Wind Energy Industry Overview

Daniel LairdWind Energy Technology Department

Sandia National LaboratoriesTelephone: (505) 844-6188E-mail: dllaird@sandia.gov

Sandia is a multiprogram laboratory operated by Sandia Corporation, a Lockheed Martin Company,for the United States Department of Energy under contract DE-AC04-94AL85000.

Sandia National LaboratoriesAlbuquerque,New Mexico

Livermore, California

Tonopah Test Range, Nevada

Kauai Test Facility,Hawaii

WIPP, New Mexico

Yucca Mountain,Nevada

Pantex, Texas2008 Blade Workshop

Wind Energy Research at SNL

• Began in the mid 1970’s

• Initially focused on vertical-axis wind turbines

• Since 1993, the program has focused on industrial-sized horizontal-axis wind turbines (HAWT)

2008 Blade Workshop

Installed CapacityWorld

Year: Installed MW Increase % Cumulative MW Increase %2002 7,227 32,0372003 8,344 15% 40,301 26%2004 8,154 -2% 47,912 19%2005 11,542 42% 59,399 24%2006 15,016 30% 74,306 25%2007 19,791 32% 94,005 27%

22.3% 24.0%Source: BTM Consult ApS - March 2008

Average growth - 5 years

2008 Blade Workshop

The 10 Largest Markets in 2007

Country 2005 2006 2007 Share % Cum. Share %USA 2,431 2,454 5,244 26.5% 26%P.R. China 498 1,334 3,287 16.6% 43%Spain 1,764 1,587 3,100 15.7% 59%Germany 1,808 2,233 1,667 8.4% 67%India 1,388 1,840 1,617 8.2% 75%France 389 810 888 4.5% 80%Italy 452 417 603 3.0% 83%Portugal 502 629 434 2.2% 85%UK 447 631 427 2.2% 87%Canada 239 776 386 2.0% 89%Total 9,918 12,711 17,653Percent of World 85.9% 84.7% 89.2%Source: BTM Consult ApS - March 2008

2008 Blade Workshop

U.S. Installed Wind Capacity(MW as of Jan 16, 2008)

Alaska2

California2439

Colorado1067

Hawaii63

Iowa1273

Kansas364

Maine42

New Hampshire1

Massachusetts5

Michigan3

Minnesota1299

Montana146

Nebraska73

New Mexico497

New York425

North Dakota

345Oregon885

Pennsylvania294

Tennessee29

Texas4356

Utah1

Vermont6.0

Wisconsin53

Wyoming288

Washington1163

South Dakota

98

Idaho75

Oklahoma689

Illinois699 WV

66

Ohio7

New Jersey8

1 MW powers ~300 homessource: awea.org

Missouri57

Rhode Island1

The 10 Largest Markets in 2007

Country 2005 2006 2007 Share % Cum. Share %USA 2,431 2,454 5,244 26.5% 26%P.R. China 498 1,334 3,287 16.6% 43%Spain 1,764 1,587 3,100 15.7% 59%Germany 1,808 2,233 1,667 8.4% 67%India 1,388 1,840 1,617 8.2% 75%France 389 810 888 4.5% 80%Italy 452 417 603 3.0% 83%Portugal 502 629 434 2.2% 85%UK 447 631 427 2.2% 87%Canada 239 776 386 2.0% 89%Total 9,918 12,711 17,653Percent of World 85.9% 84.7% 89.2%Source: BTM Consult ApS - March 2008

2008 Blade Workshop

The 10 Largest Markets by end of 2007

Country 2005 2006 2007 Share % Cum. Share %Germany 18,445 20,652 22,277 23.7% 24%USA 9,181 11,635 16,879 18.0% 42%Spain 10,027 11,614 14,714 15.7% 57%India 4,388 6,228 7,845 8.3% 66%P.R. China 1,264 2,588 5,875 6.2% 72%Denmark 3,087 3,101 3,088 3.3% 75%Italy 1,713 2,118 2,721 2.9% 78%France 775 1,585 2,471 2.6% 81%UK 1,336 1,967 2,394 2.5% 83%Portugal 1,087 1,716 2,150 2.3% 86%Total 51,303 63,203 80,415Percent of World 86.4% 85.1% 85.5%Source: BTM Consult ApS - March 2008

2008 Blade Workshop

Turbine Suppliers in 2007Market Share

Top-10 Suppliers in 2007% of the total market 19,791 MW

GE WIND (US) 16.6%

GAMESA (ES) 15.4% ENERCON (GE) 14.0%

SUZLON (Ind) 10.5%

SIEMENS (DK) 7.1%

Others 10.5% SINOVEL (PRC) 3.4%

NORDEX (GE) 3.4%VESTAS (DK) 22.8%

GOLDWIND (PRC) 4.2%

ACCIONA (ES) 4.4%

Source: BTM Consult ApS - March 2008

2008 Blade Workshop

Turbine Suppliers (2005 - 2007)Domestic and Export (2005-2007)

0 2,000 4,000 6,000 8,000 10,000 12,000 14,000

VESTAS

GE WIND

GAM ESA

ENERCON

SUZLON

SIEM ENS

ACCIONA

NORDEX

GOLDWIND

M ITSUBISHI

ECOTÉCNIA

SINOVEL

MW

Domestic Export

Source: BTM Consult ApS - March 2008

2008 Blade Workshop

Global Wind Power ForecastCumulative MW by end of 2007 & Forecast 2012

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

Europe USA Asia Rest of World

2007 (94,005 MW) 2012 (287,940 MW)Source: BTM Consult ApS - March 2008

2008 Blade Workshop

Global Wind Power ProjectionsCumulative MW - Forecast 2012 & Prediction 2017

0

50,000

100,000

150,000

200,000

250,000

Europe North America Asia Rest of World

2012 (287,940 MW) 2017 (690,994 MW)Source: BTM Consult ApS - March 2008

Wind Power’s Share of World Power Generation

Generation Electricity gen. Electricity from all Wind Power's shareTechnology by Wind Power gen. sources of the world's electricity

(BTM-C) (incl. Wind) IEA generation:Year: TWh TWh %1996 12.23 13,613 0.09%1997 15.39 13,949 0.11%1998 21.25 14,340 0.15%1999 23.18 14,741 0.16%2000 37.30 15,153 0.25%2001 50.27 15,577 0.32%2002 64.81 16,233 0.40%2003 82.24 16,671 0.49%2004 96.50 17,408 0.55%2005 120.72 17,982 0.67%2006 152.35 18,576 0.82%2007 194.16 19,189 1.01%2012 (forecast) 605.4 22,571 2.68%2017 (est.) 1573.8 26,549 5.93%Source: BTM Consult ApS - March 2008 ; World Figures: IEA World Energy Outlook 2007

Phenomenal Growth - No End in Sight!Global Wind Industry

• 25% growth rate, 1990-2007 (actual)

2008 Blade Workshop

Cumulative Global Wind Power DevelopmentActual 1990-2007 Forecast 2008-2012 Prediction 2013-2017

0

100,000

200,000

300,000

400,000

500,000

600,000

700,000

1990 2007 2012 2017

MW

Prediction Forecast Existing capacitySource: BTM Consult ApS - March 2008

• 25% growth rate 2008-2012 (BTM)

• 19% growth rate 2013-2017 (BTM)