!--[--><!--[--><!--[--><source type="webp" srcset="https://images.dngroup.com/image/eyJ3Ijo5ODAsImsiOiI3NjJmYjI2ZjA0MjY4YzA1NjM5ZjVhZGQ0ZWY0ZGU1NCIsImYiOiJ3ZWJwIiwiY3JvcCI6WzAsNzIsMTYwMCwxMDYwXSwiciI6MS41LCJvIjoiZ2xvYmFsIn0="><!--]--><!--[--><source type="jpeg" 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To read more about DN Media Group, <a href="https://www.dngroup.com/"> click here</a>. </p><!--]--></div></footer></footer><!--]--><!--]--></div><script type="text/javascript"> if (!window.Zephr) window.Zephr = {}; if (!window.Zephr.outcomes) window.Zephr.outcomes = {}; window.Zephr.outcomes['dn-internal-users'] = { featureLabel: 'DN Internal Users', outcomeId: 'transformation/2', outcomeLabel: 'DN Non Internal Users' }; </script> <div id="teleports"></div><script type="application/json" data-nuxt-data="nuxt-app" data-ssr="true" id="__NUXT_DATA__">[["ShallowReactive",1],{"data":2,"state":4,"once":14,"_errors":15,"serverRendered":8,"path":17,"pinia":18},["ShallowReactive",3],{},["Reactive",5],{"$scolor-mode":6,"$snuxt-i18n-meta":10,"$svue-query":11},{"preference":7,"value":7,"unknown":8,"forced":9},"light",true,false,{},{"mutations":12,"queries":13},[],[],["Set"],["ShallowReactive",16],{},"/wind/enercon-technology-chief-warns-us-subsidies-could-skew-european-wind-competition/2-1-1721757",["Reactive",19],{"commonStore":20,"articlesStore":25,"profileLoginStore":369},{"isAppView":21,"previousRouteName":23},["EmptyRef",22],"false",["EmptyRef",24],"\"\"",{"currentArticle":26,"loading":365,"articleBodyWithoutInjectElements":366},["Ref",27],["Reactive",28],{"api":29,"id":30,"title":31,"originalTitle":32,"dataLayout":33,"type":34,"subType":34,"state":35,"excludeFromNews":9,"intro":36,"canonicalSlug":17,"publishedAt":37,"firstPublishedAt":38,"updatedAt":37,"leadAsset":39,"body":61,"bodyLength":314,"byline":315,"metadata":328,"topic":338,"tags":339,"categories":350,"relatedCompanies":359,"publication":360,"imagePosition":364,"accessLevel":81,"mobileImagePosition":364},"global-article","2-1-1721757","Enercon technology chief warns US subsidies could skew European wind competition","Enercon targets break-even this year as wind turbine maker says 'bigger not always better'","text-first","news","published","German OEM sees good chances for new 6 and 7MW models but CTO Jörg Scholle tells Recharge he's concerned about impact of IRA as well as Chinese competitors","2024-10-10T06:54:37Z","2024-10-09T09:41:56Z",{"type":40,"src":41,"caption":42,"credit":43,"ratio":44,"imageCrops":45,"pointOfInterest":56},"picture","https://images-global.nhst.tech/image/Vk5FWVlIbUx5SGNzbVIybGVWT2F2cE4vY1YzZStXaVFLUXhjSzhpWWduND0=/nhst/binary/762fb26f04268c05639f5add4ef4de54","Enercon chief technology officer Jörg Scholle.","Photo: Bernd Radowitz","3x2",{"2x1":46,"free":51,"3x2":53},[47,48,49,50],0,235,1600,796,[47,47,49,52],1200,[47,54,49,55],72,1060,{"originalWidth":49,"originalHeight":52,"x":57,"y":47,"width":58,"height":59,"centerX":60,"centerY":60},0.125,0.75,1,0.5,[62,65,67,69,71,96,98,102,104,106,108,111,113,115,117,119,140,142,144,146,148,150,152,154,178,180,182,184,186,188,190,192,194,196,213,215,217,219,221,223],{"type":63,"html":64},"text","Enercon chief technology officer (CTO) Jörg Scholle told \u003Ci>Recharge \u003C/i>that the company is worried about possible impacts from US support on Europe's wind industry as well as those enjoyed by the Chinese sector, as he flagged hopes that the German turbine OEM can break even this year.",{"type":63,"html":66},"The targeted return to the black comes amid a more cautious approach by Enercon that looks more at the expected levelised cost of energy (LCOE) of a machine than its rated capacity when developing future generations, and a decision to only bet on markets with stable conditions and long-term business opportunities.",{"type":63,"html":68},"The German premium OEM has just installed a \u003Cb>\u003Ca href=\"https://www.rechargenews.com/energy-transition/enercon-aims-for-top-end-of-european-onshore-market-with-new-6mw-wind-turbine-prototype/2-1-1700920\" target=\"_blank\">prototype of its recently launched 6MW model, the E-175 EP5\u003C/a>\u003C/b>, at a site in Germany, which is geared towards low winds, and is about to start serial production. The manufacturer next year will erect a prototype of a \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/enercon-goes-back-to-the-future-with-7mw-wind-turbine/2-1-1613780\" target=\"_blank\">7MW version of the turbine\u003C/a>\u003C/b>, with series production planned for 2026.",{"type":63,"html":70},"Asked, where he sees the rating capacity limit for onshore wind in Europe, Scholle said his company is “not looking so much at the rated capacity of the turbine.",{"type":72,"header":73,"items":74},"related","",[75],{"type":34,"id":76,"title":77,"url":78,"topic":79,"accessLevel":81,"picture":82},"2-1-1700920","Enercon aims for top end of European onshore market with new 6MW wind turbine prototype","https://www.rechargenews.com/energy-transition/enercon-aims-for-top-end-of-european-onshore-market-with-new-6mw-wind-turbine-prototype/2-1-1700920",{"label":80,"name":80},"Wind","paywall",{"type":40,"src":83,"caption":84,"credit":85,"ratio":44,"imageCrops":86,"pointOfInterest":93},"https://images-global.nhst.tech/image/eU52SDFMSWI5cGw3VkJlRHRnMENQTmE5cTRtemFrUWFBSVNINUMvZ20xZz0=/nhst/binary/9b6969ac484ad10f391f648fa18e0810","Enercon erects prototype of its E-175 EP5 onshore wind turbine","Photo: Enercon",{"2x1":87,"free":88,"3x2":90},[47,47,49,50],[47,47,49,89],908,[91,47,92,89],116,1361,{"originalWidth":49,"originalHeight":89,"x":94,"y":47,"width":95,"height":59,"centerX":60,"centerY":60},0.21625,0.5675,{"type":63,"html":97},"“We look more at the LCOE, and that is also driven by the rotor size,” the CTO said in an interview.",{"type":99,"injected":8,"id":100,"label":101,"minHeight":-1,"class":-1},"ad","recharge_netboard-article-1","Article continues below the advert",{"type":63,"html":103},"“You have to have a good combination of the rotor size and the generator capacity. And rotor sizes are challenged by the transport regime we are having.”",{"type":63,"html":105},"European core markets of Enercon, such as Germany, are densely populated and the transport of ever-larger nacelles and long rotor blades over country roads, bridges or through underpasses \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/enercon-ceo-warns-transport-infrastructure-is-key-barrier-to-wind-power-growth/2-1-1714644\" target=\"_blank\">poses increasing challenges\u003C/a>\u003C/b>.",{"type":63,"html":107},"Turbines with a rating of up to 7MW are at the moment a size “where everybody can go” in Europe, Scholle reckoned and added: “You can go higher, but the question is, does it make it sense to have more generator capacity?”",{"type":109,"value":110},"subhead","Bigger turbine not always better",{"type":63,"html":112},"Way ahead of its time, Enercon in the past decade did offer a \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/enercons-mammoth-machine/1-1-845517\" target=\"_blank\">7.5MW turbine, the E126\u003C/a>\u003C/b>, but the model didn’t sell too well, partly due to its difficult transport profile. The largest order for that model was for the \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/innogy-opens-90mw-zuidwester-with-enercon-7-5mws/2-1-106765\" target=\"_blank\">90MW Zuidwester wind farm adjacent to the Ijsselmeer Lake in the Netherlands\u003C/a>\u003C/b>, to which wind turbines could be transported by waterways on vessels.",{"type":63,"html":114},"Some markets such as Sweden may be more suitable for the transport of super-sized onshore turbines and blades due to their low population density, but “at the moment, we won’t do a specialised turbine for those markets,” Scholle said.",{"type":63,"html":116},"“Having a bigger turbine is not always better.”",{"type":63,"html":118},"Several Chinese OEMs have announced larger onshore wind turbines of \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/chinas-sany-launches-8mw-onshore-wind-turbine-for-europe/2-1-1713962\" target=\"_blank\">8MW and more\u003C/a>\u003C/b>, but the Enercon CTO doubted those could be sold easily in Europe.",{"type":72,"header":73,"items":120},[121],{"type":34,"id":122,"title":123,"url":124,"topic":125,"accessLevel":81,"picture":127},"2-1-1717985","European wind turbine makers face 'unpleasant surprise' from China, claims Sany chief","https://www.rechargenews.com/wind/european-wind-turbine-makers-face-unpleasant-surprise-from-china-claims-sany-chief/2-1-1717985",{"label":126,"name":126},"Markets",{"type":40,"src":128,"caption":129,"credit":130,"ratio":44,"imageCrops":131,"pointOfInterest":137},"https://images-global.nhst.tech/image/MldQWDFFOUpOYWNjaExDc0Uzd2FLQkZqenpZalNOdnY0U2VKL0RFamdIbz0=/nhst/binary/3a4ab2f733ca073279e3dc8c659fd730","Sany's Europe chief Soares has previously worked at European turbine makers Siemens Gamesa, Vestas and Senvion, as well as India's Suzlon.","Photo: Sany",{"2x1":132,"free":133,"3x2":135},[47,47,49,50],[47,47,49,134],1068,[47,47,49,136],1063,{"originalWidth":49,"originalHeight":134,"x":138,"y":47,"width":139,"height":59,"centerX":60,"centerY":60},0.16625,0.6675,{"type":63,"html":141},"“They're operating in different markets where they have fewer restrictions, and the question is, how they can transfer that to their other markets?”",{"type":109,"value":143},"‘No sense to go to market for one project’",{"type":63,"html":145},"In general, Enercon has become more selective about the markets it is targeting. The company is looking for markets with stable conditions, and a good energy policy, where it can win long-term business partnerships and sufficiently high order volumes.",{"type":99,"injected":8,"id":147,"label":101,"minHeight":-1,"class":-1},"recharge_netboard-article-2",{"type":63,"html":149},"“It makes no sense to go to a market, just for one project, and then leave again,” Scholle said.",{"type":63,"html":151},"The search for stable, high-volume markets with solid framework conditions that allow for economically viable projects already some years ago had led Enercon to abandon Brazil, a market where it had a long-term presence in the past but currently doesn’t see conditions for re-entry.",{"type":63,"html":153},"“We don’t see it as a strategic market at the moment, we do not see that you can do business there. I wonder how the Chinese can do that, but that is more a political question, I can only guess.”",{"type":72,"header":73,"items":155},[156],{"type":34,"id":157,"title":158,"url":159,"topic":160,"accessLevel":81,"picture":161},"2-1-1700180","Goldwind fires up new Brazil turbine factory that is its first outside China","https://www.rechargenews.com/wind/goldwind-fires-up-new-brazil-turbine-factory-that-is-its-first-outside-china/2-1-1700180",{"label":126,"name":126},{"type":40,"src":162,"caption":163,"credit":164,"ratio":44,"imageCrops":165,"pointOfInterest":174},"https://images-global.nhst.tech/image/ZzRYdTQ1Q2FhelRaU05sa3ZQWElmTUZWdzRxalpUdzRZVVUxVDdQSlhzST0=/nhst/binary/d919ddd0d731dfd4828e7a7037eb7cd5","Goldwind staff standing outside the former GE Renewable Energy plant after agreeing to buy it earlier this year.","Photo: Goldwind",{"2x1":166,"free":169,"3x2":171},[47,167,49,168],274,799,[47,47,49,170],1074,[47,172,49,173],9,1064,{"originalWidth":49,"originalHeight":170,"x":175,"y":47,"width":176,"height":59,"centerX":177,"centerY":60},0.165,0.67125,0.500625,{"type":63,"html":179},"Chinese OEM \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/goldwind-fires-up-new-brazil-turbine-factory-that-is-its-first-outside-china/2-1-1700180\" target=\"_blank\">Goldwind recently took over a plant site from GE in Camacari, Brazil\u003C/a>\u003C/b>, to open its first international factory at a time when most western OEMs are leaving that market.",{"type":63,"html":181},"Next to Germany, markets with good conditions are for example France, Italy or Turkey, Scholle said, but he also singled out Japan, South Korea and Vietnam.",{"type":109,"value":183},"Break-even in 2024",{"type":63,"html":185},"Enercon’s more cautious approach to turbine sizes and markets seems to be bearing fruits.",{"type":63,"html":187},"The company this year aims to break even financially after \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/germany-hands-struggling-wind-turbine-maker-enercon-more-than-500m-in-liquidity-aid/2-1-1253432\" target=\"_blank\">years of losses\u003C/a>\u003C/b> and has a positive outlook for next year, Scholle, said without giving further detail. The not publicly-traded OEM traditionally has been very tight-lipped about its financial situation.",{"type":63,"html":189},"The new E-175 EP5 in any case was met with strong customer interest at the WindEnergy Hamburg exposition last month, the CTO said, adding that the company had already sold the entire volume aimed for next year.",{"type":109,"value":191},"Level playing field, China and the IRA",{"type":63,"html":193},"In order not to endanger its hard-won recovery, Enercon insists on OEMs being able to operate on a level playing field, above all in its European home market.",{"type":63,"html":195},"CEO Udo Bauer told Germany’s climate and energy minister Robert Habeck at a factory visit in late September that his \u003Cb>\u003Ca href=\"https://www.rechargenews.com/wind/german-government-must-penalise-price-dumping-in-wind-sector-enercon-ceo-tells-habeck/2-1-1713412\" target=\"_blank\">government should “penalise price dumping”\u003C/a>\u003C/b> from non-European competitors.",{"type":72,"header":73,"items":197},[198],{"type":34,"id":199,"title":200,"url":201,"topic":202,"accessLevel":81,"picture":204},"2-1-1713412","German government must 'penalise price dumping' in wind sector, Enercon CEO tells Habeck","https://www.rechargenews.com/wind/german-government-must-penalise-price-dumping-in-wind-sector-enercon-ceo-tells-habeck/2-1-1713412",{"label":203,"name":203},"Policy",{"type":40,"src":205,"caption":206,"credit":85,"ratio":44,"imageCrops":207,"pointOfInterest":212},"https://images-global.nhst.tech/image/Vk5FWVlIbUx5SGNzbVIybGVWT2F2cE4vY1YzZStXaVFLUXhjSzhpWWduND0=/nhst/binary/89046379b85d9cadbd7a24a4914d3836","German climate and energy minister Robert Habeck (m) visits Enercon factory in Aurich, Germany.",{"2x1":208,"free":210,"3x2":211},[47,209,49,50],96,[47,47,49,52],[47,54,49,55],{"originalWidth":49,"originalHeight":52,"x":57,"y":47,"width":58,"height":59,"centerX":60,"centerY":60},{"type":63,"html":214},"The European wind sector is increasingly alarmed by a push from Chinese manufacturers into its domestic European home market, with industry groups accusing Asian rivals of price dumping made possible through unfair state subsidies and unrealistically cheap financing.",{"type":63,"html":216},"Scholle during his interview with \u003Ci>Recharge\u003C/i> stressed that Enercon’s position is not so much about one specific country such as China.",{"type":63,"html":218},"“It’s about competitors from outside Europe – from the East and the West,” he said, pointing to US President Joe Biden’s Inflation Reduction Act (IRA) that also could lead to unfair competition.",{"type":63,"html":220},"“OEMs producing in the US are getting IRA subsidies and could also ship the components to Europe and supply them for European wind projects.",{"type":63,"html":222},"“This is competition from outside Europe that is being subsidised, and that's distorting the competition we have here in Europe. That is not what we mean by a level playing field. We need fair conditions for all market participants in Europe.”",{"type":72,"header":73,"items":224},[225,248,263,276,294],{"type":34,"id":226,"title":227,"url":228,"topic":229,"accessLevel":81,"picture":230},"2-1-1713006","West's wind power giants losing ground to Chinese 'they may never win back'","https://www.rechargenews.com/wind/wests-wind-power-giants-losing-ground-to-chinese-they-may-never-win-back/2-1-1713006",{"label":126,"name":126},{"type":40,"src":231,"caption":232,"credit":233,"ratio":44,"imageCrops":234,"pointOfInterest":245},"https://images-global.nhst.tech/image/NHF1OC9ZNmY0TU1kbjJTNXdwRTU4OE1ZMjVjaXdZcmhETSt6L0s3dm1qdz0=/nhst/binary/5df8f1c41781bdda85624770b2fd7c12","Goldwind is among the Chinese OEMs on the march globally.","Photo: Getty/VCG via Getty Images",{"2x1":235,"free":238,"3x2":240},[47,236,49,237],105,798,[47,47,49,239],1066,[241,242,243,244],71,95,1418,946,{"originalWidth":49,"originalHeight":239,"x":246,"y":47,"width":247,"height":59,"centerX":177,"centerY":60},0.1675,0.66625,{"type":34,"id":249,"title":250,"url":251,"topic":252,"accessLevel":81,"picture":253},"2-1-1716168","Enercon 4.3MW onshore wind turbine prototype obtains TÜV Nord type certificate","https://www.rechargenews.com/wind/enercon-4-3mw-onshore-wind-turbine-prototype-obtains-t-v-nord-type-certificate/2-1-1716168",{"label":80,"name":80},{"type":40,"src":254,"caption":255,"credit":85,"ratio":44,"imageCrops":256,"pointOfInterest":259},"https://images-global.nhst.tech/image/Q2JJVlNEdDROdDJOcnhrL0x3dW1rOHIweWJtbG4ydzZiSzBubDZVQ3BuVT0=/nhst/binary/6d763868ea4a1cd54606993eb405adc6","Enercon E-138 EP3 onshore wind turbine.",{"free":257},[47,47,49,258],2416,{"originalWidth":49,"originalHeight":258,"x":47,"y":260,"width":59,"height":261,"centerX":60,"centerY":262},0.167219,0.662252,0.498344,{"type":34,"id":264,"title":265,"url":266,"topic":267,"accessLevel":81,"picture":268},"2-1-1715295","EU's Net-Zero Industry Act 'a toothless tiger' says wind turbine group","https://www.rechargenews.com/wind/eus-net-zero-industry-act-a-toothless-tiger-says-wind-turbine-group/2-1-1715295",{"label":203,"name":203},{"type":40,"src":269,"caption":270,"credit":43,"ratio":44,"imageCrops":271,"pointOfInterest":275},"https://images-global.nhst.tech/image/Vk5FWVlIbUx5SGNzbVIybGVWT2F2aEZqenpZalNOdnY0U2VKL0RFamdIbz0=/nhst/binary/86a9549396366dc094577d2f299c6df7","Enercon COO Schulze Südhoff.",{"2x1":272,"free":273,"3x2":274},[47,54,49,50],[47,47,49,52],[47,47,49,55],{"originalWidth":49,"originalHeight":52,"x":57,"y":47,"width":58,"height":59,"centerX":60,"centerY":60},{"type":34,"id":277,"title":278,"url":279,"topic":280,"accessLevel":81,"picture":281},"2-1-1700138","'Clearly noticeable upswing in German market' lands Enercon large wind turbine order","https://www.rechargenews.com/wind/clearly-noticeable-upswing-in-german-market-lands-enercon-large-wind-turbine-order/2-1-1700138",{"label":126,"name":126},{"type":40,"src":282,"caption":283,"credit":43,"ratio":44,"imageCrops":284,"pointOfInterest":293},"https://images-global.nhst.tech/image/Z2JwZmllL1BhWEpSNXFHSkR2OTllZzROci9VN1M3TmZzTnk5SU5DaW1kND0=/nhst/binary/ac084dea139ea3bbe90e3c0fc668e6b9","Enercon chief commercial officer Uli Schulze Südhoff.",{"2x1":285,"free":289,"3x2":290},[47,286,287,288],202,1301,650,[47,47,49,52],[47,291,49,292],67,1065,{"originalWidth":49,"originalHeight":52,"x":57,"y":47,"width":58,"height":59,"centerX":60,"centerY":60},{"type":34,"id":295,"title":296,"url":297,"topic":298,"accessLevel":299,"picture":300},"2-1-1615547","Enercon sales chief: Western OEMs recovering but hard to compete with US, Chinese subsidies","https://www.rechargenews.com/wind/enercon-sales-chief-western-oems-recovering-but-hard-to-compete-with-us-chinese-subsidies/2-1-1615547",{"label":203,"name":203},"open",{"type":40,"src":301,"caption":283,"credit":302,"imageCrops":303,"pointOfInterest":313},"https://images-global.nhst.tech/image/Z2JwZmllL1BhWEpSNXFHSkR2OTllZzROci9VN1M3TmZzTnk5SU5DaW1kND0=/nhst/binary/7e02fb85656f18b0bb124c153bc3fea0","Foto: Bernd Radowitz",{"5x7":304,"2x1":307,"free":311,"3x2":312},[305,47,306,52],375,848,[47,308,309,310],245,1089,544,[47,47,49,52],[47,291,49,292],{"originalWidth":49,"originalHeight":52,"x":57,"y":47,"width":58,"height":59,"centerX":60,"centerY":60},38,{"authors":316,"options":327},[317],{"type":318,"name":319,"source":320,"sourceId":321,"email":322,"userName":323,"hasAuthorPage":9,"options":324},"author","Bernd Radowitz","drpublish","1140","bernd.radowitz@rechargenews.com","b_radowitz",{"alternativeBylineProfileText":325,"profileTitle":326},"Bernd Radowitz is Europe Editor at Recharge, specialising in offshore wind, EU policy and energy transition news. 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