WindEnergy Wind Energy China

January2010

ExecutiveSummary
Totalwindinstalledcapacitywaspeggedat12,210MWin2008 Windenergyinstallationsgrewby107%in200708 InnerMongoliaAutonomousRegionhasthehighestcapacityofinstalledwindpower ItisestimatedthatChinawillbethegloballeaderinwindenergyinstallationby2012 By2020,installedcapacityisexpectedtoreach100GW

Market

Drivers:

Challenges:
Weakgridstructureandsupplyof k d d l f resources Pricebarrier

Drivers& Di & Challenges

Abundanceofresources Governmentsubsidies StrongInvestmentPotential Joint Ventures for component development JointVenturesforcomponentdevelopment Emphasisoncapacitybuildingaffectingefficiency Focusonoffshorecapacitygeneration Coalbackupforwindpoweredelectricity

Trends

Themarkethasasizeablenumberofplayerswithstronginfluxofforeignplayers

Competition
Majorplayers
Sinovel Wind

DomesticPlayers
GoldwindScienceand TechnologyCo.Ltd. Shanghai Electric Electric Group VestasWind Systems

ForeignPlayers
Gamesa NordexAG Nordex AG

WINDENERGY CHINA.PPT

Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

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Worldwindenergymarkethasbeengrowingsteadilywith thegrowingdemandforrenewableenergysources
Overview
Windisadomestic,inexhaustiblesourceof energyandisfreefromfuelpricevolatility Windenergyaccountedfor1.5%ofthetotal electricitygeneratedin2008 In2008,globalwindturbineinvestments amountedtoUSD52.5bn amounted to USD 52 5 bn
USD15.8bnwasinvestedintheEU27

InstalledCapacity
MW
200,000 150,000 100,000 50,000 50 000 0 93,927 74,151

+27%
121,188

190,000 152,000

Over200508,theglobalmarketforwind turbineshasincreasedby3040%annually
Capacityofwindturbinesinstalledhavebeen f d b ll d h b growingto3MWandhighertowardslargescale capacityadditions

2006

2007

2008

2009e

2010e

ElectricityGeneration
bnkWh
1,500 1,214 1,000 1 000 500 127 0 500 312

99%ofglobaloffshoreinstallationsarelocated inEurope in E rope Chinahasbeenpeggedasoneofthemost dynamicwindmarkets

In2008,thewindmarketmorethandoubledthe installationsforthethirdconsecutiveyear

+10%
864 687

2006

2010e

2015e

2020e

2025e

2030e

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Majorgrowthinglobalwindenergymarketisexpectedto takeplaceinNorthAmericaandChina
Overview
Ithasbeenestimatedthatglobalwindenergy capacitywillreach1,500GWby2020
Largescaleinvestmentsinresearchand developmentwillfurtherthemarket Improvinggovernmentpolicieswillcreate incentivesforinvestmentsamongnewand existingplayers

ExpectedCapacityBreakdown
2020
2.0% 6.0% 3.0% 8.0% 5.0%

50.0% p Europe NorthAmerica China India OECDPacific Transition Economies

26.0% 26 0%

CapacityAdditionin2008
UnitedStates China 31.7% 31.6% India Germany RestoftheWorld 6.3% 6.6% 2.0% 5.0% 3.0% 9.0% 10.0%

2030

Restofthe World

46.0%

23.8% 23 8%

27.0%
NOTE:TransitionEconomies FormerSovietUnionstates,apartfromthosenowpartoftheEU WINDENERGY CHINA.PPT

Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

WINDENERGY CHINA.PPT

Overallenergymarket,inChina,hasbeengrowingsteadily withcoalbeingthemajorsourceofenergy
Overview
Chinaisthesecondlargestconsumerof energyintheworldaftertheU.S.
Itaccountsfor16%oftheenergyconsumed globally

TotalEnergyConsumption
QuadrillionBtu
200 150 100 50 0 74 91 106

+3% 3%
124 141

156

Itsenergydemandisforecastedtogrowat4% annuallytill2030 y Chinahassetatargetofderiving20%of energyfromrenewablesourcesby2020

80%ofitsenergyisestimatedtobederived predominantlyfromcoal predominantly from coal

2006

2010e

2015e

2020e

2025e

2030e

EnergyMix(2008)
0.8% 5.9% 3.4% 0.1% Coal Oil Hydro Gas Nuclear 70.4% Others

Governmentsplansandprograms,lawsand standards,fiscalincentivesandsubsidies, industrialpromotionandpricemanagement policiesisexpectedtopositivelyimpactthe policies is expected to positively impact the renewableenergymarket

19.5%

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WindenergyinChinahasbeengrowingdynamicallyandis expectedtoattractfurtherinvestments
Overview
Windenergyinstallationsgrewby107%in 200708,secondonlytoBulgaria InnerMongoliaAutonomousRegion,an importantenergybaseinNorthChina,hasthe highestcapacityofinstalledwindpower Itplansondevelopinglargescale,centralized It plans on developing large scale centralized projects,withhighvoltageandlongdistance transmission TheChinesewindindustryisheavilyrelianton financingthroughtheKyotoProtocol sClean financing through the Kyoto Protocols Clean DevelopmentMechanism Costcompetitivenessandgovernment initiativeshasallowedthemarkettodevelop ItisestimatedthatChinawillbetheglobal leaderinwindenergyinstallationby2012

InstalledCapacity
MW
100,000 100 000 80,000 60,000 40,000 20,000 0 567 5,910 764 1,260 2,599 12,210 30,000 100,000

+36%

2003 2004 2005 2006 2007 2008 2010e 2020e

ElectricityGeneration
bnkWh
400 315 300 200 100 0 2 28 42 70 99

+23%

2006

2010e

2015e

2020e

2025e

2030e

WINDENERGY CHINA.PPT

Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

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DriversandChallenges Summary

Challenges Drivers
Abundanceofresources Governmentsubsidies StrongInvestmentPotential Weakgridstructureandsupplyof resources Pricebarrier

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Abundanceofonshoreandoffshorewindpowerresources willactasamajordriverforthemarket
Abundanceofwindresourcesacrossprovinces
Technicallyexploitableresourceisaround1200GW,distributedacrossthesoutheastcoastal areas,adjacentislands,farnorthandtheQinghaiTibetanPlateau VaststretchesofbarrenplainsaidedbythecircumpolarjetstreamcurrentgivesNorthChina anannualpowerdensityrangeof200300wattspersquaremeter
Windshavehighmeanspeedsexceeding910meterspersecond ChiefareasincludeInnerMongoliaAutonomousregion,Hebei,Jilin,Liaoning,Heilongjiang,Gansu,Xinjiang, Ningxia

Impact

InsoutheasterncoastalregionslikeShangdong,Zhejiang,Hainan,Guangdong,Guangxiand Shanghai,windenergydensityisaround200wattspersquaremeter Easterncoastalwaterswith520mdepthyieldestimatedwindenergypotentialof~700GW Thecountryswindandhydroresourcescomplementeachotherindifferentseasons:

Windenergyisinpoorsupplyinsummerbutiscompensatedbyabundantrainfallwhichstabilizesenergy supply

Chinathusaimstoleverageitsgeographicaladvantagetoreducedependenceoncoalfired energygenerationwithitsrenewableenergyalternative

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Governmentincentivesandinfluxofinvestmentswillboost windpowergenerationacrossprovinces
Subsidies,financingprogramsandtaxconcessionshavepropelledgrowth
ChinaswindpowersubsidieshadrisenfromUSD17mnin2002toUSD352mnin2008 In2002,theMinistryofFinanceandtheStateDutyBureaureducedVATonwindenergy generationfrom17%to8.5%
AveragepricedecreasedbyUSD0.05 0.06perkWh

Impact

WindPowerConcessionwasintroducedthatallowedlocalgovernmenttoinviteinternational anddomesticplayerstodevelop100MWwindfarmsonpotentialwindsites StateEconomy&TradeCommission(SETC)implementedtheNationalDebtWindPowerProgram

Thisgavefavorableinterestsubsidiestobuildwindfarmswithlocallymanufacturedturbines

Stronginvestmentpotential Strong investment potential

Newsustainableenergyinvestmentgrewby18%in2008toUSD15.6bn,usedprimarilyforwind energyandsomebiomassplants Chinesewindpowercompaniesthatarewhollyownedormajority(51%)ownedget(Clean DevelopmentMechanism)CDMcertificationswhichincreasesreturnsforprojectinvestors
ChinasCDMProjects,asofOctober2008,stoodat254withanestimatedcapacityof13,072MW

Impact

Largescaleinvestmentsareflowinginduetothehighdemandandprofitabilityprospects Thishastriggeredgreatercapacityinstallationformoreelectricitygeneration

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Gridconstraints,geographicaldemandsupplymismatch andpricingwillactasbarrierstogrowth
Weakgridstructureandsupplyofresources
GeographicaldistributionofthewindresourcedoesnotsuitChinaspowerloadprofile
Northernareaswithaplentifulwindpowerarelesspopulatedandhaverelativelylittledemand Coastalregionswithhighpowerloadhavefewerwindrichareas

Impact

Areaswithabundantwindresourcesarefarawayfromthepowerloadcentresandrequire improvedtransmissionmechanismstosupplypowertorequireddestinations Mostnewwindfarmsareinthenorthwest,wheregridstructureisweak Growthaheadofnationalplan,makesitdifficulttoaligngridplanningandprojectdevelopment

Cumulativewindcapacitywassetat10GWby2010buthasalreadyovershot12GWin2008

In2008,theindustrysuffered300mnkWhlossesduetothebrownoutsofpowergrids
Of China's 12 2 GW of installed power in 2008 only 8 9 GW reached the electrical grid OfChina s12.2GWofinstalledpowerin2008,only8.9GWreachedtheelectricalgrid

Highelectricitygenerationprices
Thegovernmenthasstoppedbiddingsystemthroughtendersandinsteadhassetfixedprices
Thismovewasmadetopromotewideradoptionofrenewableenergyandensurprofitabilityofwindfarms

Impact

Investorsbenefitfrompriceguaranteebutcoalpoweredelectricitygainspriceadvantage Windpoweredelectricitynowcostsbetween0.510.61YuanperkWh,whichismorethan doublethepriceofthermalelectricitywhichisaround0.35perkWh Pricesarelesscompetitiveasthereisnosubsidyforoffgridinstallationslikethesolarsector, wheretheyaresubsidizedby70%

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Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

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Trends Summary

Coalbackupforwindpower plants

Internationalparticipation

Key Trends
Growthinoffshorewind generation Pushformorecapacityaffecting qualityofoutput

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Markethasobservedpartnershipsbetweendomesticand foreignplayers
Internationalparticipation
Initially,Chineseturbinecompanieslaggedbehindforeignmanufacturers
Theycouldnotrampuptoutilityscaleturbinesof1MWormore Theyusedfixedpitch,constantspeedcontrolsystems,whichwerelessefficientthanthevariablepitch, variablespeedcontrolsystemsemployedinWesterncountries

LocalsourceprovisionofChinasRenewableEnergyLawmotivatedmostmajorforeignwind companiestopartnerwithChinesecompaniesandbuildfactoriesinChina Locally manufactured components combined with the expertise of foreign firms has led to Locallymanufacturedcomponentscombinedwiththeexpertiseofforeignfirmshasledto reducedproductioncosts MajorJointVentures
Year 2009 2009 2005 2005 2001 ChineseCompany ChinaHuadianNewEnergy DevelopmentCo. ChongqingXinXingFengneng Investment CASC NingxiaElectricPowerGroup NingxiaTianjingElectricEnergy QingdaoWindEnergy Qingdao Wind Energy GenerationEquipmentWorks ForeignCompany Gamesa(Spain) GEDrivetrainTechnologies (USA) AccionaEnergia(Spain) Nordex(Germany) AEROMAGCorp(USA) JVProductOffering Windturbines Largediametergearsforwind turbinesindustry Windturbines MWclassturbines Windturbineswithrotary Wind turbines with rotary engines

Global integration integration developingthe market

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Playersinthemarkethavebeenfocusingoncapacity installationandareexpandingoffshorepowergeneration
Pushformorecapacityaffectingqualityofoutput
Withmorefocusoncapacitybuildingthanonquality,efficiencyisbeinghampered
Farmstake5yearstobebuiltbutarenowmadefastandwithoutadequateresearch,tomeetstatetargets Thus,theylackguaranteeofloadfactorandoutputleadingtonoguaranteeoffinancialviability

Whilepowergenerationcapacityincreased10fold,efficiencyofgenerationstayedconstantat 10%between20052008withsignificantidlepower
InnerMongolia'spowercapacityisabout3.5GWbutnearlyonethirdofthathasbeenidle FromJanSep2009,windfarmsproduced18.2bnkWhofelectricitynationwide,whichwasonlyabout0.45 %oftotalelectricitychurnedoutbyChina'smajorpowerplants

Lackof efficiency efficiency despitehuge growth

Growthinoff shorewindgeneration Growth in offshore wind generation

ChineseNationalDevelopmentandReformCommission(CNDRC)estimatesanoffshoremarket withpotentialexploitablecapacityof100GWinwatersof10mdepth
Windfarmsinwatersupto20mand30mdepthcouldleadto300GWand500GWwindpower respectively

Tappingoff shorereserves ofwindpower

Chinaplanstoincreaseinstalledwindpowercapacityto35GWbytheendof2011
5GWofwhichistobefromoffshorewindfarms

DongHaiBridgewindfarm,beingbuiltnearShanghaiandisthefirsttobeapprovedbyCNDRC NanriIslandinFujianisanotheroffshorewindplantprovidingelectricityto50,000islanders

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Inconsistencyinwindpowerbeingcheckedbycoalbacked powerreserves
Coalbackupforwindpowerplants
InseveralpartsofChina,windpowervacillatesbetweenextremes Astransmissioncannotcopewiththeintermittentnatureofwind,thegovernmentisadding backupcoalfiredpowerplantstobalancethelows Coalfiredcapacityismeetingdemandwheneverwindpowergenerationisnotpossible
Thisinturnensuresgridsafetyandchecksbrownouts

Coaltosupport Coal to support windpower

Ultrahighvoltagehybridpowerlinesareusedwhichcarryupto6.4GWofstablepower InJiuquan,coalfiredpowerplantswith13.6mnKWofinstalledcapacitywillbeaddedby2020 tosupportwindenergygeneration Thus,windpowerinChinanowentailsaddingnewpollutingcoalfiredpowerstations

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Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

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GovernmentInitiatives Summary
NationalRenewableEnergy Standard

ResearchandDevelopment

BuyChineseProcurement B Chi P t Policy

KeyInitiatives

RenewableEnergyLaw

FeedinTariff

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GovernmentInitiatives(1/4)
NationalRenewableEnergyStandard Mandatesand earlyeffects l ff
Chinaselectricitydemandisexpectedtoincreaseby250%between2004and2030 Targetsettogenerate20%ofenergyfromrenewableenergysourcesby2020toreducecarbonemissions Shutdownleastefficientcoalpowerstationswithcapacityunder100MW Shut down least efficient coal power stations with capacity under 100 MW In2008,4.14bnKWhofwindelectricitywasgeneratedfromInnerMongoliathatsaved1.45mntonsofcoal andreducedemissionsof3.78bntonsofcarbondioxide

Investment I t t

EstimatedmarketforcleanenergytechnologywillgrowtoUSD190bnin2010andUSD585bnin2020, p presentingawiderangeofopportunities g g pp ChinaisspendingUSD9bnamonthoncleanenergy ProposedinvestmentUSD140bnforbuilding7windfarmsby2020,eachwithminimumcapacityof10GW

GenerationTargets
EnergyType Hydro Wind Biomass BioEthanol BioDiesel SolarPower SolarWaterHeaters l 2010 190GW 30GW 5.5GW 3mnton 0.2mnton 0.3GW 150mnm3 2020 300GW 100GW 30GW 10mnton 2mnton 20GW 300mnm3

CarbonDioxideEmissionsfromEnergyConsumption
MMT
10,000 5,000 0 4,102 5,132

+11%
5,558 5,862 6,283

2003

2004

2005

2006

2007

Chinaistheworld slargestemitterofcarbondioxide China is the worlds largest emitter of carbon dioxide

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GovernmentInitiatives(2/4)
BuyChineseProcurementPolicy
In2004,NDRCformulatedthatforanywindfarmproject70%oftheequipmentistobemanufacturedin China In 2008 tariff free import of wind turbines less than 2 5 MW capacity was eliminated In2008,tariff freeimportofwindturbineslessthan2.5MWcapacitywaseliminated ProjectsundertheUSD586bnstimuluspackagerequiregovernmentpermissiontobuyforeignpartsor services Settinganequipmentratioforwindfarmssupportsthegrowthofdomesticturbinemanufacturingindustry Withinstallationofturbinesunder1,000KWstopped,Europeanmanufacturerswerebarredfromenteringthe , pp , p g marketastheycommonlyproduce850KWturbines IncreaseindomesticturbinesmarketreducedproductioncostsandalsogeneratedjobsinChina

Directives

Effects Eff t

MarketShareofForeignTurbineMakers
% % 100 50 0 2004 2009
79% 17%

1997
RidetheWind programrequiredwind turbinegeneratorsto g use20%localparts

2000
9th FiveYearPlanpegged minimumlocal componentsat40%, p , made50%in2003

2004
Adjustedtheimport customtariffonWTGto 8%andthatofits componentsto3%

2008
Tarifffreeimportof windturbinesunder2.5 MWstopped MW t d

2009
Bannedinstallationof foreignwindturbines withcapacitylessthan p y 1000KW

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GovernmentInitiatives(3/4)
FeedinTariff
Tomaximizewindelectricityproductionandmeettargetinstalledcapacityby2020,thegovernmentthrough concessionprogramsinvitedopenbiddingbyforeignanddomesticplayersfor100MWfarms Thepolicyhasbeenrevisedonlyrecentlytoprotecttheinterestofwindfarmsbycheckingunderbidding Feedintariffs,byensuringstipulatedelectricityrates,hasattractedinvestmenttothissector

Overview

Before Benchmarking

TillJuly2009,governmentselectedpotentialinvestorswithpowerpriceanddomesticcontentaskeycriteria Purchaseofallelectricitygeneratedwasthenguaranteedthroughlongtermpowerpurchaseagreements Applicablefeedintariffsweredeterminedbasedon2differentperiodsduringtheprojectslifetime typically 25years Inthefirstphase,feedintariffequaledthebiddingpriceproposedbythewinningbidderuptoanelectricity generationlevelof30,000accumulativeequivalentfullloadhours ti l l f 30 000 l ti i l t f ll l d h Inthesecondpart,feedintariffwassetastheaverageelectricitypriceofthelocalgridatthattime Feedintariffsforwindpowerprojectsapprovedfrom1August2009onwardsarefixedonacentrally determinedpricebasis determined price basis Chinaisdividedinto4differenttypesofwindpowerresourceareaswithdifferentwindelectricityprices ElectricityinhighwindpowerregionslikeInnerMongoliacost0.51Yuan/kWhwhereasinleastpoweredareas itcosts0.61Yuan/kWh Standardizedpriceswouldavoidthecurrentlowreturns,leveloutlossesbeingexperiencedbygeneratorsand thusstimulatewindpowerinvestments

CurrentScenario

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GovernmentInitiatives(4/4)
RenewableEnergyLaw
ImplementedfromJanuary2006,aimingtopromotetheuseofrenewableenergy,increaseenergysupply, safeguardenergysecurityandprotecttheenvironment Accordingtothelaw,apowergridcompanymustsignagridconnectionagreementwiththewindpowergenerating companyandpurchasethefullamountofthewindpowergeneratedbyit Gridcompaniesarespecificallyrequiredtoexpandthescopeofdistributionofpowergeneratedfromrenewable energies,developandapplytechnologieslikesmartpowergridsandenergystorageforbetterpowermanagement Thisistoensureoptimumgridconnectivityandreduceidlepower

OptimisingGrid Optimising Grid PowerCapacity andElectricity Generation

InvestmentinResearchandDevelopment
National Development and Reform Commission (NDRC) and the Ministry of Science and Technology (MOST) have NationalDevelopmentandReformCommission(NDRC)andtheMinistryofScienceandTechnology(MOST)have bothdirectlysubsidizedresearchanddevelopmentonkeyrenewableenergytechnologies MOSTsupportsresearchanddevelopmentthroughtwonationalHighTechResearchandDevelopmentprograms
863Programsupportsthecommercializationofnewtechnologies

R&DSupport R&D Support

973Programsupportsbasicscienceresearch

TheseprogramshelpChineseWTGmanufacturerstosuccessfullydevelophighqualitycomponents SubsidiesforR&Denablefirmstobuildstrongtechnologicalsupportandexpandrapidly MingyangElectricCo.Ltd.receivedUSD8.78mnfederalsubsidiestodevelopits1.5MWand3MWwindturbines p SinovelWindCo.Ltd.receivedUSD11.27mnsubsidiesfromtheNDRCtodevelopoffshorewindturbines

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Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

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Chinaswindenergymarkethasbecomehighlycompetitive withmanylargeplayerslookingtogainmarketshare
Overview
Chinahasbecometheworldslargestmarket fornewinstalledwindcapacityglobally Therearemorethan70windturbine manufacturersinChina Domesticplayershavebeenfocusingon meetingindigenousdemand meeting indigenous demand

MarketShare(2008)
Sinovel 22.4% 22 4% 41.8% 18.1% 8.1% 9.6% Goldwind Vestas Gamesa Others

TypesofWindTurbinesSold
Type Above1.5MW 1.5MW 1 5 MW 850Kw 750KW 600Kwand below b l 2006 6% 23% 35% 31% 5% % 2007 11% 40% 24% 25% 0% % 2008 14% 42% 21% 23% Increasing salesof largescale l l wind turbines

SegmentationAmongProducers
Domestic Foreign 100% 45.0% 45 0% 57.5%

75.6%

55.0% 0% % 2006
WINDENERGY CHINA.PPT

42.5% 2007

24.4% 24 4% 2008 26

DomesticPlayersintheMarket(1/12)
CompanySnapshot:APowerEnergyGenerationSystemsLtd.
CorporateInformation
Headquarters H d t Founded AreaofExpertise KeyPeople Shenyang Sh 2003 Distributiongenerationsystemsand manufacturingwindturbines JinxiangLu ChairmanandCEO JohnS.Lin COO

FinancialPerformance
Revenue USDmn
300 200 100 0 75.5 98.7 98 152.5

Revenue Profit/Loss
264.9

Profit fi USDmn
40 30 20 10 0

2005

2006

2007

2008

BusinessHighlights Business Highlights

ThelargestproviderofdistributedpowergenerationsystemsinChina,focusingonenergyefficientand environmentallyfriendlyprojectsof25MWto400MW In2008,itenteredthewindenergymarket IthasbuiltChina'slargestwindturbinemanufacturingfacilityinShenyang,LiaoningProvince
Totalannualproductioncapacitystandsat1,125MW TechnologieshavebeenlicensedfromGermanFUHRLANDERAGandDenmarkbasedNorwin

March2009,enteredintoanagreementwithGEDrivetrainTechnologiestoproducewindturbinegearboxes H HasstrategicrelationshipswithTsinghuaUniversityinBeijingandtheChinaAcademyofSciencesinGuangzhouto i l i hi i hT i h U i i i B iji d h Chi A d fS i i G h developandcommercializeotherrenewableenergytechnologies

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DomesticPlayersintheMarket(2/12)
CompanySnapshot:ChinaResourcesPowerHoldingsCompanyLtd.
CorporateInformation
Headquarters H d t Founded AreaofExpertise KeyPeople HongKong H K 2001 Investment,development,operationand managementofpowerplants WangShuaiTing PresidentandCEO WangXiaoBin CFO

FinancialPerformance
Revenue USDbn
4 3 2 1 0 0.8 1.3 2.2

Revenue Profit/Loss
3.4

Profit fi USDmn
500 400 300 200 100 0

2005

2006

2007

2008

BusinessHighlights Business Highlights

DevelopedaplantinChengtiancomprisingof660.75MWwindturbineunitssourcedfromdomesticmanufacturers; electricitygeneratedbythewindfarmissoldintotheGuangdongprovincialpowergrid
OngridtariffhasbeenapprovedatUSD102.5/MWh)

Th Chi R TheChinaResourcesPowerQiaowanPhaseIWindFarmProject P Qi Ph I Wi d F P j t
Plansonbuilding201MWofcapacitywithintheGansucomplex Theplantisexpectedtocommencecommercialoperationin2010andwillsupplyelectricitytothenorthwesternpowergrid

PlansonspendingUSD293439mnannuallytoboostitswindpowergeneratingcapacity,takingadvantageofstate supportpoliciesforcleanenergy support policies for clean energy

Thisinvestmentwillallowthedevelopmentofsixwindfarmswithtotalgeneratingcapacityof300MW

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DomesticPlayersintheMarket(3/12)
CompanySnapshot:ChinaWindpowerGroupLimited
CorporateInformation
Headquarters Founded AreaofExpertise KeyPeople HongKong Hong Kong NA Windfarminvestment,equipment manufacturing,anddesign,construction, operationandmaintenanceofwindfarms ti d i t f i df LiuShunxing ChairmanandCEO

FinancialPerformance
Revenue USDmn
80 60 41.5 40 20 0 5 6.3 7.6 0 60.1 10

Revenue Profit/Loss

Profit fi USDmn
15

2005

2006

2007

2008

BusinessHighlights Business Highlights

ItcurrentlyhasseveralwindfarmsinJilin,LiaoningandInnerMongolia,togetherwithapproximatelytenwindpower subsidiariesinvolvedinwindfarmconstruction,operationandmaintenance,equipmentmanufacturing,gearbox design&componentsfabrication E t d i t EnteredintoanagreementwithFuxinMunicipalGovernmentofnortheastChina'sLiaoningProvincetoacquirethe t ith F i M i i l G t f th t Chi ' Li i P i t i th exclusiverightsforexploring500MWwindpowerresources Itplansoninvestingina1,500MWwindfarminBaichengCityinnortheasternChina'sJilinProvince
ItplansonsellingtheelectricitygeneratedbythewindfarmtothepowergridforUSD0.089perkilowatthour It signed an MOU with the Baicheng Wind Power Development Steering Committee for the development of this wind farm ItsignedanMOUwiththeBaichengWindPowerDevelopmentSteeringCommitteeforthedevelopmentofthiswindfarm

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DomesticPlayersintheMarket(4/12)
CompanySnapshot:CLPGroup
CorporateInformation
Headquarters H d Founded AreaofExpertise KeyPeople HongKong H K 1901 Electricitygeneration,transmissionand distributionbusiness distribution business AndrewCliffordWinawerBrandler CEO

FinancialPerformance
Revenue USDbn
8 5.9 6 4 2 0 4.9

Revenue Profit/Loss
6.5 7.0

Profit fi USDbn
2.0 1.5 1.0 0.5 0.0

2005

2006

2007

2008

BusinessHighlights Business Highlights

ThelargestexternalinvestorinChina'spowerindustrywithinterestsinnearly20projectslocatedacrossnine provinces DevelopedtheChangdaowindfarmintheShandongProvinceof27.2MWcapacity ItplansondevelopingthelargestoffshorewindfarminAsiaatacostofUSD903mn
Theprojectinvolveserecting67turbines,about125metreshigh,ninekilometresoffHongKong'seasterncoast

PlansonbuyingallthewindpowergenerationassetsinChinacurrentlyheldbyits50%ownedunitRoaring40s RenewableEnergyPvt.Ltd.forUSD94.2mn P PresenceincountriesacrosstheworldincludingChina,India,Australia,TaiwanandThailand i ti th ld i l di Chi I di A t li T i d Th il d

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DomesticPlayersintheMarket(5/12)
CompanySnapshot:HuanengPower
CorporateInformation
Headquarters H d Founded Products KeyPeople Beijing B iji June1994 Powergeneration PeixiCao Chairman XiaxiaFan Director

FinancialPerformance
Revenue USDmn
10,000 8,000 6,000 4,000 2,000 0 4,898.2 5,544.3 6,534.5

Revenue Profit/Loss

Profit USDmn 9,724.0 1,000

500 0 500 1,000

2005

2006

2007

2008

BusinessHighlights Business Highlights

HuanengPowerInternationalIncreceivedgovernmentapprovaltobuilda199.5MWwindpowerprojectinChina's Gansuprovince
ThetotalinvestmentamountoftheprojectisestimatedtobeUSD299mn It is one of twenty separate projects with 3 800 MW of combined capacity Itisoneoftwentyseparateprojectswith3,800MWofcombinedcapacity

Undertookongridoperationofa300,000KWwindpowerstationinFuxin,LiaoningProvince
ItplanstoinvestmorethanUSD7.3bnintheprovinceby2015 Huanengplanstohave10mnkwofinstalledcapacityinoperationorunderconstructionbythesametimeline

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DomesticPlayersintheMarket(6/12)
CompanySnapshot:ShanghaiElectricGroupCo.Ltd.
CorporateInformation
Headquarters H d t Founded AreaofExpertise KeyPeople Shanghai Sh h i 1949 Mechanicalandelectricalequipment manufacturer ShipingZhou Chairman JiSun CFO

FinancialPerformance
Revenue USDbn
10 8 6 4 2 0 0 4.4 7.4 5.5 400 200

Revenue Profit/Loss
8.5

Profit fi USDmn
600

2005

2006

2007

2008

BusinessHighlights Business Highlights

ItplansondesigningChinaslargestoffshorewindturbineandaimstobeginproductionbyJune2010
The3.6MWturbineisexpectedtohaveturbinebladeswithadiameterof116metersandwilleachweigh90tons

ItplansonboostingitsrevenuefromwindpowerturbineproductiontoUSD1.46bnby2011 Thecompanycurrentlyspecializesinmanufacturing1.25MWand2MWwindturbinesandhastwofactoriesin China,oneinShanghaiandtheotherinTianjinMunicipality In2009thecompanyhasbeenestimatedtomanufacture500windturbines,alargeincreasefrom22in2007

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DomesticPlayersintheMarket(7/12)
CompanySnapshot:XianAeroEnginePLC
CorporateInformation
Headquarters H d Founded Products KeyPeople Changchun Ch h 1958 Precisioninstruments,gasturbines,wind turbinegenerators,textilemachines,etc MaFuan ChairmanandPresident LiangWang Director

FinancialPerformance
Revenue USDmn
800 600 400 200 0 149.1 447.9

Revenue Profit/Loss
601.0

Profit fi USDmn
20 15 10 5 0

2006

2007

2008

BusinessHighlights Business Highlights

Xi'anaeroenginePLCwonlongtermorderfromPratt&Whitney
ThecontractisvaluedatUSD85.4mnforthefirstsevenyearsofthecontract ItwillserveasastablesourcefortheexportbusinessofXi'anAeroengineandhelpPratt&Whitneysecureproductioncapacity

Th Thecompanywonthe"Xi'anEnvironmentalManagementadvancedunit"titleforgivinghighpriorityto th "Xi' E i t lM t d d it" titl f i i hi h i it t environmentalconcernsanddevelopingproductsinlinewithgreenideas Recently,itsphysicalandchemicaltestcentersuccessfullypassedthequalitytestofGEsaudit

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DomesticPlayersintheMarket(8/12)
CompanySnapshot:ChinaDatangCorporation
CorporateInformation
Headquarters q Founded AreaofExpertise Financials KeyPeople NA 2002 Powergeneration 08:Revenue USD14.9bn NA

BusinessHighlights
Itisalargescaledpowergenerationenterprisegroup g p g p g p andisasolelystateownedcorporationdirectly managedbytheCPCCentralCommittee RegisteredcapitalstandsatUSD2.3bn Begantheconstructionofitsfourthwindpowerplant ineasternChina'sShandongprovincewithcapacityof 49.5MW

CompanySnapshot:ChinaWindPowerInternationalCorp.
CorporateInformation
Headquarters Founded AreaofExpertise Financials KeyPeople Toronto,Canada 2006 Windenergygeneration NA JunLiu CEO WendellZhang CFO g

BusinessHighlights
TheCompanyindirectlyholdstheexclusiverightsfor windenergydevelopmentinDuMonCounty, HeilongjiangProvince Heilongjiang Province Currentlyplansondeveloping546MWofwind generationcapacitythrough5developmentphases Longtermtargetistodevelop1,150MWofwind capacity

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DomesticPlayersintheMarket(9/12)
CompanySnapshot:ChongqingXinXingGearCo
CorporateInformation
Headquarters Founded Products Financials KeyPeople BeibeiDist. Beibei Dist. 1993 Gears NA XingmingLiChairman

BusinessHighlights
PartneredGEDrivetrainTechnologiesoproducelarge g p g diametergearsforthewindturbineindustry
Underthetermsofthejointventure,ChongqingXinXing Fengnengwillbethemajorityowner Gearswillbeproducedinanewmanufacturingfacilityin Chongqing,China Chongqing China

CompanySnapshot:DongfangElectricCorporation
CorporateInformation
Headquarters Founded Products Financials KeyPeople Key People Chengdu 1984 Windturbinemanufacturer NA NA

BusinessHighlights
Stateownedcorporation Plansonboostingoutputofwindturbinesby50%in 200910toreachitstargetofmakinggeneration 2009 10 t h it t t f ki ti equipmentfor22,000MWofpower In2008,itsproductioncapacitystoodat8001.5 MWunits

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DomesticPlayersintheMarket(10/12)
CompanySnapshot:GCChinaTurbineCorporation
CorporateInformation
Headquarters q Founded AreaofExpertise Financials KeyPeople Wuhan 2006 Manufactures2bladewindturbines, hydraulicandelectroniccontrolsystem NA HouTieXin Chairman QiNa CEO

BusinessHighlights
SignedaMOUwiththeYanchengregional g g g governmentofJiangsuprovincetodevelopalocal manufacturingbasetowardsbuildinglargeutility scaleturbinesforoffshoreandcoastaluseinthearea Planondeveloping2MWand3MWtwoblade turbinesforlargescaleonshoreandoffshoreprojects bi f l l h d ff h j inpartnershipwitharesearchinstituteinSweden

CompanySnapshot:GoldwindScienceandTechnologyCo.Ltd.
CorporateInformation
Headquarters Founded AreaofExpertise Financials KeyPeople Key People Urumqi 1998 R&D,productdevelopmentand manufacturingoflargewindturbines NA WuGanag ChairmanandCEO GuoJian President

BusinessHighlights
Majorproductsinclude600kW,750kW,1.2MWand 1.5MWserieswindturbinesets I t ll d Installedaselfdeveloped3MWwindturbinein lf d l d 3 MW i d t bi i northwesternXinjiangUygurAutonomousRegion Towardsexpandingitsturbinetechnology,itplanson investinginlocalwindfarmsinAustralia It plans on developing off shore wind turbines in Itplansondevelopingoffshorewindturbinesin 2012
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DomesticPlayersintheMarket(11/12)
CompanySnapshot:HonitonEnergyGroup
CorporateInformation
Headquarters q Founded AreaofExpertise Financials KeyPeople Beijing j g 2004 Windturbinemanufacturer NA MatthewPollard Chairman PaulEveleigh CEO

BusinessHighlights
China'sonlyindependentforeignwindenergy y p g gy provider Intheprocessofreceivingfundsfromprivateequity firmsaftersecuringfundingfromtheInternational FinanceCorporation PartneredwithSuzlontowardssupplyingturbines aggregatingto50MW

CompanySnapshot:HuayiElectricCompanyLimited
CorporateInformation
Headquarters Founded AreaofExpertise Financials KeyPeople Leqing 1986 Manufactureandsaleofhighvoltage electricalappliancesandwindpower generationequipment NA ChenDaorong

BusinessHighlights
EnteredintoaUSD36.9mnagreementtodeliver windturbinestoplantinShanxiProvince It Itssubsidiary,HuayiWindEnergyDevelopmentCo b idi H i Wi d E D l tC Ltd,signedastrategiccooperationagreementwith themunicipalgovernmentofDongying,Shandong Province,tobuildawindturbinemanufacturingbase inthecity y
InvestmenthasbeenpeggedatUSD146.4mn

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DomesticPlayersintheMarket(12/12)
CompanySnapshot:NingxiaElectricPowerGroup
CorporateInformation
Headquarters q Founded AreaofExpertise Financials KeyPeople Ningxia g 2003 Windpower,windturbineandcoal chemicalsindustry NA NA

BusinessHighlights
ThecompanysignedacontractwithNordexfora p y g supplyof33MWwindturbines
Nordexhasinstalledapproximately120MWforNingxia ElectricPowertodate

SignedCDMagreementwithMitsubishiHeavy Industry(MHI) I d t (MHI)

MHIwillbuycertifiedemissionreductions(CERs)from NingxiaElectricPowerGroup'sTaiyangMountainwind powerfarm

CompanySnapshot:SinovelWindCo.Ltd.
CorporateInformation
Headquarters Founded AreaofExpertise Financials KeyPeople Key People Beijing NA R&D,design,manufacturingandsalesofa varietyofwindturbines NA JunliangHan Chairman&President Junliang Han Chairman & President

BusinessHighlights
LargestwindturbinemanufacturerinChina HasfourmanufacturingbasesinDalian,Jiangsu, InnerMongoliaandGansuProvinces ReceivedUSD11.3mnfromtheNational DevelopmentandReformCommission(NDRC)to developoffshorewindturbines
I t ll d th fi t 3 MW i d t bi Installedthefirst3MWwindturbinesuccessfullyinthe f ll i th ShanghaiEastSeaBridge's100MWoffshorewindfarm

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ForeignPlayersintheMarket(1/8)
CompanySnapshot:Gamesa
CorporateInformation
Headquarters Founded AreaofExpertise KeyPeople Vitoria,Spain Vitoria Spain 1976 Engineering,design,manufactureandsale ofwindturbines JorgeCalvetSpinatsch Chairman LuisPardoLopez COO

FinancialPerformance
Revenue USDbn
6 4.5 4 2.2 22 2 0 3.0

Revenue Profit/Loss
5.4

Profit fi USDmn
500 400 300 200 100 0

2005

2006

2007

2008

BusinessHighlights Business Highlights

In2008,Chinaaccountedfor23%oftheirtotalglobalinstallations PlansonenteringintoajointventurewiththeChinaGuandongNuclearPowerGroupforthedevelopmentofwind parkswithacombinedcapacitytogenerate250MWofelectricity
ThisisexpectedtobedevelopedinnortheasternShandongprovince h d b d l d h h d

PlansonbuildingafacilityinthecityofTianjintomake400MWofitsG8x2MWturbinesannually Suppliedandinstalled295MWofwindturbinesforLongyuanElectricPowerGroupCorporation

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ForeignPlayersintheMarket(2/8)
CompanySnapshot:LMGlassfiber
CorporateInformation
Headquarters H d t Founded AreaofExpertise KeyPeople Kolding,Denmark K ldi D k 1978 Manufacturerofmajorcomponentsofwind turbinessuchasturbineblades RichardHanson Chairman RolandSunden CEO

FinancialPerformance
Revenue USDmn
1,500 1,000 596.7 500 0 412.2 792.2 0 50 100

Revenue Profit/Loss
1,302.1

Profit fi USDmn
100 50

2005

2006

2007

2008

BusinessHighlights Business Highlights

LMGlassfiberhassetupfactoriesinUrumqi,thecapitalcityofXinjiang,andTianjin ItplansonexpandingitsproductioncapacityinChinaduetostrongcustomergrowthandpositiveoutlookforthe localwindmarket ThecompanyplansonaddingthreeproductionlinesatitsbladefactoryinQinHuangDao,northeasternChina
Thefacilitiescapacityisscheduledtodoubleinthethirdquarterof2010 InvestmentofUSD43.9mnhasbeenbudgetedforthisproject

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ForeignPlayersintheMarket(3/8)
CompanySnapshot:NordexAG
CorporateInformation
Headquarters H d t Founded AreaofExpertise KeyPeople Rostock,Germany R t k G 1985 Developersandmanufacturersofwind turbines ThomasRichterich CEO BernardSchaferbarthold CFO

FinancialPerformance
Revenue USDmn
2,000 1,500 1,000 500 0 397.3 693.8 693 8 1,105.9

Revenue Profit/Loss
1,750.7

Profit fi USDmn
80 60 40 20 0 20

2005

2006

2007

2008

BusinessHighlights Business Highlights

ItsChineseunitreceivedtwoneworderstosupplyits1.5MWwindturbinestonewlyprojectedwindfarms
ChineseutilityNingxiaElectricPowerordered22unitsofNordex'smultiMWturbines,someofthemfittedwiththe82metrerotors ThewindpowerequipmentwillbeinstalledintheSunhillIIandHonhgsipuIIwindpowerprojectsnearYinchuan,centralChina,with capacitiesof28.5MWand4.25MWrespectively capacities of 28 5 MW and 4 25 MW respectively Windpowerfacilitiesexpectedtoproduce70GWhofcleanelectricityannually

Offersarangeof1.5MW,2.3MWand2.5MWwindturbinesandoffersprojectservicesincludingforecasts,planning, thelicensingproceduresandtheinstallationofturnkeywindparksaswellasinspectionandmaintenance g p , p , Largeinternationalpresencewithmorethan3,970windturbineswithatotalratedoutputofmorethan5,400MWin 34countries

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ForeignPlayersintheMarket(4/8)
CompanySnapshot:SiemensAG
CorporateInformation
Headquarters H d t Founded AreaofExpertise KeyPeople Munich,Germany M i h G 1847 Powergeneration,transmissionand distribution.Manufacturingwindturbines GerhardCromme Chairman PeterLoscher PresidentandCEO

FinancialPerformance
Revenue USDbn
150 100 50 0 94.0 83.4 99.4

Revenue Profit/Loss
113.7

Profit fi USDbn
10 8 6 4 2 0

2005

2006

2007

2008

BusinessHighlights Business Highlights

ThecompanyplansonpartneringwithaChinesecompanytowardsmanufacturingoffshorewindturbinesasitis largelyanuntappedmarketinthisregion
TheturbinefactoryislikelytostartproductioninShanghaiinthemiddleof2010 It has been estimated that the Chinese wind sector could fetch the company USD 1 5 bn in sales by 2011 IthasbeenestimatedthattheChinesewindsectorcouldfetchthecompanyUSD1.5bninsalesby2011

TheenterprisehasalreadyformedasteamturbinepartnershipwithlocalpowerequipmentmakerShanghaiElectric Itplansonsellingits"smartgrid"technologyinChina,whichinvolvestheinstallationofcommunicationhardware andsoftwaretopowergridstobettermanagepowerdemandandsupply Recently developed a a new facility to produce rotor blades and nacelles in Lingang New City in Shanghai at an RecentlydevelopedaanewfacilitytoproducerotorbladesandnacellesinLingangNewCityinShanghaiatan investmentofUSD86.1mnandisexpectedtogoonlinebythesecondhalfof2010
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ForeignPlayersintheMarket(5/8)
CompanySnapshot:Suzlon
CorporateInformation
Headquarters H d Founded AreaofExpertise KeyPeople Pune,India P I di 1995 Windturbinemanufacturer TulsiR.Tanti ChairmanandMD

FinancialPerformance
Revenue USDmn
8,000 6,000 4,000 2,000 0 1,768.1 873.8 3,314.4 6,022.3

Revenue Profit/Loss

Profit fi USDmn
250 200 150 100 50 0

2005

2006

2007

2008

BusinessHighlights Business Highlights

Theworld'sfifthlargestwindturbinemakerwithaglobalmarketshareof10.5% Receivedthreeorderstosupplywindturbineswithacombinedcapacityof113.75MW
Itsunit,SuzlonEnergy(Tianjin)Ltd.,willsupplyturbinestoChina'sDatangInternationalPowerGenerationCo.andHoniton Energy Group G Theunitwillsupply39turbineseachwithacapacityof1.25MWtoDatangInternationalby3QofthefiscalyearthroughMar 2010 Itwillalsosupply40turbineswithatotalcapacityof50MWtoHoniton

SecuredanorderfromInnerMongoliaNorthLongyuanWindPowerCorporationforthesupplyofwindturbineswith atotalcapacityof100MW p y
Itwillprovide80unitsofitsS64turbineby2011ataninvestmentofUSD111mn

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ForeignPlayersintheMarket(6/8)
CompanySnapshot:VestasWindSystems
CorporateInformation
Headquarters Founded AreaofExpertise Rander,Denmark Rander Denmark 1898 Manufacturerofwindturbines,gearboxes andotherparts,installationand commissioning g DitlevEngel PresidentandCEO HenrikNorremark ExecutiveVPandCFO

FinancialPerformance
Revenue USDbn
10 8 6 4 2 0 500 4.5 4.8 6.6

Revenue Profit/Loss
8.9

Profit fi USDmn
1,000 500 0

KeyPeople

2005

2006

2007

2008

BusinessHighlights Business Highlights

Vestaleadsglobalsalesofwindturbinesaccountingfor19.8%oftheoverallmarket PlansonsupplyingwindpowerturbinestowindenergydeveloperChinaDatangRenewable
Itwillship58ofitsV60850kWturbinestotheChinesecompany

DevelopeditsnewwindturbinecontrolsystemsandmachinepartsmanufacturingfacilitiesineasternChina
Thefacilities,locatedintheTianjinEconomicDevelopmentArea,representatotalinvestmentofUSD366mn ThecompanyisexpectedtoincreaseitsinvestmentinthecountrytooverUSD439mn

Plansonsupplyingatotalof75MWtoindependentpowerproducers
Th fi t d Thefirstorderconsistsof7unitsoftheV901.8MWand6unitsoftheV902MWwindturbineintheShandongprovince i t f 7 it f th V90 1 8MW d 6 it f th V90 2MW i d t bi i th Sh d i Thesecondorderisfor25unitsoftheV802MWwindturbineforaprojectintheGuangdongprovince

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ForeignPlayersintheMarket(7/8)
CompanySnapshot:Gurit
CorporateInformation
Headquarters q Founded AreaofExpertise Financials KeyPeople Wattwil,Switzerland , 1835 Developsmaterialsolutionsfor manufacturersofwindturbineblades 08: Revenue USD 436 3 mn; Profit USD 08:Revenue USD436.3mn;Profit USD 16.3mn RudolfHadorn CEO

BusinessHighlights
PlansonexpandingitspresenceintheChinesewind p g p energymarketthroughanacquisitionofSuzhouRed MapleWindBladeMould
PurchasepricestandsatUSD38.9mnisexpectedtoconsist ofaninitialpaymentandperformancebasedinstallments overthecoming3years over the coming 3 years

CompanySnapshot:NavajoWindEnergyCorp.
CorporateInformation
Headquarters Founded AreaofExpertise Financials KeyPeople California,USA 2007 Buildingandmanagingwindparks NA BarryDoyle P id t d CEO B D l PresidentandCEO ColinHarris CFO

Plansonsupplyingprepregandkittedfoamcore materialstoBTWBoadingTianweiGroup manufacturedinTianjin,China

BusinessHighlights
PlansonsupplyingtheChinaLaoGaixianProjectwith 53 750KWwindturbines,aswellastestingand commissioningservices commissioning services
EstimatedrevenuestandsatUSD65mn

Plansondevelopinga200MWwindfarminXinjiang
ProjectisvaluedatUSD450mn

In Feb 2009 acquired Guangzhou Jianianxiang Co InFeb2009,acquiredGuangzhouJianianxiangCo. Ltd.,awindfarmandpowertradingcompany

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ForeignPlayersintheMarket(8/8)
CompanySnapshot:REpower
CorporateInformation
Headquarters Founded AreaofExpertise Financials Fi i l KeyPeople Germany 2001 Windturbinemanufactuers 08:Revenue USD210mn,Profit USD , 1.9mn PerHornungPedersen CEO

BusinessHighlights
OperatesinChinathroughitssubsidiaryREpower p g y p North EstablishedaJVwithInnerMongoliaNorthHeavy IndustrialGroupandHonitonEnergyBarbados Providestechnicalconsultingofwindfarm constructionandoperation SetupfactoriesinInnerMongoliatosupplylocal windpowerprojects

CompanySnapshot:WelwindEnergyInternationalCorporation
CorporateInformation
Headquarters Founded AreaofExpertise Financials KeyPeople Key People SanDiego,USA 2005 Build,ownandoperatewindfarms 08:Loss USD4.2mn TammyLynnMcNabb ChairmanandCEO TammyLynn McNabb Chairman and CEO

BusinessHighlights
Presentlyhavetwowindfarmsindevelopmentin ZhanjiangandYangxiintheGuangdongProvince
The projects are planned to be constructed in three phases Theprojectsareplannedtobeconstructedinthreephases
Phaseone:Constructingwindenergyplantscapableofsupplying localdemandforenergywhichincludestheconstructionoftwo 49MWplants,eachinYangxiandinZhanjiang Phasetwo:Planstheconstructionoftwo150MWplants Phasethree:Planstoconstructstwomore300MWplants

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Introduction MarketOverview Drivers & Challenges Drivers&Challenges Trends GovernmentInitiatives Government Initiatives Competition KeyDevelopments

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KeyDevelopments
Date Nov2009 Development TherenewableenergyarmofHongKongpropertydeveloperHKCHoldingsLtdplansonacquiringa25% interestinHKE(Danjinghe)WindPowerLtd.foratotalUSD10.8mn.Theacquisitionisexpectedtobe financedwiththeissueofaconvertiblenote. fi d ith th i f tibl t Chinabeganharnessingmountainwindpowerpotential.ThemountainsabovethesouthwesternChinese townofDali,newwindturbinesweredeveloped.Atanaltitudeof3,000metres,DaliZhemoshanisthe highestwindfarminChina. AnoffshorewindformisexpectedtobedevelopedoffDongHaiBridge.Theinstallationisestimatedto exceed100MWandwillbethefirstoffshorewindfarminChina.Thewindfarmwillcompriseatotalof 34turbinesmanufacturedbySinovel,eachwithanominalcapacityof3MW.TheChineseauthorities estimatethatupto500GWcouldbeinstalledinwatersaroundChinauptoadepthof30metres. Chinabeganproductionof10kWverticalaxiswindturbinesthatwillbetheirownintellectualproperty. China began production of 10 kW vertical axis wind turbines that will be their own intellectual property EastChina'sHohaiUniversitymadethekeytechnologicalbreakthroughinwindturbinesproduction, whichisexpectedtoleadtoafallinthecostofChinesewindpower. Chinaislookingatsignificantlyreducingthenumberofwindenergycompaniesoperatinginthecountry by90%.ThegovernmentinBeijinghadorderedbanksnottoextendloansforwindfarmprojectsthatare by 90%. The government in Beijing had ordered banks not to extend loans for wind farm projects that are deemedtobeunnecessaryorofpoorquality. AChinaMetallurgicalGroupCorporation(MCC)subsidiaryplansonbuildingalargeprojectinnorthern ChinasLiaoningprovinceexpectedtoproduce80,000tonnes/yearofwindturbinetowers.Thecompany, p j MCCNortheastConstructionCo,willinvestUSD73mnontheproject.

Nov2009

Oct2009

Oct2009 Oct 2009

Sep2009

Sep2009

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Thankyouforyourtime
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