Wind farm not worried by turbine maker's woes

Canberra Times
Monday 27/7/2009 Page: 5

The Bungendore windfarm has no qualms using the turbines of manufacturer Suzlon despite reports the company is in financial danger. An article published in the Australian Financial Review weekend edition raised questions over Suzlon Energy's finances and the quality of its turbines. The article reported lenders were uneasy supporting projects using the Indian firm's products because of concerns regarding the company's financial viability.

Suzlon was rated as the world's fifth-largest supplier of wind turbines last year. Suzlon S-88 turbines are used at Infigen Energy's Capital Wind Farm near Bungendore, as well as at farms in South Australia. Spokesman David Griffin said he thought the article was foolish. "[Wind farm operators] go through a very extensive process in selecting the technology, and we've all come to the conclusion they are a very solid company to do business with," he said.

He said the windfarm had taken all steps to secure itself from any potential fallout. "It doesn't matter what manufacturer we buy turbines from, we approach it in the same way," he said. "And that is we are going to have a longterm relationship, but we have to plan for the worst as well." He said Infigen Energy had financial safeguards in place and extensive access to spare parts. Capital Wind Farm has a five-year service and maintenance contract with Suzlon.

The Bungendore turbines are gradually coming on line. Some of the 67 turbines had begun turning and power was being generated but the commissioning process was not expected to be complete until September, Mr Griffin said. Sydney renewable energy firm Epuron received NSW Government approval this month for a $250 million windfarm in the Cooma region.

Executive director Martin Poole said it was too early to say whether Suzlon would supply turbines at the site, which is awaiting Federal Government legislation for a 20% mandatory renewable energy target. Mr Poole had not read the Australian Financial Review article, but said the Indian maker had a good reputation. "Suzlon's a well-known and reputable company that's installed a lot of turbines around the world." he said. "I know that plenty of people would consider them for projects.., in fact they've got a lot of turbines in South Australia already."

He would not comment on whether the damaging reports about Suzlon would affect business decisions regarding the Gullen Range development. The 73-turbine windfarm will be about 25km west of Goulburn. The project initially promised 84 turbines, but was scaled back to meet NSW Government approval conditions.

Last year an American firm pulled out of a 150-turbine deal with Suzlon after the Indian company was forced to recall some of its S-88 turbines when blades began cracking. Mr Poole said he was aware of the issue, was under the impression Suzlon had addressed the problem and the debacle could not be repeated in Australia. "The technology that was in the US doesn't exist in Australia, and it never will. There's no way that stuff would be installed in Australia by anybody."