This research service covers the state of the Australia and New Zealand (ANZ) wind turbine services markets, analyzing the key market drivers, and market restraints for growth, pricing, service offerings, market demand and geographical trends. Based on these, revenue distribution and forecasts are provided for the key regions covered in the study. In addition, an in-depth analysis of the competitive scenario including key company profiles is given. Geographies covered in the study include Australia and New Zealand. The base year is 2009, historic period is from 2006 to 2008, and forecast period is from 2010 to 2016.
New Installations Power the Wind Turbine Services Market in the ANZ Region
The dramatic growth in the number of wind farms and the impending expiration of service contracts have opened up the market for wind turbine services. As half of the installed base of the above 1.0 MW wind turbines in the ANZ region is less than five years old, they are likely to be under warranty/original equipment manufacturer (OEM) long-term service agreements (LTSAs). Therefore, the new installations, while enhancing the prospects of OEMs, lower the business opportunities for third-party (non-OEM) service providers. The third-party providers can take heart from the imminent expiry of OEM service contracts over the next three to four years. Favorable topography, strong government support for wind power installations, and fixed energy targets drives the market for large-scale wind power projects in the region, says the analyst of this research. As several large wind farms with units above 1.0 MW capacity are at different stages of approval, it is likely to drive demand for wind turbine services.
With increasing installation of new wind farms and anticipated intensification of competition after the expiration of service contracts, third-party service providers could try to gain an edge by focusing on price, responsiveness, reliability of services, and on-time availability. The growing preference for large-scale wind farms and the need for energy security during the global economic downturn of 2008-2009 made a strong case for 1 MW wind turbines. The governments also introduced several economic stimulus packages that attracted investments to renewable energy, which in turn, greatly helped sustain the economic growth in the region. Further, volatile oil and gas prices pushed the need to reduce dependency on imported fuels for power generation, notes the analyst. These factors compelled the ANZ region to harness the untapped indigenous sources of renewables such as wind power, cranking up the market potential for wind turbine services.