German engineering giant Siemens AG (SI) and Associated British Ports Thursday said they have signed a memorandum of understanding to work together to develop plans for the construction of a new offshore wind turbine manufacturing and export facility at ABP's port in Hull, northeast England.
German engineering giant Siemens AG (SI) and Associated British Ports
Thursday said they have signed a memorandum of understanding to work together
to develop plans for the construction of a new offshore wind turbine
manufacturing and export facility at ABP's port in
Hull
,
northeast
England
.
The
U.K.
wants
to become a global leader in offshore wind technology and manufacturing and to
create economic growth and jobs through green investment. The country is on the
verge of a huge expansion of offshore wind over the next decade, estimated to
cost around GBP100 billion, to help decarbonize the power sector and meet
binding European Union climate change targets.
But even though the potential of the resource is huge, the sector has faced
high development costs--estimated at around GBP3 million a megawatt--an
underdeveloped supply chain, technology and engineering challenges, and a lack
of grid infrastructure.
Siemens said last year the $80 million wind turbine factory would be ready for
2014, just ahead of the anticipated expansion in the
U.K.
of offshore
wind construction. The facility would create around 700 jobs, Siemens said.
General Electric Co. (GE), Mitsubishi Heavy Industries Ltd. (7011.TO) and
Gamesa Corporacion Tecnologica S.A. (GAM.MC) are also looking to invest
millions in offshore wind turbine facilities in the U.K.
Siemens and ABP said in the statement they aim to sign definitive agreements
this year.
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