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RWE Suspends US Offshore Work, Spanish Power Blackout
This week we discuss a $5 million investment in a wind worker training center in Australia, challenges faced by RWE’s US offshore wind projects due to recent policy changes, and the recent power blackout in Spain. Plus an article from PES Wind Magazine about cybersecurity in wind energy.
Sign up now for Uptime Tech News, our weekly email update on all things wind technology. This episode is sponsored by Weather Guard Lightning Tech. Learn more about Weather Guard’s StrikeTape Wind Turbine LPS retrofit. Follow the show on Facebook, YouTube, Twitter, Linkedin and visit Weather Guard on the web. And subscribe to Rosemary Barnes’ YouTube channel here. Have a question we can answer on the show? Email us!
You are listening to the Uptime Wind Energy Podcast brought to you by build turbines.com. Learn, train, and be a part of the Clean Energy Revolution. Visit build turbines.com today. Now here’s your hosts, Allen Hall, Joel Saxum, Phil Totaro, and Rosemary Barnes.
Allen Hall: Down in Victoria, Australia. They’re investing about 5 million Australian dollars to establish a wind worker training center, which is focused on developing technical skills for both onshore and offshore wind energy roles.
And the initiative is looking to create a skill workforce pipeline for all the wind projects that are happening down in Australia. This is a really unique. Program, uh, Rosemary, just because Victoria is looking to have about 67,000 workers in energy by 2040 and they think they need about 4,000, [00:01:00] uh, people to work construction for onshore wind at about 2,500 data for offshore wind.
That’s a sizable number of people, but Victoria is headed towards 95% renewable generation by 2035. So you’re gonna need to build a workforce pretty quickly. $5 million for a training center is a good first start. Is it enough though?
Rosemary Barnes: Yeah, I mean, they need to have a first step I guess. I mean, not that it’s the first step, there’s already a lot of, a lot of workers in the state.
Um, but I mean, for sure Victorian needs more, needs more service technicians and yeah, a bunch of other, other workers. I mean there’s also still a lot of new wind farms being built, so there’s that as well. It’s also not just Victoria, you know, all around. Um, there was quite a lot of going on in Queensland, although the future plans have, I think been, um.
Uh, toned down a lot because the government changed. Um, south Australia also has, uh, still got, oh, it’s got a lot of wind, already got a lot of plans to build [00:02:00] more. Um, and yeah, there’s new renewable energy zones that are, you know, hopefully coming on, maybe even offshore wind starting in the next five years or so.
So yeah, if you want to, you know, suddenly expand your industry, then you do need to think a few years ahead. Um, otherwise you’re gonna end up. With a big, a big crunch. Everyone wanting to build a project at the same time. And also, you know, a lot of wind farms. Uh. Getting past that first, you know, like the first few years where not too much maintenance is needed.
Um, there’s a lot more things that can go wrong in the, you know, middle to end of a wind farm’s life. And we’re seeing a lot of that, especially in Victoria where they had most of the early wind farms in Australia. So I definitely think it’s timely and uh, hopefully this one’s successful. And, uh, yeah, we’ve got an election coming up.
Probably will have already happened by the time this episode’s released. We’ve got a federal election. There has not been a whole lot of talk about renewable energy actually. Um, and especially the jobs that are created by Renewal Energy, especially wind, you know, like it’s a, it’s a [00:03:00] downside of the technology that it needs maintenance, but it’s a real upside in terms of that, you know, a lot of maintenance means a lot of maintenance jobs, and these are good jobs.
I hope that, yeah, by the time we have our next election, people can, um, be talking a bit more about what we need to really turbocharge the, um, rollout of renewables in Australia. This will be a good
Joel Saxum: first step. I think there’s a couple interesting things about, interesting things about that is right before we went down to Wind Australia, we were talking to a lot of people involved in that industry and uh, I did talk with an ISP that was a part of this.
They were, uh, advising, kind of like partnering with the university that’s putting this thing together because they noticed a, a gap, right? And one of the gaps when we talking, like again, talking with some of the people down there was. Uh, they want a workforce, right? They want people in there, so, but you need people to transition over from other jobs or come in because it’s hard to have, because of local content laws, and correct me if I’m wrong here, Rosemary, you can’t really, or [00:04:00] it’s a lot easier to use local talent than it is to bring other people in.
You can’t really just rely on a, a migrant workforce or, you know, you can’t bring people in from Europe every year to do all the maintenance. You really kind of need to have that local talent.
Rosemary Barnes: Yeah, I mean, I don’t think that Australia has particularly strong, um, we don’t have many local content laws at all.
Um, but then in terms of. Labor. Yeah. Like most countries, you just, not just anybody can come in and just start working in Australia, you need permission. And, um, you know, there’s caps on the, the number of visas of that kind that are allowed. Definitely. Um, there are people coming over from Europe constantly to work here.
It’s a long, it’s a long way. Um, I don’t think that it’s so much about the laws in Australia being unusual as it is just that sheer number of people that are needed and the logistics of actually getting. Enough people to make a meaningful difference. Um, coming over from Europe, I, I mean, think about it.
Would you want to go [00:05:00] somewhere, um, for three months away from, you know, your family and, uh, friends and act activities, anything like that? Definitely in the longer term, much better too. Um, yeah, develop, develop the workforce. And I mean, as much as, you know, I, I love that the, um, wages are high in, in the industry because, you know, I’m in the industry and I enjoy that.
But, uh, if we have a lot more workers, like enough workers, then the prices will start to go down a bit more. And like the cost of labor, I. Is a big thing in, um, you know, how much wind farms are spending, are maintaining, uh, operating and maintaining their wind farms is, you know, like it’s a lot more than it is in other countries.
And I think that a lot of that is because of the high cost of labor here for, for that specific type of role. But I mean, that also does mean that right now, like if you get in early, that’s a, a really, really great industry to move into because you’re probably going to. More, it’s very satisfying work as well.
You, you know, like it’s, it’s really good to, you know, there’s a wind tur, a wind turbine, [00:06:00] it was offline because, you know, something was wrong and hey, I helped fix it. And now it’s online generating clean electricity. That’s, I find that incredibly satisfying to be part of that. It’s really, you know, tangible things.
So I’m hopeful that, um, yeah, more training centers like this that we will start to see the workforce expand, uh, quite quickly.
Allen Hall: If you haven’t opened the recent edition of PES Win, you need to do that. You can visit ps win.com and download the uh, the. Electronic version of the magazine or you can put in a request, again a paper copy and you will want to get that paper copy ’cause it is an elegant magazine full of information.
So this quarter there’s an article from Cyber G and Joel and I have been talking about cybersecurity to a lot of operators all over the world. It is a huge topic right now and uh, in that article it does go on to say like, 1% of the win assets have. Adequate cybersecurity protection. And Joel, there are days that question [00:07:00] that’s even 1% on some of the farms we’ve been around.
And the SCADA systems are the open door, uh, that needs to be closed. There’s a lot going on in Europe, much more in Europe than there is in the United States. The European Union has that network and information system directive two, NIST two. You hear people say, NIST two, I need a NIST two. Uh, that requires that they have reports, cybersecurity incidents.
Have some transparency on what’s happening. They actually can deal with it. Uh, this cyber energy article is good and another alarm to the industry, like, Hey, in times when things get a little slow. We gotta clean up and, and take care of the, of some of these entry points into these turbines and these wind
Joel Saxum: farms.
Well, I think that you like, like anything, you follow the money, right? And if you watch the insurance markets, you’re starting to see cyber, cyber attack, cyber security insurance being a new product that’s coming into almost all of these brokers. So that’s the thing that’s happening. It’s a known issue.
Right. I [00:08:00] wanna highlight one of the projects that’s being done here in the United States is there is a bank of turbines. If you have a product or a solution that you want to test for cybersecurity, and they’re testing SCADA systems, it’s in involved with one of the, uh, national labs. Very cool project.
Just get a hold of Alan and I, we can give you some details on that. Um, but yeah, I mean, as cybersecurity goes, you’re seeing Europe, they’re on the, you know, there. There’s a, there’s a conflict happening right out their back door. So this may hit a little bit closer to home to them, but we’ve had things hit our, our grid as well here in the states in the last few years.
So, um, if you haven’t addressed some of these things, I think it’s, it’s, it’s high time that people do and cyber energy, it can help you out. They have a product called
Allen Hall: Sentry, C-E-N-T-R-Y. Get it Century instead of an assets at c. So it’s, it’s a, it’s a protection platform. It’s pretty slick, right? It’s a real time monitor of the wind assets and it’s providing the protection that a lot of wind operators need.
So if you are interested in cybersecurity and, [00:09:00] uh, pretty much every operator around the world should be at this point, you, you wanna look at cyber energy as website and check them out, or just go visit. Uh, PES win.com. Read the article and find out all the details.
Joel Saxum: As busy wind energy professionals, staying informed is crucial, and let’s face it difficult.
That’s why the Uptime podcast recommends PES WIN Magazine. I. PES Wind offers a diverse range of in-depth articles and expert insights that dive into the most pressing issues facing our energy future. Whether you’re an industry veteran or new to wind, PES Wind has the high quality content you need.
Don’t miss out. Visit ps wind.com today.
Allen Hall: Well, Spain had a large power blackout, including Portugal and, and parts of France for a little while, and Spain’s grid operator is denying that the situation was caused by the dependences on solar power mostly. And most of Spain was shut down for several hours, like north of 12 [00:10:00] hours.
This is, uh, sort of a problem for renewable because if you go online on LinkedIn, or if you, you go on Twitter, one of those social media sites you see a lot about, oh, renewable energy causes problem. Yeah, yeah, yeah, yeah. So let’s just go to some of the details. We do know at this point, at the grid, at that moment was, uh, operating it at about 50% solar.
And about 10% wind and about another 15% for nuclear and gas. Uh, and they right now, they think there were maybe two separate incidences in southwestern Spain at substations that created the incident. Now. It looks like it was a frequency variation was the cause of the shutdown. I saw some things on LinkedIn.
Of course, your source for all news lately is that the, the frequency varied and you can actually measure that up in Lafayette, which is a [00:11:00] long ways from Spain. So that frequency variation when it occurs in one place does transmit all over the grid in Europe. And frequency variation is a huge problem because that the system is designed.
For one frequency, 50 hertz, and all the equipment is designed particularly for that. So as you vary off of that, the loss is increased. You can have a lot of bad things happen. So there are safety mechanisms in place to disconnect if the frequency or vari frequency variation is to. Big and it looks like it was.
Um, and as Rosemary has pointed out in some of your videos, the way you fix that is you have synchronous condensers on the grid, which are, rosemary me, can describe what a synchronous condenser is
Rosemary Barnes: to take back a step. What traditional. Electricity grid with a lot of thermal generation, uh, in it. What, what it behaves like is, you know, these traditional thermal generators are really big and really heavy and they’re spinning.
They’ve got a lot of inertia, right? It is actually really [00:12:00] physically hard to slow them down or speed them up suddenly. So it kind of acts as a natural. Um, damper on the system. When the frequency gets out of whack, then all of this spitting mass just naturally helps to, um, keep it stable. So if you have a lot less of that, you can either, uh, because you don’t have a lot of thermal generators online, then you can either replace it with.
More spinning mass, which is what a synchronous condenser is. It’s basically like a generator, but, um, instead of spinning it up by burning something and you know, making steam to spin it, you spin it using electricity instead. So it’s still a big spinning mass and you can put a few of those in. It’s certainly not the case that you can’t have a high renewables, um, penetration system.
That, uh, doesn’t have sufficient inertia. I understand that they had about 80% renewables, uh, in the grid at the time that of the disturbance. That is not an abnormally high amount. Like it’s definitely far from record breaking. Um, there [00:13:00] was a, yeah, um, some, something weird happening with frequency oscillations and I don’t know why.
You know, obviously the Spanish grid deals with frequency variations all the time and has a mechanism to, um. You know, address that. I don’t know the specifics of that or why it didn’t go right, but that would be one factor. Another thing was that there was a lot of solar power that, um, suddenly tripped off shortly before the blackout.
So that would be another destabilizing event, but again, it’s not unique to, um, to renewables. Um, and then there was another thing that happened early on was that the. An interconnection between Spain and France, um, which I believe was, uh, at least a couple of gigawatts. I’m not sure exactly the size, but in, in the gigawatts range that tripped off.
And then that makes it harder if Spain say, Spain has to all of a sudden act as an island, or Spain and Portugal have to act as an island. Um, so, you know, it’s hard to say that was a cause or [00:14:00] effect. Um, and then after a few of those things had happened, then generators in Spain started tripping and going off, and so there was just no, um.
There was nothing there to con control the system. So obviously, you know, like they did have, yeah, like maybe up to 20% of their generation was from these big spinning, um, masses, which should be enough to keep things stable. But if they start tripping off, then they’re not providing any kind of service anymore.
So, um, you know, it, it also might be that there were some, um, settings that, you know, were not as robust as, um, they, they should have been.
Allen Hall: But in that grid, it’s really hard to model those kind of failures. I think that’s what the problem is because Texas has had something very similar. It’s actually had it multiple times if you pay attention.
They’ve had sort of, uh, a cascading series of events that pull off mostly solar. Then take down adjacent, uh, substations. And when you have so many [00:15:00] different technologies all on the same grid and you’re not sure exactly how they respond to every situation, it’s impossible to model one because the detail there would be incredible.
Two, you’re just trying to make sure everything’s playing happy all the time. And I, I, this, this is, I don’t think this is unique. I think it, the scale of it is pretty big, but Joel, when they had the ice storm down to Texas in 2022, Yuri? 21. 21, okay. So in the, the amount of Texas that was offline, which was a huge amount of Texas plus it was offline for like three days.
As they tried to figure out what was happening,
Joel Saxum: that was an extreme, like the RCA points to extreme weather event, right? Where that was a bunch of natural gas plants that, like valves froze up. They weren’t winter ice correctly, things like that. But you’re exactly correct. Like one, when things started cascading, they just started cascading big time, right?
And this went click, click, click. We, you know, we need Alan, we need Joe Shahan from [00:16:00] podge to, to, to, to, to do
Allen Hall: this. Yeah. I, yeah, he’s. He’s gonna tell you it’s complicated. That’s gonna be his response because it is, it’s really complicated.
Phil Totaro: It is. But you wanna also know what happened. I, after they had that blackout that Rosie talked about in South Australia, what did they do?
They put in energy storage. So you wanna actually fix the problem. I, if you’re not gonna see the, because the thing that we’re all talking about right now is if you’re not gonna modernize the grid to handle all those different. Types of generators being on the same thing, connected at the same time, and responding in whatever ways they’re gonna respond.
You wanna know how you, you immediately, and you know, at least somewhat cost effectively, address the situation in the shortest timeframe possible is just by putting. Grid connected storage on there that absorbs or deploys depending on what you need, um, you know, what the grid needs. And, you know, I mean, that’s, that’s the way that you can handle both short term, [00:17:00] um, you know, frequency fluctuations.
And anyway, the short answer is you wanna fix this quick, put storage on the grid. There you go.
Joel Saxum: And that’s what we’re doing. Yeah. There’s constantly records being set by, by energy storage.
Phil Totaro: The longer term fix is to modernize the grid, to accommodate all these other, you know, things. Uh, what that basically what everybody talks about.
Oh, what does modernize the grid means? It means that you need better. Energy management software and the right kind of hardware to be able to provide that kind of frequency response and balancing. So again, unless you’re going to spend the money to modernize the grid, which is necessarily gonna be more expensive than just deploying energy storage, deploying energy storage is gonna get you the quickest way of, you know, precluding.
Massive grid fluctuations and potentially blackouts from happening.
Rosemary Barnes: Yeah, I would’ve like to say though that the, um, Spanish grid hasn’t, hasn’t modernized [00:18:00] before that. I have seen the, you know, the eventual root cause analysis and, you know, there’ll be probably more information coming out in a few days and then in a few weeks, but it will probably be a year before the, you know, with the South Australia, it was it.
I think it was most of a year before, like the full list of, you know, every single thing that had to happen at the same time in order to cause the, the blackouts before that. It’s like really well known. Um, it takes, takes a lot. So it, yeah. Obviously something has gone wrong and I don’t think we know yet whether.
It was predominantly about how much renewables were in the grid because Spain frequently has a lot of renewables in the grid and, you know, has not had this problem before. So it was more, it was definitely more than just that. Um, but yeah, it will take a while for us to know, um, you know, people who are usually, you know, communicators that are similar to me in terms of.
Wanting more renewables in the system. I do see a lot of them. Their take was to immediately say, well, obviously this was nothing to do with renewables, because essentially renewables are perfect and nothing can [00:19:00] ever go wrong. That’s not the right, that’s not the right take. That’s not the path to having, you know, a hundred percent clean electricity grid to pretend that there’s no problems.
You know, when something. Goes wrong. You learn what you can from it and to do anything else is just absolutely crazy. So I, I think it’s definitely frustrating that every time a crisis like this happens, renewables get blamed and that kind of like sticks in people’s minds ’cause it’s the first thing that they hear.
And you know, like years later, lots of people still think the South Australian blackout was caused by wind energy, which I guess literally it was if you include like the energy of the wind blowing over power lines. But you know, like it’s, it’s equally wrong to say that it had nothing to do with renewables.
At this point, we don’t know, and certainly many of the weird things that happened before the blackout were related to a lot of renewables, and you need to. You need to learn from that. Otherwise, we will never get a a hundred percent clean electricity grid.
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All right. Uh, RDB has suspended work on its US offshore wind projects In response to recent policy changes by the administration and the CEOR to B and announced the decision a ahead of the company’s annual meeting, which was just held recently. And this has caused a little bit of a ripple effect. So from what we can tell right now, and Phil’s going to give us all the details, there are three separate places that I had where Rwb is involved up in New York, down in Louisiana.
They got that plot down in Louisiana, and then obviously in California. But there may be some sites in North Carolina also, or off the coast of North
Phil Totaro: Carolina based on what. Has been [00:21:00] made public, uh, RWE themselves has said that they’ve sunk more than 1.1 billion into development cost and lease payments for the areas that they either own or co-own or, uh, what have you.
So that’s, that’s a lot of money to have put up already. Uh, to basically not have confidence in being able to move forward. Now, if we go back and review what the government said, it’s number one, they’re not doing any more lease auctions on anything that hasn’t already been done. Okay? So that’s one thing that doesn’t impact R-W-R-W-E at this point, other than, you know, they were also interested in doing projects in Maine, et cetera, et cetera.
But that’s not why they’re pulling out. What’s happened more recently is the inconsistency of the application or lack thereof of tariffs and the, uh, the note from Boem, uh, to EOR and, you know, regarding Empire [00:22:00] Wind, in which Boem is basically saying we are gonna reevaluate every single permit, uh, that’s ever been issued.
You know, regardless, I guess regardless of who’s done it. Um. Because there were actually some leases that took place and some permits that were issued during Trump’s first term. Uh, it wasn’t all just, you know, Biden administration trying to rush everything through and get it in under the wire. You know, some of these projects have been, you know, in the, the lease auction and permitting phase for.
You know, almost a decade. And, and in the case of Empire Wind, it was something like 14 years, uh, when they first started considering, um, you know, that, that, uh, lease area. So what RW is upset about is the fact that it’s just, it’s, it’s the inconsistency and the uncertainty around policy that has caused.
Them as project developers and the financiers who we’re gonna be backing them to [00:23:00] say, you know what, we’re gonna take a step back because it doesn’t look like you’re gonna be able to build this project very quickly or conveniently like you want to. And there’s also uncertainty about the power off. Take agreements.
Um. You know, if the government’s also gonna have some kind of say around, um, you know, the, the transmission infrastructure as well. So besides the, the projects, which is what everybody tends to focus on, the electrical infrastructure is also something that, you know, boem and technically the federal government, since these projects are in our, our outer continental shelf, it’s federal water, um, they have jurisdiction over some of the permitting that that goes along with.
Uh, the transmission infrastructure. And so if you can’t build a project and you’re not guaranteed to have power off, take, uh, you know, what else can you do, but hit the pause button.
Joel Saxum: Well,
Phil Totaro: I think
Joel Saxum: at the, at the end of the day, Phil, it’s just like, uh, uh, you say it often is political versus technical, right?
Because [00:24:00] that the technical argument is sound. Uh, it’s been sound for offshore wind. Uh, but politically we are, we run into a bunch of problems and the, those problems extend and extend and extend. Right now we’re talking about job creation. That was a big thing. That’s one of the, one of the big deals with the IRA bill, bringing all these things into, into the United States, like say, uh, uh, this week, uh, one of the, the articles that we have, PRIs PRIs me and cancels a, um, blade or blade, uh, cable factory for offshore wind.
So that’s, that’s a $200 million investment with how many jobs that that thing could have been. Those are good, good high paying jobs as well. Right.
Phil Totaro: But this is also part of a, a wider issue that we’ve talked about before, which is you never really had US based companies that were all that committed to the offshore wind market to begin with.
Now you’re introducing uncertainty and the people who were coming over here were the Europeans and some Asians, but. You know, mostly [00:25:00] the Europeans that wanted to, to actually plow money into the us. Now they’re, you know, going back to the, the genesis of this, which was RWE pulling up stakes. I don’t think the, they’re, they may be, you know, one of the first companies, but they’re probably not gonna be the last.
Um, and you know, you’re gonna. I mean, you can antagonize offshore wind all you like, but you’re, you’re going to find your wallets up to $75 billion lighter, um, based on doing that because, you know, in addition to the project CapEx that doesn’t get spent, as Joel just said, it’s jobs and factories that don’t get built.
That’s also tax revenue. It’s r and d investment. Um, and you know, it, it’s, it’s. Everybody, basically, everybody loses. Um, so. You know, it’s in instead of this, as I said kind of before the show, we were all kind of anticipating that, you know, the current administration was probably [00:26:00] gonna not be too friendly to offshore wind and that it would be maybe like a, a five year window of, of a downturn in the market, or at least a, a nominal leveling off of the market.
Now you’re talking about this is, has the potential to set us back 10 years because getting all these European. Investors and project developers back into the US is gonna require a heck of a lot of convincing.
Allen Hall: That’s gonna do it for this week’s Uptime Wind Energy podcast. Thanks for listening, and give us a five star rating when you can press a little button, make sure it says five stars, or don’t be a mean person.
You know what I’m saying? Five stars is good. And also check out Uptime Tech News, our substack newsletter and that thing has exploded everybody. Uh, so if you want weekly or sometimes daily content about wind energy or other, uh, random facts, you can check out. Uptime Tech News are Substack newsletter. And we’ll see you here next week on the Uptime Wind Energy [00:27:00]Podcast.
https://weatherguardwind.com/rwe-us-offshore-spanish-blackout/
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Vineyard Wind’s $69.50 PPA, Two Offshore Lease Exits
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Vineyard Wind’s $69.50 PPA, Two Offshore Lease Exits
Rosemary reports back on her visit to multiple Chinese renewable energy companies, Vineyard Wind activates a $69.50/MWh PPA with Massachusetts utilities, and Bronze Age jewelry halts a German wind project.
Sign up now for Uptime Tech News, our weekly newsletter on all things wind technology. This episode is sponsored by Weather Guard Lightning Tech. Learn more about Weather Guard’s StrikeTape Wind Turbine LPS retrofit. Follow the show on YouTube, Linkedin and visit Weather Guard on the web. And subscribe to Rosemary’s “Engineering with Rosie” YouTube channel here. Have a question we can answer on the show? Email us!
[00:00:00] The Uptime Wind Energy Podcast brought to you by Strike Tape protecting thousands of wind turbines from lightning damage worldwide. Visit strike tape.com and now your hosts.
Allen Hall 2025: Welcome to the Uptime Wind Energy Podcast. I’m your host, Allen Hall. I’m here with Yolanda Padron in Austin, Texas, who is back from the massive wedding event. Everybody’s super happy about that, and Rosemary Barnes had her own adventures. She just got back from China and Rosemary. You visited a a lot of different places inside of China.
Saw some cool factories. What all happened?
Rosemary Barnes: Yeah, it was really cool. I went over for an influencer event. So if you are maybe, you know, in the middle of your career, not, not particularly attractive or anything you might have thought influencer was ruled out for you as a career. No one, no one needs engineering influencers in their [00:01:00] forties.
It’s incorrect. It turns out that’s, that’s where, that’s where I, I found myself. It was pretty cool. I, I did get the red carpet rolled out for me. Many gifts. I had to buy a second bag to bring home the gifts, and when I say I had to buy a second bag, I had to mention. Oh, I have so many gifts, I’m gonna need another bag.
And then there was a new bag presented to me about half an hour later. But, so yeah, what did I do? I got to, um, as I was over there for a Sun Grow event. Huge, huge event. They, um, it’s for, it’s for their staff a lot, but it’s also, they also bring over partners. They also bring over international experts to talk about topics that are relevant to them.
Yeah. They gave everybody factory tours in, um, yeah, in, in shifts. Um, I got to see a module assembly factory, so where they take cells, which are like, I don’t know, the size of a small cereal box, um, and assemble them into a whole module. Then the warehouse, warehouse was [00:02:00] gigantic. It, um, was, yeah, 1.8 gigawatt hours worth of cells that couldn’t hold in that one building.
They’re totally obsessed with fire safety there in everything related to batterie, like in the design of the product, but also in, in the warehouse. And they do, yeah, fire drills all the, all the time. Some of them quite big and impressive. Um, I saw inverter manufacturing facility that was really cool.
Heaps of robots. Sw incredibly fast. Saw a test facility.
Allen Hall 2025: So was most of the manufacturing, robotics, or humans?
Rosemary Barnes: Yeah. So at the factory it was like anything that needed to be done really fast or with really good quality was done by robots. So they had, um, you know, pick and place machines putting in. Um, you know, components in the circuit board, like just insane, insane rate.
I’m sure it’s quite, quite normal, but, um, just very fast. Everything lined up in a row. Most of their quality control is done by robots. Um, so it does well it’s done by ai, I should say. [00:03:00] Taking photos of, of things and then, um, AI’s interpreting that. Repairs, I think were done by humans. There were humans doing, um, like custom components as well.
Like not every product is exactly the same. So the custom stuff was done by humans.
Allen H: So that’s the Sun Grove facility, right? You, but you went to a couple of different places within China?
Rosemary Barnes: Yeah, I went to another, a factory, a solar panel, a factory, um, from Longie. That was really cool too. I got to see a bit more probably of the, um, interesting, interesting stuff there, like, uh, a bit more.
Um, yeah, I don’t, I dunno, processes that aren’t, aren’t so obvious. Not just assembly, but um, you know, like printing on, um, bus bars and, you know, all of the different connections and yeah, it was a bit, a bit more to it in what I saw. Um, so that was, but it, it’s the same, you know, as humans are only involved when it’s a little bit out of the.
Norm or, um, where they’re doing repairs, actual actually re [00:04:00]repairing. You know, the robots or the AI is identifying which components don’t meet the standard and then they’ll go somewhere where a human will come and, um, fix them.
Allen H: Being the engineer there. Did you notice where the robots are made? Was everything made in China that was inside the factory or were they bringing in outside?
Technology.
Rosemary Barnes: I didn’t think to look for that, but I would assume that it was Chinese made, also
Allen H: all built in country
Rosemary Barnes: 20 years ago that wouldn’t have been the case, but I think that China has had a long, a long time to, to learn that. Again, it’s not like, it’s not, it’s not rocket science. These are, these are pick and place machines, you know, like I remember working on a project very early in my career, so.
Literally 20 years ago, um, I was working with pick and place machines. It’s the same, it’s the same thing. Um, some of them are bigger ’cause they’re, you know, hauling whole, um, battery packs around. It’s just the, um, the way that it’s set up, but then also the scale that they can achieve. You just, you can’t make things that cheap if you don’t have the [00:05:00] scale to utilize everything.
A hundred percent. Like I said, wind turbine towers is a really good example. ’cause anyone, any steel fabricating
Allen H: shop
Rosemary Barnes: could make a wind turbine tower. Right? They, they could, they could do that. You know, the Chinese, um, wind turbine tower factories have the exact right machine. They don’t have a welder that they also use for welding bits of bridges or whatever.
Uh, they have the one that does the exact kind of world that they need, um, for the tower. They, you know, they do that precisely. Robotically, uh, exactly the same. And, you know, a, a tower section comes on, they weld it, it moves off to the next thing, and then a new one comes on. They’re not trying to move things around to then do another weld in the same machine.
You know, like they’re, um, but the exact right. Super expensive machine for the job costs a whole bunch to set up a factory. And then you need to be making multiple towers every single day out of that factory to be able to recoup on your cost. And so that is [00:06:00] the. The, um, bar that is just incredibly hard slash impossible for, um, other countries to clear.
Allen H: Can I ask you about that? Because I was watching a YouTube video about Tesla early on Tesla, where they wanted to bring in a lot of robotics to make vehicles and that they felt like that was the wrong thing to do. In fact, they, they, they kinda locked robots in and realized that this is not the right way to do it.
We need to change the whole process. It was a big deal to kind of pull those. Specialized piece of equipment, robots out and to put something else in its place in that they learned, you know, the first time, instead of deciding on a process, putting it in place and then trying to turn it on, see if it works, was to sort of gradually do it.
But don’t bolt anything down. Don’t lock it in place such that it doesn’t feel like it’s permanent. So you engineer can think about removing it if it’s not working. But it sounds like this is sort of the opposite approach of. A highly specialized [00:07:00] machine set in place permanently to produce. Infinite amounts of this particular product, does that then restrict future changes and what they can make or, I, I, how do they see that?
Did, did you talk about that? Because I think that’s one of an interesting approaches.
Rosemary Barnes: I didn’t actually get as much chances I would’ve liked to speak to engineers. Um, I was talking mostly to salespeople and installers. Um, so they know a lot, but I couldn’t, um, like in the factory tours, I was asking questions.
Um. That kind of question and, and they could answer all, all that. Um, but outside of that, and I couldn’t record in the factory obviously. Um, but I did, I did take notes, but what I would say is that they would have a separate facility where they would be working out the details of new products and new manufacturing processes and testing them out thoroughly before they went and, you know, um, installed everything correctly.
But what I do hear is that, you know, especially with solar power. Maybe to [00:08:00] batteries to a lesser extent. You, you know, you like, you have these kind of waves of technology. Um, so you know, like everyone’s making whatever certain type of solar cell and then five years later, um, there’s a new more efficient configuration and everybody’s making that.
And I know that there are a lot of factories that kind of get scrapped. Um, and the way that China’s set up their, like, you know, their economy around all this sort of thing is set up is that it’s not that, like every company doesn’t succeed. Right. They SGO was a big exception because they’ve been going since 1997, I think it was.
It was started by a professor quid his job and hired a room across the, across the road from his old university and, you know, built his first inverter and, um, you know, ’cause he, he could see that. Uh, the grid was gonna have to change to incorporate all of the solar power that was coming, which to be honest, in 1997, that was like pretty, pretty farsighted.
That was not obvious to me when I started working in solar in mid two thousands. And it was not obvious to me that this was a winner.
Allen H: Well, has sun grow evolved then quite a bit? ’cause if you’re [00:09:00] saying that they’ve minimized the cost to produce any of their products by the use of robotics, they have been through an evolutionary process.
You didn’t see any of the previous generations of. Factories. You, you were just seeing the most modern factory that that’s actually producing parts today. So is that a, is that a, is that just a cost mindset that’s going on in China? Like, we’re just gonna produce the lowest cost thing as fast as we can, or is it a market penetration approach?
What are, what were, were the engineers in management saying about that?
Rosemary Barnes: I think there’s a few different aspects to that, like within China. So Sun Grow is the big company with a long track record and they’re not making the cheapest product out of China. So I think that they are still trying to make the cheapest product, but they’re not thinking about it just in the purchase price.
Right. They’re thinking more in terms of the long, long term. You know, they’ve been around for 30 years and probably expect to be around for another 30 years. They don’t wanna be having [00:10:00] recalls of their products and you know, like having to, um. Installers in particular are probably working with them because they know that they won’t have to go back and do rework and the support is good and all that sort of thing.
So they’re spending so much money on testing and you know, just getting everything exactly right. But I don’t think that that’s the only way that China is doing it. There’s, you know, dozens, probably hundreds of companies. Um. Doing similar stuff between Yeah, like solar panels and associated stuff like inverters and, and batteries.
So many companies and all of them won’t succeed. You know, sun Girls Facility in, I was in her and it’s huge, you know, it’s like a, a medium sized country town. Just their, um, their campus there, they’re not, they’re not scrapping that and moving to a new site, you know, they’re gonna be. Rejiggering and I would expect that, you know, like everything’s set up exactly the way it needs to be, but it’s not like gigantic machines.[00:11:00]
It’s not like setting up a wind turbine blade factory where it’s hard if you designed it for 40 meter blades, you can’t suddenly start making 120 meter blades. Like it’s, they will be able to be sliding machines in and out as they need to. Um, so I, I, yeah, I guess that it’s some, some flexibility. But not at the cost of making the product correctly.
Allen H: Did you see wind turbines while you were in China?
Rosemary Barnes: I, the only winter I saw, I actually, I saw, because I caught the train from Shanghai, I actually caught the fast train from Shanghai to, which is about, it depends which one you get between like an hour 40 or three hours if it stops everywhere. Um, and I did see a couple of wind turbines on the way there, out the window, just randomly like a wind turbine in the middle of a, a town.
Um, so that was a bit, a bit interesting. But then in the plane, on the way back, the plane from Shanghai to Hong Kong, I, at the window I saw a cooling tower of some sort. So either like a, yeah, some kind of thermal [00:12:00] power plant. And then. Around all around, well, wind turbines, so onshore wind turbines. So I don’t know.
Um, yeah, I, I don’t know the story behind that, but it’s also not a particularly windy area, right? Like most of the wind in China is, um, to the west where, uh, I wasn’t
Allen H: as wind energy professionals, staying informed is crucial, and let’s face it. That’s why the Uptime podcast recommends PES Wind Magazine. PES Wind offers a diverse range of in-depth articles and expert insights that dive into the most pressing issues facing our energy future.
Whether you’re an industry veteran or new to wind, PES Wind has the high quality content you need. Don’t miss out. Visit PS win.com today. So there are two stories out of the US at the minute that really paint a picture of the industry. It was just being pulled in opposite directions. The Department of Interior announced agreements to terminate two more.
Offshore wind leases, uh, [00:13:00] Bluepoint wind and Golden State wind have agreed to walk away from their projects. Global Infrastructure Partners, which is part of BlackRock, will invest up to $765 million in a liquified natural gas facility instead of developing blue point wind. Ah. And Golden State Wind will recover approximately $120 million in lease fees after redirecting investment to oil and gas projects along the Gulf Coast, and both companies say they will not pursue further offshore wind development in the United States.
Well, we’ll see how that plays out. Right? Meanwhile. In Massachusetts Vineyard Wind, which has been fighting with GE Renova recently has activated its long awaited power purchase agreement with three utilities. The contract set a fixed electricity price of drum roll please. [00:14:00] $69 and 50 cents per megawatt hour for the first year and a two and a half percent annual increase.
Uh, state officials say the agreements will save rate payers $1.4 billion over 20 years. So $69 and 50 cents per megawatt hour is a really low PPA price for offshore wind. A lot of the New York projects that. Renegotiated we’re somewhere in the realm of 120 to $130 a megawatt hour, and there’s been a lot of discussion in Congress about the, the usefulness of offshore wind.
It’s intermittent blahdi, blahdi, blah. Uh, but the, the big driver is what costs too much. In fact, it doesn’t cost too much. And because it’s consistent, particularly in the wintertime, uh, electricity prices in Massachusetts in the surrounding area are really high. ’cause of the demand and ’cause how cold it is that this offshore wind project, vineyard wind would be a huge rate saving.
And [00:15:00] actually the math works out the math. Math everybody. Do you think this is, when we go back five years from now, look back at this. This vineyard wind project really makes sense for Massachusetts.
Yolanda Padron: I think it really makes sense for Massachusetts. I’m really interested to know what the asset managers are thinking on the vineyard wind side, um, and if they’re scared at all to take this on.
I mean, it’s great and I’m sure they can absolutely deliver. Like generation I don’t think should be an issue. Um. I just don’t know. It’s, it sounds like they’re leaving a lot of money on the table.
Allen H: I would say so, yeah. But remember, the vineyard win was one of the early, uh, agreements made when things were, this is pre Ukraine war, pre Iran conflict on a lot of other, a lot of other things.
It was pre, so I remember at the time when this was going on that. P. PA prices were higher than obviously a lot of other [00:16:00] things. Onshore solar, onshore wind, it would, offshore is always more expensive, but I don’t remember $69 popping up anywhere in any filing that I remember seeing. So even if they had said $69 five years ago, I think that would’ve still been like, wow, that’s pretty good for an offshore wind project.
And now it looks fantastic for the state of Massachusetts
Yolanda Padron: because I know that there’s sometimes, and we’ve talked about this in the past, right? There are sometimes projects where, you know, you think you, you’ve got a really good price and you’re really excited about it, and then it goes into operation and then like a couple years down the road, prices increase quite a bit and it’s not the worst thing in the world.
But you do just kind of think a little bit like, I wish I could. Renegotiate this or you know, just to get, to get our team a bit of a better deal or to get a bit more money in operations and everything.
Allen H: Does this play into Vineyard wind claiming $850 [00:17:00] million in dispute with GE Renova that at $69 PPA, there’s not a lot of profit at the end of this and need to get the money out of GE Renova right now, and maybe why GE Renova wants to get out of this because they realize.
The conflict that is coming that they need to separate the, the themselves from this project. It’s, it’s very, as an asset manager, Yoland, as you have done this in the past, would you be concerned about the viability of the project going forward, or is all the upfront costs. Pretty much done in that operationally year to year.
It’s, it’s not that big of a deal.
Yolanda Padron: As an asset manager taking this on, I’d probably have started preparation on this project a lot earlier than other of my projects like I do. I know that usually there’s, you know, we’ve talked about the different teams, right, throughout the stages of the project until it goes into operations, [00:18:00] but.
And usually you don’t have a lot of time to prepare to, to make sure all of your i’s are dotted and t’s are crossed, um, by the time you take the project and operations from a commercial standpoint. But this project, I think would absolutely, like you, you would need to make sure that a lot of the, of the things that you’re, that might be issues for some of your projects like aren’t issues for this project.
Just to make sure at least the first few years you can. You can avoid a lot of, a lot of turmoil that the pricing and the disputes and the technical issues are gonna cause you, because I feel like it’s just, there’s, there’s just so many things that just keep this side, just keeps on getting hit, you know?
Allen H: Well, I, I guess the question is from my side, Yolanda, is obviously inflation, when this project started was pretty consistent, like one point half, 2%. It was very flat for a long time. And interest rates, if you remember when this project started, were very, very low. Almost [00:19:00] nonexistent, some interest rates.
Now that’s hugely different. How does a contract get set up where a vineyard can’t raise prices? It would just seem to me like you would have to tie some of the price increase to whatever the inflation rate is for the country, maybe even locally, so that if there were a, a war in Ukraine or some conflict in the Middle East.
That you, you would at least be able to, to generate some revenue out of this project because at some point it becomes untenable, right? You just can’t afford to operate it anymore. And,
Yolanda Padron: and I think, um, I, I haven’t, I obviously haven’t read the, the contracts themselves, but I know that there’s sometimes there, it’s pretty common for a PPA to have some sort of step up year by year.
And it’s usually, it can be tied to, um, the CPI for. Like the, the change in CPI for the year to year. So you’re [00:20:00] absolutely like, right, like maybe, I mean, hopefully they’re, they’re not just tied to the fixed 69 bucks per megawatt hour. Um, but, but yeah, to, to your point like that, that price increase could, could really save them.
Now that we’re, we’re talking the, the increase in, in inflation right now and foreseeable future,
Allen H: if you think about what electricity rates are up in the northeast. I think I was paying 30 cents a kilowatt hour, which is 300. Does that sound right? $300 a megawatt hour. Delivered at the house, something like that.
Right? So
Yolanda Padron: prices in the northeast are crazy to me,
Allen H: right? They’re like double what they are in North Carolina. Yeah.
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Yolanda Padron: you millions.
Allen H: Well, sometimes building a wind farm turns out more than expected construction workers at a 19 turbine wind project in lower Saxony Germany under Earth. What experts call the largest Bronze age Amber Horde ever found? The region, the very first scoop of an excavator brought up bronze and amber artifacts that stopped construction and brought archeologists back to the site.
Uh, the hoard has been dated between [00:22:00] 1500 and 1300 DCE and is believed to have belonged to at least three. Status women possibly buried as a religious offering. Now as we push further and further across Germany with wind turbines and solar panels for, for that matter, uh, we’re coming across older sites, uh, older pieces of ground that haven’t been touched in a long time and we’re, we’re gonna find more and more, uh, historically significant things buried in the soil.
What is the obligation? Of the constructor of this project and maybe across Europe. I, I would assume in the United States too, if we came across something that old and America’s just not that old to, to have anything of, of that kind of, um, maybe value or historically significant. What is the process here?
Rosemary Barnes: I assume that they’ve gotta stop, stop work. Um, yeah, that’s my, my understanding and I don’t think, do you have [00:23:00] grand designs in America?
Allen H: I don’t know what that is. Yes.
Rosemary Barnes: So missing out by not having that chat. It’s a TV show about people who are building houses or doing, um, ambitious renovations, and it just, it follows, it follows them.
You can learn a lot about project management or. The consequences if you decide that you don’t need to, project management isn’t a thing that you need to do. Um, anyway. I’m sure that in some of those ones I’ve seen they have had work stop because in their excavation they found a, um, yeah, some, some kind of relic, um, from the, from the past.
So based on that very well-credentialed experience that I have, I can confidently say that they would be stopping stopping work on that site. I mean, it’s so bad, bad for the developer, I guess, but it’s cool, right? That they’re, you know, uncovering, uh, new archeology and we can learn more about, you know, people that lived thousands of years ago.
Allen H: It, it does seem [00:24:00] like, obviously. Do push into places where humans have lived for thousands of years. We’re going to stumble across these things. Does that mean from a project standpoint, there’s, there’s some sort of financial consequence, like does the lower Saxony government contribute to the wind turbine fund to to pay the workers for a while?
’cause it seems like if they’re gonna do an archeological dig. That that’s gonna take months at a minimum, may, maybe not, but it usually, having watched these things go on it, it’s. It’s long.
Rosemary Barnes: But wouldn’t that be something that you’d have insurance for?
Allen H: Oh, maybe that’s it.
Rosemary Barnes: You know, it seems to me like an insurable, an insurable thing, like not so hard to, it would’ve affected plenty of other, like any project that involves excavation in Europe would come with a risk of, um, finding Yeah.
An archeological find. And having work stopped, I would assume.
Allen H: Yolanda, how does that work in the United States do, is there some insurance policy towards finding [00:25:00] a. Ancient burial ground and what happens to your project?
Yolanda Padron: I don’t know. I, um, the most I’ve heard has been, it’s just talking to like the government and like the local government and making sure that you have all your permits in place and making sure, you know, you might need to, to have certain studies so you know, you might not have to get rid of the whole wind farm or remove the hole wind farm, but at least a section.
Of it has to be displaced from what you originally had thought. I don’t know. I know it happens a lot in Mexico where you get a lot of changes to construction plans because you find historical artifacts or obviously not everybody does this, but like. Tales of construction workers who will like, find, they’re so jaded from finding historical artifacts that they just kind of like take and then dump them to the next plot over to not deal with it right now.
Not that it’s anything ethical, uh, or done by everybody, [00:26:00] uh, but it’s, but, but it’s a common occurrence, a relatively common occurrence.
Allen H: You would think it where a lot of wind turbines are in the United States, which is mostly Texas and kind of that. Midwest, uh, wind corridor that they would’ve stumbled across something somewhere.
But I did just a quick search. I really hadn’t found anything that there wasn’t like a Native American burial ground or something of that sort, which they previously knew. For the most part. It’s, so, it’s rare that, that you find something significant besides, well, maybe used some woolly mammoths tusks or something of that sort.
Uh, in the Midwest, it’s, it’s, so, it’s an odd thing, but is there a. A finder’s fee? Like do does the wind company get to take some of the proceeds of, of this? Trove of jewelry.
Rosemary Barnes: I, I would be highly surprised.
Allen H: Well, how does that work then? Rosemary?
Rosemary Barnes: I’d be highly surprised if that’s the case in Europe. I bet it would happen like that in America.
Allen H: Sounds like pirate bounty in a sense.
Rosemary Barnes: In, in Australia it wouldn’t be like that because [00:27:00]you, when you own land, you don’t actually. You, you own the right to do things from surface level and above, basically. I don’t know how excavation works. So you don’t generally have a a right to anything you find like that?
I mean, you shouldn’t either. It’s not, it’s not yours. It’s a, it belongs to the, I don’t know, the people that, that were buried. When you then to the, the land, like, I guess. The government in some way. I mean, in Australia it’s, um, like we don’t have so many archeological fines that you would find from digging.
I mean, it’s not that there’s none, but there’s not so many like that. But it is pretty common that, you know, there are special trees, um, you know, some old trees that predate, uh, white people arriving in Australia. And, um, you know, that have been used for, you know, like it might have a, a shield that’s been, um.
Carved out of it. Or, uh, hunting. Hunting things, ceremonial things, baskets, canoes, canoe like things, stuff like that. They call ’em a scar [00:28:00] tree ’cause they would cut it out of a living, living tree. And you know, so when you see a tree with those scars and that’s got, um, cultural significance. There’s also, you know, just trees that were, um.
That that was significant for cultural reasons and so you wouldn’t be able to cut down those trees if you were building any, doing any kind of development in Australia and a wind farm would be no different. I know that they are, there are guidelines for, if you do come across any kind of thing like that or you find any anything of cultural significance, then you have to report it and hopefully you don’t just move it onto the neighboring property.
Allen H: I know one of the things about watching, um. Some crazy Canadian shows is that. Uh, you have to have a Treasure Hunter’s license in Canada. So if you’re involved in that process, like you can’t dig, you can’t shovel things, only certain people can shovel. ’cause if they were to find something of value, you.
You’ll get taxed on it. So there’s just a lot of rules [00:29:00] about it. Even in Canada,
Rosemary Barnes: if I was an indigenous Australian and you know, some Europe person of European descent came and found some artifacts, uh, aboriginal. Artifacts. I would be pissed if they just took it and sold it. Like that’s just clearly inappropriate right.
To, to do that. So you, I don’t think it should be a free for all. If you find artifacts of cultural significance and you just, it’s, you find its keepers that, that doesn’t sound right to me at all.
Allen H: Can we talk about King Charles II’s visit to the United States for a brief moment?
Uh, he is a really good ambassador, just like, uh, the queen was forever. He’s, he does take it very seriously and the way that he interacted with the US delegation was remarkable at times in, in terms of knowing how to deal with somebody that there’s a war going on right now. So there’s a lot [00:30:00] happening in the United States that, uh, not only could it be.
Uh, respecting both sides of the UK and the United States’ position in a, in a number of different areas, but at the same time being humorous, trying to build bridges. Uh, king Charles, uh, had the scotch whiskey tariffs removed just by negotiating with President Trump, and sometimes that’s what it takes.
It’s a little bit of, uh. Being a good ambassador.
Allen H: Yeah. The very polished you would expect that. Right? But this is the first visit of. The king to the United States, I believe. ’cause he, he’s been obviously as a prince many, many, many times to the United States. [00:31:00]But this time as, as a, the representative of the country, the former representative or head of the country, which was unique.
I think he did a really good job. And I wish he, they would’ve talked about offshore wind. Maybe he could’ve calmed down the administration on offshore wind.
Rosemary Barnes: I bet that’s one of the, the goals. I mean, that’s an industry that’s important to. So
Allen H: I wonder if that happened actually. ’cause that’s not gonna be reported in, in the news, but how the UK is going on its own way in terms of electrification and I guarantee offshore wind had to come up it.
Although I have been not seen any article about it, I, I find it hard to believe that King Charles being the environmentalist that he is, and a proponent of offshore wind for a long time. Didn’t bring it up and try to mend some fences.
Rosemary Barnes: Maybe he’s playing the long game though. I mean, Trump is pretty, he’s transactional, but he also, you know, he has people that he really likes and you know, will act in their interests.
So maybe it’s enough to just be [00:32:00] really liked by Trump, and then that’s the smartest way you can go about it.
Allen H: Did you see the gift that King Charles presented to, uh, the US this past week?
It was a be from, uh, world War II submarine, which was the British, I dunno what the British called their submarines, but it was, the name of it was Trump. So they had the bell from. The submarine when it had been commissioned and they, they gave that to the United States, or give to the president. It goes to the United States.
The president doesn’t get to keep those things, but it was such a smart, it’s a great president. It’s such a smart gift, and somebody had to think about it and the king had to deliver it in a way that got rid of all the noise between the United States and the uk. Brought it back to, Hey, we have a lot in common [00:33:00] here.
We shouldn’t be bickering as much as we are. And I thought that was a really smart, tactful, sensible way to try to men some fences. That was really good. That wraps up another episode of the Uptime Wind Energy Podcast. If today’s discussion sparked any questions or ideas, we’d love to hear from you. Reach out to us on LinkedIn.
Don’t forget to subscribe, so you never miss this episode. And if you found value in today’s conversation, please leave us a review. It really helps other wind energy professionals discover the show. For Rosie and Yolanda, I’m Allen Hall and we with. See you’re here next week on the Uptime Wind Energy Podcast.
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