Global wind turbine order intake hit new highs in 2022, with 44 GW procured in the fourth quarter and 134.6 GW for the year. Both of these order intakes were records, says a new analysis by Wood Mackenzie.
Dominated by activity in China, annual investment reached an estimated $74.bn, according to the analysis.
Overall, order intake increased 90% year on year in the fourth quarter, and 30% y/y for the fiscal year, with China accounting for 65% of order capacity in the fourth quarter and 70% of all order capacity in 2022. This activity was driven by developers positioning to comply with China’s 14th 5-year plan, which highlights green energy development.
While China made an outsized impact on global order capacity, order intake beyond China dropped 15% y/y to 41 GW, around 9 GW off the four-year average for full-year order capacity from 2018 to 2021, said the analysis.
“We’ve seen incredible activity in China, but its soaring numbers have somewhat masked a slowdown from Western original equipment manufacturers (OEMs), which have been impacted by supply chain challenges and cost increases. This has negatively impacted both new order intake and installation activity outside of China,” said Luke Lewandowski, Wood Mackenzie research director.
North America order intake was relatively flat y/y, up 7%, but the future pipeline looks strong, said Wood Mackenzie. President Joe Biden signed the Inflation Reduction Act, which includes strong wind incentives, into law in August 2022.
“We are already seeing the positive reaction to the Inflation Reduction Act, with second half of the year orders up 224% over the first half of the year in the US,” said Lewandowski.
Offshore wind hit new records as well in 2022, reaching 19 GW of order intake. As much as 80% of the activity was from China.
Chinese OEMs Envision, Mingyang and Goldwind led the rankings for order intakes in 2022, with more than 17 GW each.