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We discuss the rapid rise of skills-based hiring in wind energy, with 81% of employers now prioritizing competency over degrees. Delaware strikes a major $128 million offshore wind agreement. We tackle the idea of “clean” natural gas. And mounting cybersecurity concerns arise as Chinese manufacturers gain control of critical supply chains.

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Allen Hall: Skills based hiring shakes up wind energy recruitment, while Delaware strikes a 128 million offshore wind deal. Plus, what’s really behind those clean, natural gas claims? This is the Uptime Wind Energy Podcast.

You’re listening to the Uptime Wind Energy Podcast, brought to you by BuildTurbines. com. Learn, train, and be a part of the clean energy revolution.

Visit BuildTurbines. com today. Now, here’s your hosts. Alan Hall, Joel Saxom, Phil Totaro, and Rosemary Barnes. Hey,

Allen Hall: Uptime family. We’ve got something awesome brewing just for you. Want to help make your favorite wind energy podcast even better? Well, here’s your chance. And yes, there’s something special in it for you.

We’ve created a quick five minute survey to learn what gets you excited about our show and what topics you’d love us to dive into. The best part, everyone who completes a survey and drops their email Will be entered to win one of our coveted Uptime Podcast mugs and they’re so coveted I don’t have one.

It’ll go along with your morning coffee while catching up on the latest wind energy news And your input means everything to us whether you’ve been with us since day one or just discovered us last week We want to hear your thoughts and our Wind energy O& M Australia event is on in a big way. We’re all gonna be down there February 11th and 12th Bill, you want to give us the latest and greatest on sponsors and on the events at the conference?

Phil Totaro: Yeah, so we just had two, uh, very big name companies, uh, sign up to sponsor corporate roundtables. One is GE Vernova, and the other one is Winergy. And at this event, we’re going to have topics covering lightning protection and damage, leading into erosion, Condition monitoring technology, uh, noise and nuisance, uh, drive chain refurbishment, insurance, you name it.

We’ve got it covered. Uh, so please register today if you haven’t already.

Allen Hall: And you can do that at windaustralia. com. So register now.

Unlock your wind farm’s best performance at Wind Energy O& M Australia. February 11th to 12th in sunny Melbourne. Join industry leaders as they share practical solutions for maintenance, OEM relations and asset management.

Discover strategies to cut costs, keep your assets running smoothly and drive long term success in today’s competitive market. Register today and explore sponsorships at www. windaustralia. com.

Allen Hall: Well, the U. S. Department of Labor published a Skills First Hiring Starter Kit last fall, and this has touched off a broader discussion about worker qualifications. And in 2024, 81 percent of employers Uh, practice skills based hiring up from 73 percent in 2023 and just 56 percent in 2022, according to some research.

So it’s up by 30%, almost 30 percent right now since 2022. Now, an analysis by Indeed, which is a job site, found the number of job postings requiring at least a four year degree fell to 17. 8 percent in January of 2024 compared to about 20 percent in 2019. So the number of employers who are requiring degrees to even apply for a job has dropped and there are more employers looking for skills.

Rather than diplomas, which is an interesting trend. And Joel was mentioning before we started today that Elon Musk put out a Twitter post or I guess it’s an ex post now. about this particular topic.

Joel Saxum: Yeah. Today he’s, he put a post out. It says, if you’re a hardcore software engineer and want to build the everything app, please join us by sending your best work to code at X.

com. That’s not the important part. The important part here is what he states is we don’t care where you went to school or even whether you went to a school or what big name company you worked at. Just show us your code. And to me, I think that’s amazing because I guess there’s, it’s a pendulum swing. My whole life as a young person in the United States, it was, you got to get a good job.

You got to get a degree. You got to get a degree. You got to get a degree. And then you see that being beat into the culture. And then the cost of these degrees just going crazy over here, right now. I mean, an average four year degree, you’re paying 80, 100, a hundred thousand dollars plus just to get over or more, right?

Yeah. Alan’s, Alan’s giving me the thumbs up way more. So, so, you know, if, if I, if I I’m in Texas right here in Austin, if I want to go to UT Austin. It’s going to cost me like 40 to 45, 000 a year for your degree. That’s 180, 000 degree that like, that’s so, uh, like it’s so much of a hurdle to employment and to growing, uh, growing employment as a society and in good jobs, and I think that like, from my standpoint, I’ve always.

Try to lean on this. If you’re a hard worker, if you’ve got some skills, I don’t care where you’ve worked in the past, I don’t care what school you went to, or even if you went to one, if you can do the job, let’s do the damn job. And that’s my take on it.

Rosemary Barnes: Uh, so one thing that I think has changed recently is that in the past, like the reason why you would say you want X degree is because you want someone that has the knowledge that you would learn in that degree.

Um, but these days there’s like nothing that you can’t learn well on the internet, just as well as in a degree. It’s kind of insane the way that now that we have the internet available, it’s insane to keep on doing it in the same way. So I think now, yeah, like we can still have the same requirement that we used to have in terms of knowledge.

But it doesn’t need to be so gatekept by the universities. But that said, I do think that there’s some kinds of engineering, like a lot of what people call engineering, I don’t think needs a degree, you know, um, and especially the things that need engineering sign off. Like it’s really rare that you actually need to use your engineering judgment for something like that.

It’s much more often, you need to just check what’s being done, check what the design standard says, and make sure that it fits within that. I don’t think you need a degree for that. Where I think you need engineers is where something comes outside of the design standard so that an engineer can make sure that, you know, everything has been considered that should have and, um, you know, do the analyses that are required and just, you know, use their professional experience and education to make sure that, You’re not inadvertently doing something unsafe.

Joel Saxum: I think when, when engineering, when you talk engineering this way, the gap for me would be when liability rolls into place. So if you’re designing a bridge, I would like someone to sign off on that, that can demonstrate, demonstrate from. whatever training and these things that they’ve, they’ve achieved a certain level of being an engineer to, and in the States, that would be a structural engineer with a SCE stamp.

And that makes sense to me.

Rosemary Barnes: The higher the stakes, the less that you should be needing someone that has any sort of judgment applied to it. You know, it should be a really rigorous standard that was definitely developed by engineers. Um, make sure that that standard, you know, covers everything that it needs to.

And then the person signing off should just be saying that it, It has done what the standard says it should do. I don’t think that there is, or should be, a lot of individual judgment in place about, will this bridge fall down? Will this aeroplane fall out of the sky? Will this, uh, I don’t know, um, petrol station explode?

You know, like that shouldn’t be somebody’s like individual call on whether a valve is big enough or a bolt is replaced frequently enough. There shouldn’t be any judgment calls there. It should just be kind of, you know, do it as, um, as the design standard says. And that design standard is really rigorous and performed by engineers.

Phil Totaro: Let’s put it this way. As we’re talking about engineering, you know, I think skills based hiring is potentially more applicable than it would be, say, in like the medical field, for example. Like, I don’t want somebody who’s just watched a bunch of YouTube videos on surgery to perform brain surgery on me.

So, you know, there’s, I think there’s a difference. Uh, maybe we can, you know, there’s a bit more margin you can get away with. Uh, doing this sort of thing for engineering as, as society evolves and all that. But, uh, yeah, I, I don’t know if it’s applicable everywhere.

Rosemary Barnes: I think that sometimes like in Australia, I’ve never heard that term skills based hiring and until today, but I have noticed, you know, early in my career, people cared that I had my accredited engineering degree and was eligible to be a member of Engineers Australia.

I don’t know. It’s been decade, decades, more than one decade, probably since anybody cared about that for me. So I think it gets less important as you progress in your career. But one weird place where I have noticed that people really want an engineering degree is, uh, my project management roles for, um, construction of new wind farms, new solar farms and stuff.

And that strikes me as a place where you don’t need an engineering degree at all. That, that should be pretty easy. like work experience, you know, um, build, building up to it. I know heaps of people that would be excellent at that sort of role, um, that aren’t engineers. And there’s, you do need to understand, you know, what the regulations are technically and make sure that, you know, things are happening correctly.

So it’s not like it’s a non technical role, but it’s not one of those kind of creative engineering roles where you have to, you know, be. I don’t know, coming up with a lot of solutions on your, on your own. Um, so I think that that’s unnecessarily restricting something to, we don’t have that many engineers in Australia.

I think that, you know, there’s a lot of people that could do that role that don’t have an engineering degree.

Joel Saxum: And I think that that’s the basis of this report that came out from the department of labor in the U S here is you’re trying to, they’re trying to make the labor market less restrictive. Cause if you’re just going to put a thing in there and it says, you’ve got to have a degree for this.

You’ve got to have a degree for that. You got to, some of them don’t even make sense. Like I. Anecdotally, here’s one from the state of Wisconsin. You can be a substitute teacher in the state of Wisconsin, but only if you have a degree, a four year degree, but that four year degree does not have to be in teaching.

The four year degree can be in whatever you want. It can be from Rose Hulman University as an engineer. And, but you need that degree to go and sit in the math class for a day to make sure the students don’t revolt. That’s a weird one to me.

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Allen Hall: Delaware has signed a major agreement with U.

S. Wind worth 128 million dollars, marking a key development in offshore wind infrastructure along the east coast. The deal enables installation of transmission cables through Delaware waters and the state park land to connect two Maryland offshore wind projects to the grid. Now, there’s a couple of interesting pieces to this agreement.

$200 million is gonna be allocated for electrical grid upgrades within Delaware, and that’s gonna be focused on improving reliability and capacity. $12 million is for the cable right of way, which is pretty typical. Uh, $76 million, uh, of renewable ener energy credits are gonna be transferred to the state.

Which, um, Phil will know a lot about that. And then there’s 40 million going to the community for coastal dredging projects, clean energy workforce training, scholarship initiatives, and state park improvement. So the thing that raises my awareness of these kind of transactions, having seen something similar happen up in New Jersey, is that every time there’s an offshore wind project off the coast of one of these East Coast states.

They seem to extract hundreds of millions of dollars from the developers for state projects that may or may not have anything to do with the electrical grid. But raise the price of offshore wind, it has to raise the prices.

Phil Totaro: Absolutely. Um, you know, everything’s got to be accounted for in, in the budget and, and anytime you start stuffing these, you know, political pork projects into, you know, some kind of budget allocation, it’s necessarily going You know, end up being paid for by the project developer, but then ultimately it gets passed on to us as rate payers, because how do you think the developer makes money?

They want to be able to sell the power to somebody, and that means they also have to increase the power purchase contract price that they ask. Um, what’s interesting about this is, okay, so this is a deal in Delaware. New York actually also just announced that they’re going to do another allocation round, but only for the power generation because they have, um, you know, all the electrical infrastructure already being built and paid for by the preexisting projects.

So they’ve got a, you know, spare capacity in the substations to be able to do the power offtake. So the industry is cheering and everybody’s assuming that it’s going to lower the prices for this, you know, sixth round in, in the state of New York. Um, Um, except when everybody still comes to the realization that we haven’t done anything about inflation in a meaningful way.

Interest rates have come down a tad. I’m sure that, especially in a state like New York, they’re always going to find ways to start plumping up the price of things.

Allen Hall: What was the Orsted agreement with New Jersey for a while? Was it 400 million, 500 million? 300. 300 million? Okay. And that was the federal money that was going to come to Orstead for developing the project, right?

And then the state of New Jersey wanted to take that as a lump sum,

Phil Totaro: or take all of it. And, and that’s, that’s exactly, you know, a good, a good example where, you know, it was, the whole, Reason that there was this federal allocation of funds to the project developer was said that it could offset some of the capex cost to the developer.

And when the states see that somebody is, you know, getting 300 million dollars to go. do something to the benefit and of their state. They all start getting dollar signs in their eyes and saying, well, why aren’t we getting some of that federal money? Uh, and they devise clever ways and say, Oh, well, we’re not going to sign the power purchase agreement with you, or, uh, allow you to go build or hook into this substation over here, unless you give us some of that money.

Uh, that, that’s basically what this amounts to.

Allen Hall: but isn’t in The interest of the state to put offshore wind in it. Like Delaware is not the easiest place to get to for power generation. Right. And it’s, it’s a, it’s a little tiny state. It’s like 2000 square miles. Uh, there’s not a lot of power plants on it.

They’ve closed down some of them. That’s how they get in the power on shore from us. Wind is a going right where an old coal generation factory was because the grid infrastructure, so it’s going to plug into it there. So the whole situation for Delaware is weird in that it’s relatively simple to hook up the wind turbines to the existing grid in Delaware.

But now U. S. Wind is basically paying, what, 100, 000 per square mile to upgrade the electrical grid in Delaware? That seems like a lot of money to me.

Joel Saxum: I think Phil was spot on when he said political pork projects, right? Because to me, these are all, it’s all like earmarks. When you listen, when you watch a bill go through in D.

C. or at the state level, wherever, the bill may be about, you know, How many chicken wings we can eat this week, whatever it is. And, and, and then there’s an, there’s things earmarked. And you want the chicken wing bill passed? Well, you’re also going to give me 10 million bucks for this racetrack over here.

And then I’m also going to get this, this thing passed in the same, the same breath. If you want that, you’re going to get this. And what it ends up doing is, is it’s shooting these. These people, these states, they’re gonna, they shot themselves in the foot multiple times. We saw it in New Jersey, right? Like, Dorstad took the right down, backed off, and said, like, we’re not doing this anymore.

And we’ve seen this play out, this, this, I guess this, this concept is in my head right now, this pendulum swinging, right? Like, you’ve seen I’ve seen energy projects or watched the history of energy projects around the world where local geographies, local governments got taken advantage of, and they got resources pulled from them.

That happens. And then the pendulum swings the other way, and they put so many regulations and so much stuff in there like this. Like, this, if you add these up, they signed a 128 million dollar bill. Agreement. Great. But then there’s going to be a 200 million electrical grid, 12 million for cable right away, 76 here, 40 here.

You’re stacking this thing up to a 300 plus million extra tab just to develop a wind farm. You’re going to shoot yourself in the foot because the pendulum is that then the pendulum is swung too far the other way and you’re using up, uh, monies that Could be used for other things that in, in, in the development process.

Phil Totaro: And let’s go back to Alan’s question, which is why would they not want to build offshore wind? I mean, the answer is, well, guess what? If you like creating jobs, particularly jobs in the new economy, if you like tax revenue, if you like providing clean electricity, et cetera, I mean, these are, these are things that You do want to get reelected.

I’m talking to the politicians now. You know, you do want to get reelected. This is the way to do it is to ensure that you’re creating opportunity within the state. Um, you know, they’re, they’re taking advantage of opportunity by getting the cash, but then it’s not necessarily going to the benefit of everybody in the state because where do you think that cash came from in the first place?

It’s all the tax revenue from all of us. Collectively, in the first place, whether it’s the federal government or the state government tax coffers that it comes out of, so we’re the ones paying for it. And yet we don’t actually have, you know, a say in how, you know, like Joel’s talking about these, these horse trades and deals that end up happening when somebody is trying to pass a bill.

We have no say in how. That haggling happens. We elect somebody and we expect that they’re going to do a job for us, but I don’t necessarily always agree with the job that’s being done by the politicians that have been elected. I may not have even voted for them, and yet they’re deciding my fate.

Joel Saxum: I think it, Phil, if we could do, let’s look at a model that has worked in the past that didn’t require a bunch of this stuff.

If you know anything about the state of Alaska and the permanent fund dividend, right? The oil and gas companies are pulling oil and gas. Very, they’ve been doing it since the seventies. They’ve been pulling a lot of value in oil and gas out of the, out of the ground up there. So what they do is they have to do a, use a portion of those proceeds to fund a fund that goes back to the state.

Okay. So that is a, that is an, uh, an after development cost. So you build that into your operating model. Instead of saying upfront, you got to pay us 300 million to do this. How about we work together? And maybe we get a couple cents for every kilowatt hour produced or something off of these offshore wind farms, like the state of Louisiana is doing.

That’s where these things should go, in my opinion.

Phil Totaro: And not for nothing, but Louisiana is also making these reinvestments into, you know, developing things around coastal erosion and, and protecting the, the natural resources that they’ve got there, which I think is actually important and necessary for them to be able to do.

But that’s a decision that they made. And, and structured it in a way where it’s not impacting the CapEx cost of developing the project in the first place. And that’s the key thing here.

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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 PESWind. com today. Well Rosemary, I’m getting a little tired of hearing the term clean natural gas and that it is so much less expensive to use clean natural gas instead of renewable solar.

Wind, hydro, uh, that, uh, it makes no sense. We have to tear down all the wind turbines, all the solar panels should go away because clean natural gas is a better, uh, energy source. And I think that’s a very US perspective.

Rosemary Barnes: Can I just have two problems with that? Clean, natural gas. In that the only word that’s unproblematic is gas.

We can all agree that it’s a gas, but, um, clean. I mean, I don’t even know what they mean. Uh, natural, it’s a, it’s a fossil gas, like a natural, we don’t say natural coal, natural oil, um, you know, it’s fossil gas, it’s methane, right? Like that, that’s, that’s what it is. Uh, it’s incredibly good. Marketing that, I don’t know, the term, um, came about well before we cared about climate change.

So it wasn’t for that, but natural, natural gas makes it sound much nicer than what it is, which is fossil, fossil methane. How are they calling it clean? What’s their, what’s their definition or just that it’s cleaner than coal?

Allen Hall: They’ve dropped the er part from cleaner than coal. And it is cleaner than coal, and I will give them that.

Rosemary Barnes: I think even that’s debatable because, um, with methane, there’s losses, you know, like, because methane is like 84 times as strong a, um, a greenhouse gas than carbon dioxide is. It really matters small amounts getting leaked, and there’s always leakage, especially from, yeah, where it’s extracted, but. in the pipelines all along.

And I know that, you know, I’ve been following a little bit the research that’s been done on this area. And especially now that we can monitor with satellites, we find more and more and more leaks and the carbon or the, you know, greenhouse gas intensity of, um, fossil gas is increasing and increasing and increasing the more that we know.

And I have seen some studies try and say that in a lot of situations, it’s actually, um, overall worse for the climate than, than coal. That’s not the mainstream view and it’s not true on every. Every type of project, you know, some countries are better at extracting it cleanly, more cleanly than others, but, um, yeah, I don’t know.

How can they get away with that clean, clean natural gas? Come on.

Allen Hall: Well, the comparison of the cost of clean natural gas to other energy sources, particularly renewables, is very U. S. focused. They’ll say, well, in the U. S., uh, wind is a lot more expensive, particularly offshore wind is a lot more expensive than putting a gas, uh, electrification plant in.

True. For right now. True. But the rest of the world is not that way. Because the U. S. is full of natural gas. Pretty much Joel can walk around his backyard in Texas, drop in a pole, and get natural gas to come out of it. It’s not that hard. But if you look at the rest of the world, it’s much harder to find natural gas and the prices are widely variable.

So this is why the U. S. can make this claim. The U. S. right now is paying about 4 per million BTU. Alright, not bad. The U. K. right now is 14. per million BTU. And Germany is about 1350, right? So they’re three times more expensive, almost four times more expensive than the United States. That changes the whole economics of natural gas versus renewables.

So we are seeing renewable energy go in big time in France and in Germany, in the UK, and a lot of other places, but maybe not as much in the United States, uh, at the moment because natural gas is so low. So, Rosemary, do you see the same thing that this U. S. argument is being using globally?

Rosemary Barnes: Well, I mean, it’s an argument about, uh, cost that ignores the climate impact, right?

So, I think you first, we need to start with this only argument only works if we don’t care about the climate at all, which a lot of countries do. Um, Yeah, I mean, to a greater or lesser extent, and obviously it’s easier to care about the climate if the cost difference isn’t so great. Uh, I do think it’s a very, a very US thing, but, um, even, I mean, it’s relevant everywhere and I’ve heard the term called the, um, the spark gap, like how different the cost is between, you know, creating some sort of energy service by electricity versus with, um, natural gas.

So, you know, it might be comparing, um, A electric heat pump for heating your home versus a gas boiler. Um, what’s the cost difference for, you know, getting your house to the temperature that you want it. And, you know, some places in the world it’s cheaper to do it with electricity. In more places it’s cheaper to do it with gas.

I think that the US is like one end of a big continuum of the whole world dealing with that exact issue, but it’s definitely at, at the end, I think.

Allen Hall: But every country needs to think about it for themselves, right? The economics in the United States are totally different than the economics in Germany, the UK, France, India, South America, Brazil.

They’re just totally different, and I think we’re getting caught up, at least in the United States, that globally, wind is not an answer. Globally, solar is not an answer. Globally, hydro is not an answer. That the only answer is LNG. Which is just a complete distortion of what the reality is. For the time being, the natural gas is easy in the United States.

Rosemary Barnes: It’s also, in terms of energy security, like, you’ve got the gas there, so you’re fine. Europe wants to get off gas regardless of how much it costs. I mean, that’s, that makes it extra, an extra incentive that is expensive. But they don’t have it, so they have to import it. So they would prefer to have energy security by, you know, having their own wind farms.

Peace. Um, so I think that the US fails to see that as well, that there’s an energy security like for most countries, having your own renewables is, um, more better energy security than having to buy that, you know, your gas and your oil in from other countries.

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Well, a stark warning has been coming from Europe about wind energy’s supply chain growing dependence upon Chinese manufacturers and a Dutch government backed report report. Along with comments from former MI6 chief, Sir Richard Dearlove highlights concerns about cybersecurity risks and strategic vulnerabilities in the offshore wind sector.

Now the background on the Chinese manufacturers, I think it’s pretty well known to people in wind, but there’s six of the top 10 wind turbine manufacturers in the world are now based in China. And a lot of Chinese firms control the critical supply chain. Uh, it’s particularly for rare earth magnets, right?

And there is a significant risk and concern among Intel officials like MI6 and my guess is the CIA, Joel, and others that, uh, putting Chinese manufactured assets into your grid makes them vulnerable, uh, which I, I think has been proven out time and time again from other different sectors of manufacturer from.

As we learned, Wi Fi routers to cell phones and a variety of other things. It’s not inconsequential, but there does seem to be a big conflict coming among Europeans because there are developers that are really going after Chinese manufacturers, or at least talking to it. Is that going to stop now that the governments and the Intel officials are basically saying, don’t do it.

We’re just not going to even consider

Joel Saxum: it. I think that depends on how much control the grid operator has over these decisions, right? Like in the United States, you can, do your permitting, do everything, but at the end of the day, FERC has to sign off on your wind farm and they have the ultimate control from a federal level.

Um, so the operators may have some, some sway and some pull, but not at the end of the day, it’s not their choice whether this happens to them or not, or whether they get to install these, these turbines or not. But I think it, it’s a viable concern. In my opinion, if we’re looking on the world stage of who, Foreseeable future we may have a conflict with.

We don’t want the ability for someone that we’re in a conflict with to shut our energy supply down. Whether you’re in the UK and you’re Part of MI6 or were part of MI6. I guess you’re probably always a part of MI6 if you were a part of MI6. Does that make sense? Um, but you know, you don’t want the, a foreign operator or a foreign, you know, at that point in time, that could be an adversary to be able to have control over of what you’ve got going on.

Uh, power generation wise, because it’s, I mean, that’s, that’s a, it’s a matter of national security and that’s my take on it.

Phil Totaro: Well, and let’s, let’s also give some context to this because the developers in Europe were initially saying, Oh, we’re going to go talk to the Chinese to try and get commercial negotiating leverage against the Western OEMs saying, Hey, Hey, you guys are trying to pass on all these cost increases to us as project developers.

We don’t want to pay more, so we’re going to go talk to the Chinese and maybe we get some of their turbines. Now, fast forward five years, we just had a tender in France for offshore where even Western, you know, hardcore Western project development companies, and I’m talking like NG, EDF, they were all quoting their, their project proposals with, you know, 20 plus megawatt Chinese wind turbines.

The Chinese turbines have become more of an attractive option to developers that I believe are making bad decisions about whether or not they should be considering Chinese turbines in the first place. I don’t really think that’s They’re taking total cost of ownership into account. You know, the developer is the one making the decision on something that has profound impact to everybody that is downstream from a very early upstage, you know, development decision about what equipment to use.

And how is that going to be maintained? How much does it cost, et cetera, et cetera. And security almost doesn’t even come into the equation, uh, at all. For this week’s wind

Joel Saxum: farm of the week. We’re heading up to New York state, uh, by Allen there. Um, so the wind farm of the week is eight point wind. It’s a next era site in Steuben County, New York.

And we’re focusing on this one because it is a big one. Big wind farm, not in number of turbines, but in megawatts per turbine. Uh, this is one of the first tur, uh, wind farms in the United States to install the GE 5.5 megawatt 1 58, uh, meter rotor machine. Uh, cool thing about it is eight point wind.com that NextEra put together has a comprehensive safety plan.

a public involvement plan, and various fact sheets about partners, and what NextEra does, and how Steuben County is a leader in in the renewable energy space. So they’ve tried to, you know, be a little bit more forward and open with the residents around there about what’s going on with these big turbines being installed.

So this wind farm also has a 16 and a half mile transmission line that was put in. As a part of it to, uh, uh, connect to the grid managed by the New York ISO. Uh, and it’s also producing enough clean, renewable energy, uh, to power more than 46, 000 New York homes. Uh, it’s expected to, uh, provide more than 40 million in revenue to local governments to support schools, infrastructure, and vital services, such as fire departments, which is a hot topic these days.

Um, the payments to landowners are also estimated to be around 25 million over 30 year expected life of the project. So the Eight Point Wind Energy Center, uh, up in Steuben County, New York, you are the wind farm of the week.

Allen Hall: Well, that’s going to do it for this week’s Uptime Wind Energy podcast. Thanks for listening.

And please give us a five star rating on your podcast platform and subscribe in the show notes below to Uptime Tech News, our weekly sub stack, did I mention sub stack? Newsletter. And Uptime Wind Energy podcast.

https://weatherguardwind.com/natural-gas-delaware-offshore/

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How the VEU Program Works: Step by Step for Homeowners 

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Are you a homeowner in Victoria?

Working on how to make your home more energy-efficient while saving on bills, reducing your carbon footprint, and even getting discounts via government-supported programs?

If so, this blog is for you!

We’re going to take you on a walkthrough on how the Victorian Energy Upgrades (VEU) Program works, explain the key players involved, and break down essential terms like VEECs (Victorian Energy Efficiency Certificates) and accredited providers.

You’ll also find a step-by-step guide for homeowners from the application process, getting quotes and installation, to certification and savings.

At Cyanergy Australia, we specialise in residential installations under the VEU scheme, so we’ll draw on our experience and share practical insights to help you make the most of this program.

Let’s get into the details!

What is the VEU Program?

The VEU (Victorian Energy Upgrades) program is a flagship energy-efficiency initiative run in the state of Victoria.
Supported by the state government, this scheme enables households to replace outdated, inefficient appliances
and systems with energy-efficient alternatives.

This is often offered at little or no cost. From LED lighting and efficient hot water systems to smart thermostats
and insulation, each upgrade slashes your energy use and reduces your carbon footprint.

And the best part? The process is simple, transparent, and designed to make energy efficiency effortless.

In just a few easy steps, you can enjoy lower bills, a more comfortable home, and the satisfaction of contributing to
a cleaner, greener Victoria.

Some Key Outlines of the VEU Program

  • The scheme was developed under the Victorian Energy Efficiency Target Act 2007, which sets a commitment for
    large energy retailers to reduce greenhouse gas emissions through energy efficiency programs.
  • However, the VEU
    airconditioning Rebate Program
    , which was previously set to end much sooner, has now been
    officially extended until 2045

  • This ensures long-term support for Victorian homeowners seeking to enhance energy efficiency during heating
    and
    cooling.

  • The program is regulated by the Essential Services Commission (ESC) in Victoria. To become eligible, the
    program requires installations only from accredited providers with approved products or services listed
    in the Public Product Registry.

  • The legal mechanics essentially require energy retailers to meet annual targets for greenhouse gas
    reduction.

  • They do this by acquiring certificates called VEECs, which
    we’ll discuss in the next section.

Why the VEU Rebate Matters for Victorian Homeowners?

Upgrading to more efficient appliances or insulation often has high upfront costs and several other complexities. This can be burdensome for low-income households, so the government introduced the VEU program in order to remove financial barriers.

For example, by enabling discounts and rebates through a market-based certificate system, the program helps make it more financially appealing for homeowners.

What Does it Mean for Homeowners?

In Australia, many people often ask: Is the VEU Rebate Worth It? Well, here’s why the answer is ‘Yes’ for homeowners:

In practical terms, if you live in Victoria and upgrade your home via an accredited provider, you can get access to discounted or even no-cost energy-efficient products and services. Also,

  • The VEU Rebate directly reduces the cost of energy-efficient upgrades,
  • This makes improvements such as better insulation, solar hot water systems, and efficient heating and cooling widely accessible.
  • It not only lowers upfront expenses but also helps households save on ongoing energy bills.
  • The rebate helps to increase the comfort and value of their home and contributes to long-term environmental benefits.
  • It’s a practical way to invest in your home while easing financial pressure.

From our experience at Cyanergy Australia, many homeowners are pleasantly surprised by how accessible the program is when you choose a provider who understands it.

The Role of VEECs in Victoria’s Energy Future

So, what is a VEEC?

VEEC stands for Victorian Energy Efficiency Certificate. Each certificate represents one tonne of greenhouse gas emissions prevented or reduced through an eligible upgrade, such as installing LED lighting, upgrading heating and cooling systems, or improving insulation.

How do VEECs work?

  • A homeowner does an eligible upgrade via an accredited provider.
  • That upgrade yields a certain number of VEECs, based on the greenhouse‐gas savings of that item.
  • The accredited provider then sells those VEECs to large energy retailers who are required to surrender them to meet their legal obligations.
  • The income from selling VEECs enables the provider to offer you the discounted price for the upgrade. That’s how you get the benefit.

Now you might be wondering what an Accredited Providers (AP) mean.

An accredited provider is a business that’s authorised under the VEU scheme to conduct eligible upgrade activities, create VEECs, liaise with homeowners, and ensure agreement with the program’s rules.

Behind Every Upgrade: VEECs and Accredited Providers in Action!

Understanding VEECs and accredited providers helps you recognise how the discount or rebate works. Keep in mind you’re not getting a random free upgrade; you’re getting access to a government-backed scheme run through certified channels.

So, you should be clear about all these questions before upgrading

  1. Is this provider accredited under VEU?
  2. Which VEEC activity does this upgrade qualify for?
  3. Which model or product is being installed, and is it on the approved list?

Step-by-Step: Claiming Your Energy Upgrade Benefits with VEU

The process of how the VEU Program works is straightforward and simple. It includes a few stepwise processes, from application to installation, certification, and monitoring.

Let’s explore each step together in the following section:

Step 1: Background Research & Eligibility Check

  • Initially, you have to contact an accredited provider in your area. However, before contacting, conduct some background research on their previous experiences and running projects.
  • The provider checks whether your home is eligible under the VEU program, taking into account your location, type of dwelling, desired upgrade, and the eligible products.
  • They will offer you a quote outlining: the product to be installed, the discount amount under VEU, and the amount you have to contribute.

Step 2: Quote Approval & Scheduling

  • After reviewing the quote, ensure you understand the product brand or model, the installation cost, and what items are included (such as labour and the decommissioning of the old unit).
  • Also, check the warranty and any additional or extra-cost items.
  • Once you sign off, the installation is scheduled to proceed. Accredited providers will provide you with a specific timeframe and keep you updated.

Step 3: Installation of the System

  • The system provider arranges qualified, licensed installers to carry out the work. The installed products must meet eligibility criteria and installation standards under the VEU scheme.
  • On installation day, it’s best if you are present so the installer can access the areas, remove old units if relevant, test the new product, take photos if needed, and ensure everything is working correctly.
  • After installation, ensure you receive the necessary documentation, including the invoice, product model details, and, if applicable, a decommissioning certificate for the old equipment, as well as proof of installation.

Step 4: Certification and VEEC Creation

  • Once the upgrade is complete, the accredited provider submits the activity under the VEU program, creating the corresponding number of VEECs based on the product, activity type, and the greenhouse gas savings achieved.
  • These VEECs are then sold to energy retailers who deliver them to the ESC (via the VEU Registry).
  • After this is all finalised, you begin to enjoy lower energy bills and improved energy performance.

Step 5: Monitor your System Regularly

  • It’s now just a matter of using your upgraded system, enjoying the improved efficiency, and monitoring your energy bills. Many upgrades (especially lighting, insulation, and efficient hot water) will deliver noticeable savings.
  • If anything goes wrong, such as product failure or installation fault, please contact your provider under warranty.
  • It’s wise to keep all documentation in a safe place, as you will need it during any official audits or future upgrades.

Here’s What You Can Upgrade Under VEU!

  1. Hot Water Systems
  2. Upgrade to an energy-efficient heat
    pump

    or solar hot water system for reliable hot water and lower energy use.

  3. Heating & Cooling Units
  4. Switch to high-efficiency reverse-cycle
    air
    conditioners or split systems
    to stay comfortable while cutting your power bills.

  5. LED Lighting
  6. Replace old halogen or incandescent bulbs with
    energy-saving
    LEDs
    and reduce lighting costs by up to 80%!

  7. In-Home Displays (IHDs)
  8. Track your energy usage in real-time and take control of your electricity bills with smart in-home displays.

  9. Weather Sealing
  10. Improve insulation to keep your home cool in summer and warm in winter, saving energy year-round.

  11. Refrigerators & Freezers
  12. Replace old, power-hungry appliances with modern, energy-efficient models to lower your electricity costs.

What are the Common Pitfalls of VEU & How to Avoid Them?

Did you know that even a minor mistake could result in your VEU
rebate being disqualified
?

Yes, it happens more often than you’d think in VIC! But don’t worry! We’ve got your back.

Here’s a quick and easy checklist that helps you avoid any common mistakes and make sure your rebate works
smoothly

  • Don’t fall for fake, flashy rebate offers. If a provider arrives unannounced, offers a “free upgrade”
    without a proper quote, or adds huge extra costs after you’ve agreed, this is a red flag.
  • Some businesses may claim to be part of VEU but aren’t properly accredited. Always check and avoid
    non-accredited providers.
  • Even when the subsidy is real, if you want a product that’s reliable and suitable for your home, then don’t
    install low-quality products.
  • Lack of transparency about upgrade scope: Understand exactly what you are paying, what’s included, and if
    old equipment removal is included.
  • Find whether additional wiring or structural work is required in any place.
  • Never think the upgrade is “totally free” cause there may still be a homeowner or tenant’s
    contribution
    .
  • Many upgrades are heavily subsidised, but some of them require your contribution, for example, when you
    choose a
    higher-end product than the subsidy covers.

Why Cyanergy Is the Smart Choice for Your VEU Upgrades?

At Cyanergy Australia, when we work with homeowners under the VEU program, we take care of all the paperwork and ensure you use eligible, high-quality products every step of the way.

Not only that, we clearly explain any additional costs upfront, so there are no surprises later. Once everything’s confirmed, we schedule your installation with our licensed professionals, ensuring everything meets VEU standards.

With years of experience in residential installations, we know what works and what homeowners truly value.

So, if you’re looking for expertise, transparency, and genuine savings, Cyanergy ticks all the boxes.

For more information, reach out to our experts and win a free solar quote today!

Glossary of Terms

Terms Abbreviation
Accredited Provider (AP) A business authorised under the VEU program to conduct eligible upgrades, create VEECs, and manage the process with homeowners.
Decommissioning The removal or disposal of the old, inefficient appliance or system. It’s often required as part of eligibility to generate VEECs.
Public Product Registry An official database maintained by the ESC, listing all approved and eligible products that can be installed under the VEU program.
VEU Victorian Energy Upgrades program, the state government scheme in Victoria that supports energy-efficient upgrades for homes & businesses.
VEEC Victorian Energy Efficiency Certificate: one certificate equals one tonne of greenhouse gas emissions prevented. This is created via upgrade activities and traded by accredited providers to energy retailers.
Victorian Energy Efficiency Target Act 2007 The legislation that established the VEU program. It mandates energy retailers to achieve specific greenhouse gas reduction targets by supporting energy-efficient upgrades across Victoria.

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How the VEU Program Works: Step by Step for Homeowners 

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LM Wind Power Cuts 60% of Denmark Staff

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Weather Guard Lightning Tech

LM Wind Power Cuts 60% of Denmark Staff

The crew discusses LM Wind Power’s dramatic layoff of 60% of remaining Danish staff, dropping from 90 to just 31 workers. What does this mean for thousands of wind farms with LM blades? Is government intervention possible? Who might acquire the struggling blade manufacturer? Plus, a preview of the Wind Energy O&M Australia 2026 conference in Melbourne this February.

Learn more about CICNDT!
Register for ORE Catapult’s UK Offshore Wind Supply Chain Spotlight!

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!

If you haven’t downloaded your latest edition of PES Wind Magazine, now’s the time issue four for 2025. It’s the last issue for 2025 is out and I just received mine in the Royal Mail. I had a brief time to review some of the articles inside of this issue. Tremendous content, uh, for the end of the year.

Uh, you wanna sit down and take a good long read. There’s plenty of articles that affect what you’re doing in your wind business, so it’s been a few moments. Go to peswind.com Download your free copy and read it today. You’re 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, Alan Hall, Joel Saxon, Phil Totaro, and Rosemary Barnes. Welcome to the Uptime Wind Energy [00:01:00]Podcast. I’m your host, Alan Hall in the Queen city of Charlotte, North Carolina. I’ve got Yolanda Padron in Texas.

Joel Saxon up in Wisconsin and Rosemary Barnes down under in Australia, and it has been a, a really odd Newsweek. There is a slow down happening in wind. Latest news from Ella Wind Power is they’re gonna lay off about 60% of their staff in Denmark. They’ve only have about 90 employees there at the moment.

Which is a dramatic reduction of what that company once was. Uh, so they’re planning to lay off about 59 of the 90 workers that are still there. Uh, the Danish media is reporting. There’s a lot of Danish media reporting on this at the moment. Uh, there’s a letter that was put out by Ellen Windpower and it discusses that customers have canceled orders and are moving, uh, their blade production to internal factories.

And I, I assume. That’s a [00:02:00] GE slash Siemens effort that is happening, uh, that’s affecting lm and customers are willing to pay prices that make it possible to run the LM business profitably. Uh, the company has also abandoned all efforts on large blades because I, I assume just because they don’t see a future in it for the time being now, everybody is wondering.

How GE Renova is involved in this because they still do own LM wind power. It does seem like there’s two pieces to LM at the minute. One that serves GE Renova and then the another portion of the company that’s just serving outside customers. Uh, so far, if, if you look at what GE Renova paid for the company and what revenue has been brought in, GE Renova has lost about 8.3 billion croner, which is a little over a billion dollars since buying the company in 2017.

So it’s never really been. Hugely profitable over that time. And remember a few months ago, maybe a month ago now, or two months ago, the CEO of LM [00:03:00] Windpower left the company. Uh, and I now everyone, I’m not sure what the future is for LM Windpower, uh, because it’s, it has really dramatically shrunk. It’s down to what, like 3000 total employees?

I think they were up at one point to a little over when Rosie was there, about 14,000 employees. What has happened? Maybe Rosemary, you should start since you were working there at one point.

Rosemary Barnes: Yeah, I dunno. It always makes me really sad and there’s still a few people that I used to work with that were there when I went to Denmark in May and caught up with a bunch of, um, my old colleagues and most of them had moved on because a lot of firing had already happened by that point.

But there were still a few there, but the mood was pretty despondent and I think that they guessed that this was coming. But I just find it really hard to see how with the number, just the pure number of people that are left there. I, I find it really hard to see how they can even support what they’ve still [00:04:00] got in the field.

Um. Let alone like obviously they cut way back on manufacturing. Okay. Cut Way back on developing new products. Okay. But you still do need some capabilities to work through warranty claims and um, you know, and any kind of serial issues. Yeah, I would be worried about things like, um, you know, from time to time you need a new, a new blade or a new set of blades produced.

Maybe a lot of them, you know, if you discover an issue, there’s a serial defect that doesn’t, um, become obvious until 10 years into the turbine’s lifetime. You might need to replace a whole bunch of blades and are you gonna be able to, like, what’s, what is gonna happen to this huge number of assets that are out there with LM blades on there?

Uh, I, yeah, I, I would really like to see some announcements about what they’re keeping, you know, what functionality they’re planning to keep and what they’re planning to excise.

Joel Saxum: But I mean, at the end of the day, if it’s, if [00:05:00] the business is not profitable to run that they have no. Legal standing to have to stay open?

Rosemary Barnes: No, no, of course not. We all know that there, there’s, you know, especially like you go through California, there’s all sorts of coast turbines there that nobody knows how to maintain them anymore. Right. And, um, yeah, and, and around there was one in, um, in Texas as well with some weird kind of gearbox. I can’t remember what exactly, but yeah, like the company went bankrupt, no one knew what to do with them, so they just, you know, like fell into disrepair and couldn’t be used anymore.

’cause if you can’t. Operate them safely, then you can’t let no one, the government is not gonna let you just, you know, just. Try your luck, operate them until rotors start flying off. You know, like that’s not really how it works. So yeah, I do think that like you, you can’t just stay silent about, um, what you expect to happen because you know, like maybe I have just done some, a bit of catastrophizing and, you know, finding worst case scenarios, but that is where your mind naturally goes.

And the absence of information about what you can expect, [00:06:00] then that’s what. People are naturally gonna do what I’ve just done and just think through, oh, you know, what, what could this mean for me? It might be really bad. So, um, yeah, it is a little bit, a little bit interesting.

Allen Hall: Delamination and bottom line, failures and blades are difficult problems to detect early.

These hidden issues can cost you millions in repairs and lost energy production. C-I-C-N-D-T are specialists to detect these critical flaws before they become expensive burdens. Their non-destructive test technology penetrates deep to blade materials to find voids and cracks. Traditional inspections, completely.

Miss C-I-C-N-D-T Maps. Every critical defect delivers actionable reports and provides support to get your blades. Back in service, so visit cic ndt.com because catching blade problems early will save you millions. Yolanda, what are asset managers [00:07:00] thinking about the LM changes as they proceed with orders and think about managing their LM Blade fleet over the next couple of years, knowing that LM is getting much smaller Quicker?

Yolanda Padron: Yeah, and this all comes at a time when. A lot of projects are reaching the end of the full service agreements that they had with some of these OEMs, right? So you already know that your risk profile is increasing. You already know. I mean, like Rosie, you said worst case scenario, you have a few years left before you don’t know what to do with some of the issues that are being presented.

Uh, because you don’t count with that first line of support that you typically would in this industry. It’s really important to be able to get a good mix of the technical and the commercial. Right? We’ve all seen it, and of course, we’re all a little bit biased because we’re all engineers, right? So we, to us it makes a lot of sense to go over the engineering route.

But the pendulum swung, swung so [00:08:00] far towards the commercial for Ella, the ge, that it just, it. They were always thinking about, or it seemed from an outsider’s point of view, right, that they were always thinking about, how can I get the easiest dollar today without really thinking about, okay, five 10 steps in the future, what’s going to happen to my business model?

Like, will this be sustainable? It did Just, I don’t know, it seems to me like just letting go of so many engineers and just going, I know Rosie, you mentioned a couple of podcasts ago about how they just kept on going from like Gen A to Gen B, to Gen C, D, and then it just, without really solving any problems initially.

Like, it, it, it was just. It’s difficult for me to think that nobody in those leadership positions thought about what was gonna happen in the [00:09:00]future.

Rosemary Barnes: Yeah. I think it was about day-to-day survival. ’cause I was definitely there like saying, you know, there’s too many, um, technical problems that Yeah. When I was saying that a hundred, a hundred of versions of me were all saying that, a lot of us were saying it.

Just in the cafeteria amongst ourselves. And a lot of us, uh, you know, a bit more outspoken Danish people don’t really believe a lot in a strict hierarchy. So certainly people were saying it to directors and VPs and CEOs, but, um, yeah, it was, uh, I think it was more about like the commercial reality of today is that there won’t be a commercial.

Tomorrow to experience these engineering problems if we don’t make these, um, decisions. Now, if, if that makes sense. As a really complicated way of saying we need to be able to sell this product, otherwise we’re not gonna sell anything. And then no one will be, no one will have a job in 10 years regardless.

So. We’ll solve, you know, whatever quality problems that arise from doing too many new technologies at once, at [00:10:00] least we’ll be, the company will still exist to be able to have a go at solving them if we, you know, make these sales. Um, which it won’t if we don’t. So I think that that would be the, like the other point of view, like it’s really easy to say now, oh yeah, we should have, um, we shouldn’t have done that, but yeah, I, I’m pretty sure management’s gonna tell you why they did it is for the sales.

Joel Saxum: This is an odd case being lm an ex Danish company now owned by GE Renova, which is a US based company.

Allen Hall: Global.

Joel Saxum: Global really. But yeah, but when we get into this, too big to fail type thing, right? So like Siemens cesa, having the German government back them up with a note, um, when they were having troubles a year and a half ago.

Uh. Is there a award like the too big to fail in the United States where the government bailed out the auto worker or the auto manufacturers and stuff like that. I don’t see that happening here because the company’s too small. But at what level do governments [00:11:00] intervene? Right? So it’s, I know every government’s gonna be different and every, but there’s have their own criteria and there’s not a hard set, probably line or metric of like, oh, you have this much impact on society, so we must support you to make sure you survive.

Well, when Rosemary, when you say like in, when you were there, you were there five years ago, 2020, right before COVID. Right. At that point in time, 20% of the world’s blades were LM blades of the global fleet. Well, if that’s was true still, that would be a hundred thousand plus turbines in the global fleet.

That would be LM blades. And if we have. Issues with them and we can’t solve them. I think one, one of the, one of the things that we’re, that we’re probably thankful for is there is that many, so there has been a lot of independent engineering expertise that’s been able to fix some of them. A lot of independent ISPs, you know, out there, service companies, blade repair companies that have been able to figure out how to make these things even, you know, regardless of getting the layup pattern or layup designs or any kind of engineering information from, from Malam [00:12:00] or from the OEMs.

Um, we have been able to maintain them, so that’s good. But is there a level where, I know Alan, you were shaking your head, but is there a level where anybody steps in from a government standpoint to save lm?

Allen Hall: I would almost bet that Renova has talked to the Danish government. Somebody at LM has, I would have to think that they have already.

And has been, at least in the press, no response. And with this latest announcement, it doesn’t seem like the Danish government wants to be involved. So my, my take on it is they have an American stamp on ’em right now, and Denmark and the United States are not playing nice to one another. So why would I help ge?

Why would I do that? And that’s not a bad response.

Rosemary Barnes: Potentially it wouldn’t even have to be necessarily the US or the Danish government that might have to get involved, because I know in Australia, and I’m, I can’t believe it’s different anywhere else. You have to be able to safely operate, uh, an asset like a, a wind turbine.

And that’s, um, some, [00:13:00] a responsibility of both the asset owner and the operator, but also the manufacturer and so they can compel to provide the information that you need to operate safely. I’ve always wondered how, um, ’cause you know, all the OEMs not talking, uh, LM or GE specifically here, they, they don’t really give away enough information to, um, operate assets safely, in my opinion.

So that is the key thing that you just, you can’t lose otherwise. You’re going to end up with blades that have to be scrapped or that you have to, you know, guess that it’s probably okay and then see how it goes. And, you know, that’s. Good a lot of the time, but it’s, it’s gonna make things less safe into the future.

You would expect to see more blade failures if you saw that happening a lot. So, you know, I would at least wanna make sure that you’re keeping, keeping people, keeping those models and keeping the people that know how to run them. Enough of them around. [00:14:00] Or making them publicly available.

Allen Hall: Don’t miss the UK Offshore Wind Supply Chain Spotlight 2025 in Edinburg on December 11th.

Over 550 delegates and 100 exhibitors will be at this game changing event. Connect with decision makers, explore market ready innovations and secure the partnerships to accelerate your growth. Register now and take your place at the center of the UK’s offshore Wind future. Just visit supply chain spotlight.co.uk and register today.

How soon before ING Yang puts in an offer to buy LM and or TPI? That’s gonna happen in the next six months. It has to.

Joel Saxum: What about instead of buying the factory, what if someone rises from the ashes and just buys the molds?

Allen Hall: I think you have to eat the workers. I think that’s gonna be the trouble,

Joel Saxum: but I don’t think you want them.

Allen Hall: Wow. That’s a hot take.

Joel Saxum: But honestly, like the quality coming out now, and I’ll, and I will caveat this as well, the [00:15:00] quality is not their, the quality is not all their fault. The quality of some respects is the way it was designed for manufacturing. But there is issues that we have seen and has been, have been uncovered that have been in the news, in the, in the free press that show that stuff happening in factories that shouldn’t be happening.

So do you actually want that or do you, this is why I say someone rises from the ashes and, and or, and creates something with a bunch of inco, you know, like knowing the pitfalls and the, the, the things that have happened that are bad, the things that can go well that are good. You know, when we talk to some of the people in the industry that have been around blade manufacturing, and they, and they have told us, man, we’ve seen.

Quality, uh, control mechanisms thrown on the shelves, even though we know they work just because people, defactor didn’t wanna use them for whatever reason. I don’t, you know, you don’t know, um, whether it’s inspection, whether it’s, you know, robotics this, or whether it’s [00:16:00] this solution here. Like there’s a possibility that we could do this way better.

Maybe there’s this case right now where someone is like, you know what, robotics, let’s do this. Let’s try to make it happen. Let’s get rid of this incumbent knowledge of automated blades and start fresh from a. Scratch

Allen Hall: my other hot take was GE sells their wind business,

Joel Saxum: the entire wind business.

Allen Hall: Yeah.

Joel Saxum: To who

Allen Hall: Ing Yang or somebody?

Anybody,

Rosemary Barnes: if they wanna do that, I’d recommend doing it in the, um, current administration would probably be the most likely to allow that to happen because I would imagine that, uh, another time that people might not be so happy that, uh, the US has therefore no wind turbine manufacturer.

Allen Hall: Does anybody else not think so that that’s a possibility.

They’re not listening to offers right now.

Joel Saxum: I would say Mitsubishi maybe. I don’t think Ming Yang. I don’t think some, I don’t think a Chinese, no, but I do think a Korea and a Japanese, a German

Allen Hall: could do it.

Joel Saxum: Yeah. Well, that would entertain the offer. [00:17:00]

Rosemary Barnes: What about one of the large ISPs buying, you know, the ability to, you know.

Properly, properly service blades for, you know, many, many, many manufacturers. There’s a lot of knowledge that you’d get there. Um, the ability to replace blades, maybe it splits into two and there’s, you know, one company takes it for manufacturing into the future, and which case they’re probably just buying factories and not really worried about much else.

And then somebody else buys molds and, um, knowledge. Models, those sorts of things

Joel Saxum: as a pitch for what exactly what you’re saying. So now let’s go back to, um, was it Larry Fink who said that they’re in investing in infrastructure, big time in the future, energy infrastructure is the future, da, da, da. And they, or like BlackRock’s been throwing money at everything, right?

They’ve been just buying, buying, buying, buying, buying. If some, someone came to them with the right [00:18:00] plan, there’s where your capital could come from. Who is it? Right? You know, that there’s players out there that may not be in the ISP world, I think is, p is interesting, Rosemary, but like a, a next era that’s like this with GEs,

Allen Hall: Adani,

Joel Saxum: a Donny’s in too much hot water to to, to make a deal with that, to let the SEC allow that.

Rosemary Barnes: Here’s my hot take. So LM started at the lm, it stands for lco Mills Fabric, which means, um, furniture manufacturer, right? So they started out making furniture, then they were making, um, caravans, I believe, and then there were, so that was all wood. Then they started making caravans outta fiberglass. Then they started making boats because those are also fiberglass and wood kind of things.

Then they moved into wind turbine blades and became LM glass fiber. So now they’re only doing fiberglass things. And then it was LM wind power. They only were doing wind power. Maybe, you know, [00:19:00] are they gonna go into, I don’t know, making airplanes next, or, or rockets, or are they gonna take a step backwards and, you know, go back into furniture?

Allen Hall: How do you put a value on a company that’s losing money?

Joel Saxum: That’s where I was going, Mr. Hall, October of 2016 when GE bought them, they paid one point. Six, 5 billion US dollars. I don’t think that that’s was probably a too wild of a price back then, but there’s no way that they’re worth that much now with what has has happened.

That being said, say they’re worth, I don’t know, I’m just gonna throw a number out there. Say they’re worth 800 million, half of that. I don’t see that as like a crazy amount for someone else, like Rosemary said, that may be crossing industry silos to pick up. Some factories, some, some composites knowledge, some other things as well, as long as they get, get into it.

With the understanding that this is a fire sale and [00:20:00] things need to be fixed,

Rosemary Barnes: isn’t, um, ozempic Danish? So there must be some, build, some Danish billionaires. Maybe there’s gonna be some national pride that that kicks in and makes somebody want to, you know, like Denmark is quite known for wind power. Um, if you combine, you know, the demise of LM with vest also.

Announcing a whole lot of job cuts. I, it’s not such a fast stretch to think that some Danish billionaire is gonna be like, you know what, Denmark should still have wind industry and I’m gonna make sure it happens.

Allen Hall: No shot. I don’t see it. I, it would be awesome if they did

Joel Saxum: Maersk, lm,

Allen Hall: but Meers doesn’t wanna lose money.

Why you, why would you invest in something that’s going to lose money for the next five years? Who’s doing that today?

Joel Saxum: Let’s just do a little comparison. So TPI claiming bankruptcy the other day when we looked at the Val, the market cap of them, they’re publicly traded. They were a hundred million, weren’t they?

Like a couple, six months ago,

Allen Hall: [00:21:00] $1.5 million.

Joel Saxum: Oh my God. It’s 1.5 million. Do you mean you could buy TPI over 1.5 million?

Allen Hall: I can get a second mortgage and have a pretty good take of that business. It has no value because it’s not making money. You, you’ve, it’s EBITDA times X.

Yolanda Padron: It’d be really interesting to see like an is like them turning into an ISB.

Like I will fix everything that I manufactured, gear, the molds, or like I will replace the parts.

Rosemary Barnes: It’s hard as well. I just make a few blades here or there. Um, because they only get cheap when you make thousands of them. But that said like sometimes people have to pay, at least in Australia, like it’s not uncommon that you need a new blade.

You have to pay a million dollars for it. So in that case, you know, like that’s apparently, you know, TPI, you buy TPI for one and a half and you make two blades in your first year. Then you know,

Yolanda Padron: you make a blade set, you’re done.

Joel Saxum: Yeah. So they were worth a hundred million in market cap a year ago today. [00:22:00] So it’s like a 99.6% decrease since last year.

Allen Hall: When you file bankruptcy, stuff like that happens. Here’s gonna be the rub. Whoever decides to do whatever with it, they’re gonna have to have a lot of cash because I guarantee you vendors have not been paid or. Or vendors are asking for money upfront before they make a delivery, and that’s not the way that GE likes to operate.

GE likes to operate. I buy this thing and then six months later I pay you half and another six months later, I may pay the remaining half. They don’t like to pay things upfront and. It’s gonna be a problem.

Joel Saxum: Net 180, and then on day 179, they’re gonna find a magic error in your invoice and it resets the clock.

Allen Hall: Australia’s wind farms are growing fast, but are your operations keeping up? Join us February 17th and 18th at Melbourne’s Poolman on the park for Wind Energy o and m Australia 2026, where you’ll connect with the [00:23:00] experts solving real problems in maintenance asset management and OEM relations. Walk away with practical strategies to cut costs and boost uptime that you can use the moment you’re back on site.

Register now at WM a 2020 six.com. Wind Energy o and m Australia is created by Wind professionals for wind professionals because this industry needs solutions, not speeches. So looking for something to do in February while America is in the middle of a winter snowstorm. You wanna go to Australia for?

Wind O and M Australia 2026 and it is going to be February, what, Joel?

Joel Saxum: 17th and 18th at the Pullman on the park in sunny. Melbourne

Allen Hall: and Rosemary, what’s on the schedule for the event in Sunny Australia?

Rosemary Barnes: Well, it’s, uh, agenda just full of the topics that Australian operators are talking about at the moment.

Um, there’s, you are gonna be [00:24:00] topics on compliance. Um, also training is a, a big thing. Training and resources to get workforce up to speed. Um, also some on big data and ai, they’re catchy. Uh, yeah, hyped up terms. But can you actually do something useful with it? I mean, you definitely can, but how do you, um, and then just heaps of stuff about just specific asset management problems that people are having be a lot of talking about problems.

And there’s also gonna be a lot of talking about solutions. So that’s kind of the point. It’s the, it’s the place where you can get. Both sides. ’cause I think, yeah, both sides are very important.

Joel Saxum: I think one, one of the things that is was good about the event last year and we’re excited about this year as well, is we tried to fit in as many networking opportunities as we could.

We’ve got a lot of coffee breaks. We’ve got breakfast, we’ve got a cocktail hour, we’ve got lunches, we’ve got all these things, and it’s kind of designed around keeping the whole crew together in one spot. So we’re able to share information, have those conversations. Oh, you have this asset. Oh, I [00:25:00] know this one.

Um, operators, speaking to operators, speaking to ISPs about specialties fixes. What are you doing? Could we implement that in our fleet? Those kind of things, right? And that’s about the, we, we talk on the podcast and in our daily lives regularly. Everybody here in the podcast is about collaboration and sharing information and sharing knowledge, and that’s the way that we’re gonna forward the, uh, industry.

So we’re really excited. Again, again, this is round two. We’re bringing this event down to Australia. Last year was great. I think we had basically every major operator represented, uh, at the event. And we’re gonna repeat that again this year.

Rosemary Barnes: I really like the size of it. Last year, I think we were about 170 or 180, which was our limit for that, that event, we did sell out this year.

We, uh, increased that a little bit to 250. Um, but it’s a good size. It’s not like, I don’t know if there’s any other, um, introverts out there, but usually when I go to an event, I get so exhausted from just. Uh, I don’t know the, the pressure of if there’s [00:26:00] an exhibition hole that you’re supposed to wander around and, you know, like the last conference I went to had like probably 20 parallel streams and it’s just like, what am I supposed to see?

Oh, these sessions all sound similar, which is gonna be the good one. Um, and then you’re trying to meet up with people as well. This event, it’s targeted enough. It’s one session. You’re gonna find probably at least 95% of the sessions interesting if you are working in wind energy, o and m in Australia. So you just go there, you sit down, you watch the interesting information, and every single person that you run into when you at lunch or coffee or whatever, every every single person is gonna be someone you can have an interesting conversation with.

So it’s just. It’s a lot, uh, it’s a lot easier for someone who, I mean, you, Americans, you’re all, uh, it’s like national law, right? That you have to be extroverted. It’s not allowed to be any kind of other personality type in America. But in Australia, there’s a lot of, uh, a lot of introverts. And, uh, I would say that this is a much, much more introvert friendly event than [00:27:00] your typical big, big, broad conference.

Allen Hall: Well, you won’t want to miss Wilma 2026. In order to get, what are those 250 seats, you need to register and you need to register now. So visit wma w om a 2020 six.com and. Get signed in, get registered, and we’ll see you in Australia in February. That wraps up another episode of the Uptime Wind Energy Podcast.

Thanks for joining us as we explore the latest in wind energy technology and industry insights. If today’s discussion sparked any questions or ideas, we’d love to hear from you. Just reach out to us on LinkedIn and don’t forget to subscribe so you never miss an 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 and we’ll catch you here next week on the Uptime Wind Energy [00:28:00] Podcast.

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