Pandemic 'is delaying wind supply chains'

18 March 2020

The current Covid-19 pandemic is likely to result in delays in the development of new wind farms, although it is too early to assess the true impact, according to industry association WindEurope.

The organisation says that the Covid-19 virus is impeding international trade, creating delays and uncertainties for different industrial sectors. As the number of infections rises, the European wind industry is likely to be impacted.

WindEurope says that initial analysis indicates that Covid-19 will have moderate effects on international supply chains for wind energy, and that the industry is already seeing the “first logistical delays”.

“A knock-on effect of a slowdown in China’s manufacturing output is already visible in other countries,” said WindEurope CEO Giles Dickson. “The wind industry is, of course, not the only industry feeling the pinch from quarantines, travel restrictions and closed factories. Vehicle and vessel manufacturers, solar-PV panel and battery producers are being similarly affected. We will need to take a strategic approach to ensure that disruption is minimised.”

Dickson added: “With Covid-19 we are likely to see delays in the development of new wind farm projects which could cause developers to miss the deployment deadlines in countries’ auction systems and face financial penalties.

“Governments should be flexible on how they apply their rules. And if ongoing auctions are undersubscribed because developers can’t bid in time, governments should award what they can and auction the non-awarded volumes at a later stage.”

 



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