This year’s China Wind Power exhibition in Beijing clearly showed that PMG-FPC technology has broken into the Chinese market and is firmly established. Turbines using PMG technology are now commanding a premium price from utilities there. And this trend is inevitably forcing the major players who have not yet adapted to base their latest turbine designs on PMG technology.
Today, China is the world’s largest wind power market, representing almost 50% of the global market. Results coming in from the market show that the penetration rate of PMG technology in wind power now represents 30%. This is a great achievement and the trend of increasing the use of advanced technology is gaining momentum. It is also being rewarded with premium prices as customers now have proof of high energy yield and reliability.
In Europe, this is not yet the case for two specific reasons. First, the market has been wary of the price hike in rare earth materials that was triggered due to speculation in 2011. Second, the Europeans in particular are concerned about the environmental sustainability of rare earth material mining operations. In both cases, concrete steps have been taken to keep rare earth prices at the level where they have settled since the peak and to strictly control the operations of Chinese rare earth mines.
Still, the reliability and levelized cost of energy (LCOE) advantages of PMG technology are simply a fact. Also in Europe. We’re now seeing turbine manufacturers moving to new technological platforms so that they can start from a clean slate. A good example is the 8 MW MVOW offshore turbine and the new 7 MW Siemens turbine. This will eventually lead to the same trends that we’re seeing in China catching on elsewhere.
We started at The Switch working with PM technology. Yaskawa, too, is a world leader in applying PM technology, starting from motors with servo drives and in robots, and now with a product range that extends to the larger IPM motors.
When added to The Switch’s offering of the widest product range in the higher power classes, Yaskawa and The Switch together can provide an unbeatable solution. These are the types that are catching on like wildfire in marine and are spreading rapidly to new industrial areas.
An example for such is Yaskawa’s solution that brings a converter and PM motor together to meet IE 4 class efficiency in a compact package. The same thinking extends to bigger motors combined with The Switch’s capability to tailor make designs for tomorrow’s killer applications.
The world is now evolving and a changeover is happening. We strongly believe in advancing the world with electrical drive trains that will be the winners when it comes to guaranteeing profitable power generation and efficient energy use.