India’s Biggest Turbine Maker Signs Deal With US Company; Eyes Ontario

“I had a very clear vision. If Indians start consuming power like the Americans, the world will run
out of resources. Either you stop India from developing, or you find some alternate solution.”
Tulsi Tanti, Chairman and Managing Director, Suzlon Energy,
Asia’s largest maker of wind turbines, Suzlon Energy Limited, has set its sights on US and Canada. The company’s North American arm, Suzlon Wind Energy Corporation, recently signed a repeat order with the Charlotte, N.C.-based Duke Energy to provide 20 units of the S88-2.1 megawatt wind turbine.
With the deal with Duke Energy, the total supply portfolio will increase to 130MW. The project located in Cheyenne, Wyoming is named the Silver Sage Windpower Project and is adjacent to an existing wind farm owned by Duke Energy – also supplied by the Suzlon S88-2.1 MW turbine.
“Expanding our supply portfolio to Duke demonstrates Suzlon’s ability to provide quality products and services to wind energy developers. We have provided exceptional customer service, which we believe has given us another opportunity to grow our highly-valued partnership with Duke,” said Andris Cukurs, CEO of Suzlon Wind Energy Corporation. “This also shows that Suzlon continues to play an integral role in advancing clean, wind energy in the U.S., with the S88 turbine repeatedly being proven in diverse climates and terrains.”
Duke Energy Generation Services (DEGS) – part of Duke Energy – develops, owns and operates electric generation for large energy consumers, municipalities, utilities and industrial facilities. DEGS specializes in developing environmentally sound generation solutions using a variety of fuels, including wind and other renewable energy sources. Suzlon will deliver 20 wind turbines in July 2009.
“The US is the world’s largest wind energy market and it’s very encouraging to see the emphasis on renewable energy by the new government. Suzlon is committed to the US, its customers and we will continue to build on our position as the third leading supplier in the world,” Tulsi Tanti, Chairman and Managing Director, Suzlon Energy, commented.
And while on a visit to Ontario recently to accept the annual Global Indian Award from the Canada India Foundation, Tanti indicated that his company was seriously sizing up the Ontario market as a potential home for new manufacturing. Called the “wind man of India,” Tanti cited that Ontario had the right combination of policies, infrastructure and local activity. He also informed the Canadian media that Ontario government’s proposed Green Energy Act is a “very strong” initiative that helps set the province apart from other jurisdictions in North America. The decision to enter Canada, he said, could come soon. “Based on our analysis, 2010 is the right time for us to start business operations in the Canadian market.” The 51-year-old Tanti has been ranked by Forbes magazine in 2008 as the 33rd richest man in India, with a family wealth of $1.1 billion.
Tanti got into the wind turbine business 15 years ago when India’s unreliable electricity system combined with shockingly high costs of electricity began eating into the profits of his textile company. As a result, he purchased two wind turbines in 1995 for his own energy needs. And about half a decade later, attuned to the impacts of global warming and the imminent energy shortages in rapidly growing countries like India, he made a dramatic decision to sell off his textile business and start manufacturing wind turbines.
As it stands today, Suzlon is the fifthlargest wind turbine supplier in the world with $3.34 billion in revenues in 2008 and 13,000 employees. The company currently sells products in 21 countries. Additionally, through its majority-owned Germanybased subsidiary Repower AG, Suzlon has secured contracts for developing windpower projects in Canada.
According to Tanti, the high transportation cost of shipping wind towers and rotor blades, both massive items, is good reason to set up manufacturing close to project locations. “When we decide the location for manufacturing three things are very important. First, the skilled manpower. Second, the logistical costs. And third is the government tax support.”
Tanti is of the opinion that Ontario with its skilled manufacturing base, water and lake access to the U.S. market and supportive legislation and policies offered the right mix for Suzlon.
BY A SHARMA



