The head of Siemens Gamesa warned Wednesday that a decade-long race to bring down the cost of generating wind power could not continue, as it would reduce the financial muscle of turbine producers to continue investing in new technologies, reported Reuters.
“What we've clearly achieved is that wind power is now cheaper than anything else. But I believe we shouldn't make it too cheap,” Andreas Nauen, chief executive, told Reuters.
Demand for wind turbines is at a record high, driven by the green transition, but lower prices and increased competition have squeezed margins.
“We have probably driven it too far,” Nauen said. The industry’s ability to keep investing in new technologies and factories will be reduced if the drive to cut the cost of wind power continues at the same rate, he added.
