A worldwide shortage of turbines could see windfarm developers in the Republic forfeiting planning permissions that attach to some of their current projects.
Because of the huge growth of wind energy in Europe, Asia and the US, procuring wind turbines is becoming increasingly difficult and this is leading to major delays. As a result, some developers are in danger of seeing existing planning permissions expire.
While the approach differs among local authorities, with some granting extensions, a number of planning permissions are elapsing, forcing developers to re-apply.
The Commission for Energy Regulation (CER) noted the trend in a recent newsletter it circulated within the industry. "Due to the dramatic growth in wind energy worldwide, the availability of wind turbines has become an issue. This, in turn, leads to increased turbine costs. If turbines cannot be sourced within the project timeframe, there may be issues with planning permission expiring," it warned.
Dermot O'Kane of Airtricity said he was aware of the problem and that the timelines involved in getting wind farms into commercial production had lengthened.
The main manufacturers of the turbines - GE Energy, Siemens, Mitsubishi Power Systems, Vestas and Nordex - have increased their production, but demand is still running ahead of supply. Manufacturers are now encouraging companies to place advance orders in a similar way to airlines with new aircraft.
Demand for turbines has been surging in the US, where tax credits for wind energy companies has boosted the industry. This year, new installations of wind turbines in North America will grow by over 50 per cent, according to a study by Emerging Energy Research, a Cambridge, Massachusetts-based research and advisory company.
Last month Vestas, a Danish manufacturer, said one of the reasons for the delay in getting turbines on to the market was a consequent shortage of components.
In the Republic, another major delay factor is the absence of a connection to the national grid. A large number of wind developers are waiting a grid connection offer and the CER and Eirgrid are attempting to have this process speeded up.
