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This news article was originally written in Spanish. It has been automatically translated for your convenience. Reasonable efforts have been made to provide an accurate translation, however, no automated translation is perfect nor is it intended to replace a human translator. The original article in Spanish can be viewed at AEE advierte del riesgo para el sector eólico si no se aprueba la nueva regulación

PES warns of the risk for the wind sector if the new regulation is not adopted

29/08/2011

August 29, 2011

Wind Business Association (AEE) reminds the Ministry of industry, tourism and Commerce (MITYC) the urgent need for providing the sector of a new regulatory framework that allows you to go ahead with its activity beyond 31 December 2012, date in vence Royal Decree 661/2007. If the new rules goes ahead before the November 20 elections, regulatory uncertainty could lengthen at least another year more, with the consequent destruction of wealth and employment and the risk of not met the objectives of the Plan 2011-20 renewable energies.

AEE insists more than two years the need to develop the new framework given the long period of maturation of wind projects and the need for the sector plan in advance. Now AEE requests an exercise in responsibility to avoid one paralysis in even more of a sector that employs more than 30,000 people, is 0.34% of GDP, exports technology for more than 2 billion euros and save fossil fuel imports by 1.5 billion euros a year. The wind sector has already lost ten thousand jobs in the past two years.

Given that developers do not know nor the remuneration which shall apply from 1 January 2013, or if there will be quotas, or other fundamental regulatory details, they do not perform orders for wind turbines, which paralyses the activity of the manufacturers. Indeed, in 2010 only were orders to install 220 MW, which contrasts with an average of 1,500-2,000 MW in previous years. Wind turbines in factory orders are between 1.5 and two years before the construction of a park.

If the major manufacturers of wind turbines are doomed to relocations and redundancies due to the lack of activity, same thing will happen with other manufacturers of components, developers and companies that provide service to the sector.

In addition, AEE requests that extensions that allow the 1,400 MW registered in the registration of Preallocation have problems to be constructed before the date for registration (as of December 31, 2012) for reasons not attributable to the promoters, such as failure to comply with the planning of the transport network, the delay in distribution lines or administrative difficulties enable. These 1,400 MW account for nearly 60 per cent of the registered power and installed during 2011 and 2012, the last under the current regulation.

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