Wind turbine troubles have sent one stock tumbling. There are fears it could be a much wider issue
A Siemens Gamesa blade factory on the banks of the River Humber in Hull, England on October 11, 2021.
PAUL ELLIS | AFP | Getty Images
Costly failures at wind turbine manufacturer Siemens Gamesa last month sent shares of parent company Siemens Energy tumbling, and analysts are concerned about wider teething problems across the industry.
The German energy giant scrapped its profit guidance in late June, citing a “substantial increase in failure rates of wind turbine components” at its wind division Siemens Gamesa.
Siemens Energy CEO Christian Bruch told journalists on a call Friday that “too much had been swept under the carpet” at Siemens Gamesa and that the quality issues were “more severe than [he] thought possible.”
Siemens Energy stock plunged by around 37% on June 23, while other wind companies also saw shares retreat as investors worried that the problems at Gamesa might be a symptom of a wider issue for the industry.
Nicholas Green, head of EU capital goods and industrial technology at AllianceBernstein, told CNBC that the pace of expansion, and the fact that many components of larger turbines haven’t actually been in use for very long, means there could be inherent risks throughout the sector.
“We have to acknowledge that putting brand new machinery — whether it’s on-shore or even more difficult off-shore wind farms — and the pace of change in that machinery has put us into slightly uncharted territory,” he said.
“Although it’s hard to tell at the moment, my best guess is that this probably actually is an industry-wide issue. It wasn’t that Siemens Gamesa is a bad operator as such, it’s that actually some of the normal protocols and time in use, operational data in use, is relatively limited.”
Siemens Gamesa’s board is now due to conduct an “extended technical review” into the issue, which is expected to incur costs in excess of 1 billion euros ($1.09 billion). The company’s shares have recouped some losses, but remain down over 33% in the last month.
A tough two years
The wind industry has expanded rapidly over the past two decades, lowering costs to rival — and sometimes undercut — those of fossil fuels, while boosting efficiency with ever-bigger turbines and reducing reliance on state subsidies.
“These cost reductions have been achieved with innovations in turbine technology and by pushing the boundaries of engineering,” Christoph Zipf, spokesman for industry body WindEurope, told CNBC via email.
He said that 20 years ago, a typical wind turbine would have 1 million watts of capacity; today, European original equipment manufacturers, or OEMs, are testing 15 MW turbines.
“This means that turbines have become bigger as well, posing challenges to components (quality, materials, longevity). The introduction of competitive auctions has also been a driving factor in this cost reduction,” Zipf added.
The Statistical Review of World Energy report published last week revealed that wind and solar power accounted for 12% of the world’s power generation last year, with wind power output increasing by 13.5%.
The industry was hit hard by the Covid-19 pandemic, as resulting lockdowns depressed industrial activity and reduced global energy demand. The ensuing supply chain problems then hampered OEMs.
These manufacturers have since endured a further shock from soaring inflation and input costs as Russia’s invasion of Ukraine disrupted markets and aggravated supply chain disruptions. WindEurope estimates that the rise in commodity prices has increased the price of wind turbines by up to 40% over the last two years.
“OEMs were sourcing some material from Russia (mostly nickel) and Ukraine (mostly steel). The price of both skyrocketed after the invasion. This comes on top of the challenging inflationary environment all European businesses are operating in (i.e. rising electricity prices, etc.),” Zipf explained.
“A main problem for the OEMs is that not all countries had indexed their renewables auctions. Consequently wind turbine orders were not necessarily indexed to inflation. The time between the order intake and the commissioning of a wind turbine can take up to 18 months (especially when supply of materials is short).”
However, Zipf denied that industry-wide technical failures could be on the horizon, insisting that “the problems at Siemens Gamesa are limited to Siemens Gamesa.”
“Big turbine failures are extremely rare given the number of turbines installed in Europe already. However, the competition in the sector is pushing OEMs to come up with bigger and better turbines at a fast rate, may be faster than in other sectors,” he said.
He also challenged the notion that the industry has entered “uncharted territory,” arguing that the changes in turbine technology have been “incremental and evolutionary.”
“Naturally every new turbine model comes with new challenges, requires rigorous testing and certification. But the European wind industry has overcome all of these challenges and maintained its reputation for delivering highly reliable high-quality turbines,” Zipf said.
Facts and figures
According to ONYX Insight, which monitors wind turbines and tracks over 14,000 across 30 countries, most turbines are designed and certified for 20 years but contain components that will fail during that time due to a “compromise between the cost of the system and reliability.”
“We have been aware for some time that turbine failure rates across the industry can — and should — be more widely understood, given the scale of their potential impact on the overall profitability of projects,” Evgenia Golysheva, vice president of strategy and marketing at ONYX, told CNBC.
“It’s not that they are made badly, but we now have a compromise between the cost of energy and targeted reliability. Everyone who builds, finances and operates wind turbines needs to have a realistic picture of how many failures to expect.”
In turbines built in 2023, more than 40% of gearboxes will need to be replaced after 20 years of project life, according to ONYX, along with over 20% of main bearings and more than 5% of blades.
Across the wind industry, around 65% of operations and maintenance costs are unplanned, according to ONYX. It projects that major corrective spending will rise to $4 billion by 2029.
“The growth of wind installations has been unprecedented, and the industry has had to scale up very quickly with little time to digest it. It’s not a capacity issue, and it’s not new, but it is good that OEMS (who are under pressure from supply chain and from inflation) are bringing this conversation into the public domain,” Golysheva explained.
“It’s a conversation that is overdue, because the underlying issues aren’t going away. For example, wind turbine rotors are getting bigger, the turbines are getting bigger, and the development cycles are short, so it’s crucial to have digital and other diagnostic tools to be able to deal with reliability issues.”
It’s that time of the year once again, with Amazon’s Prime Day officially kicking off with plenty of amazing Green Deals and beyond – with several even continuing from earlier July 4th events. The savings train has officially rolled into the station, and this year we’re getting four days of deals that are dropping prices to some of the lowest of the year, alongside many of our favorite eco-friendly tech brands also offering direct parallel sales too. You’ll find price cuts on EVs, power stations, electric tools, ENERGY STAR-certified appliances, and much more below, curated together in this one-stop shopping hub. Don’t miss your chance to electrify your life at the best prices while they last during this event. We will be regularly updating this hub over the course of the event, so check back later if nothing catches your eye yet.
July Prime Day 2025 Green Deals
Prime Day Power Station Green Deals
- Get $2,448 in savings on EcoFlow’s DELTA Pro 3 bundle with a 400W panel and transfer switch at new $2,849 low, more from $1,249
- EcoFlow’s Prime 4-day flash sale takes 59% off four units, like the DELTA Max station with an alternator charger at $1,049 low, more
- Anker’s new modular SOLIX F3000 3,072Wh LiFePO4 station gets up to $2,599 increased savings from a new $1,599 low
Prime Day EV Green Deals
- Segway’s Xafari and Xyber e-bikes with Apple Find My, proximity locking, more are starting from a new $2,000 low (Reg. $2,400+)
- Segway e-scooters up to 46% off during Prime Day, with the ZT3 Pro all-terrain smart model at a new $850 low (Reg. $1,100+), more
- For the first time, save $500 on Ford’s Mustang and Bronco e-bikes starting from $3,500 (Reg. $4,000+)
- Rad Power Bikes’ new Radster Trail and Road e-bikes back at $1,999 lows, more
- Tenways takes $600 off e-bike bundles + additional $200 when buying two – all starting from $1,499
- Aventon offers first savings on new Pace 4 cruiser e-bike with theft-deterring smart features at $1,699
- Aventon’s Aventure 2 All-Terrain e-bike at $1,599 annual low in sale, more
- Velotric’s low-cost Fold 1 Lite e-bike even more budget-friendly at a new $599 low (Reg. $1,099)
- Velotric offers up to $720 savings and free bundled gear starting from $599
- Affordably carry cargo with Heybike’s single or dual-battery Hauler e-bike starting from a $999 low (Reg. $1,499+)
- Get an affordable space-saving commuter in Heybike’s Mars 2.0 folding e-bike starting from $900 (Reg. $1,499)
Prime Day Garden and Lawncare Green Deals
Prime Day Appliance and Device Green Deals
***All prices subject to change at any time…cash in while you can!
FTC: We use income earning auto affiliate links. More.
Rivian flew us out to Lake Tahoe to show off the crazy capabilities of its new quad-motor powertrain on both its R1T pickup truck and R1S SUV. Rivian’s original R1S and R1T were quad-motor vehicles, but as of the second generation of the R1 platform, only dual and tri-motor variants existed. So why quad? Why now?
First of all, let’s get the specs out of the way. The new Rivian Quad is a beast, all the way from its $120,000 price tag to its over 1,000 horsepower and 1200 lb-ft torque.
- Prices for R1T start at $115,990 USD / $190,990 CAD and the R1S starts at $121,990 USD / $201,990 CAD – Deliveries begin summer 2025
- Launch Edition R1T starts at $119,990 USD / $196,990 CAD and Launch Edition R1S starts at $125,990 USD / $207,990 CAD. Rivian is reintroducing Launch Edition for the Gen 2 Quad, celebrating the configuration that first defined our commitment to all-electric performance and adventure.
- Destination and freight charge is $1,895 USD / $2 ,695 CAD
- Powertrain: Horsepower: 1,025 hp Torque: 1,198 lb.-ft.
- Performance 0 – 60 MPH 2 .5 sec R1T, 2 .6 sec R1S, ¼ Mile Time 10.5 sec, VMax 130mph
- Range: EPA-estimated up to 3 74 miles of range (Up to 400 miles in Conserve mode)
- Charge Port: NACS (North American Charging Standard)
How does one characterize this massive spec monster in the larger vehicle landscape? Before we try to get our head around that, there is more.
The Rivian R1 Quad brings back tank turn as a new feature: Kick Turn – And it is actually useful.
From our history books, we know that one of the features that the original R1 Quads touted was the ability to turn in a circle/spin on its axis by having its right side wheels spin one way and its left side wheels spin the other. While the ‘tank turn’ disappointingly never made it to the original production vehicles, Rivian hadn’t let go of the idea.
Kick Turn.
The New R1 Quads bring back the ability to turn/spin on a dime when offroading. However, this isn’t just a parlor trick. It is actually useful when negotiating tight switchbacks.
Here’s what it is like to invoke the “Kick Turn” from inside the vehicle. Unintuitively, you don’t want to turn the steering wheel. Instead, you simultaneously push both steering wheel buttons in the direction you want to turn.
The same maneuver from behind:
I was able to use and master the kick turn pretty quickly after trying it for the first time and it is sooooo fun….and useful. Rivian says that the kick turn should only be done on gravel and loose dirt. But I could see ejecting out of a parallel parking spot with this feature…or doing a U-Turn on a country road.
I imagine the wear on the tires that are already taking a beating from this super heavy vehicle doing 2.5 second 0-60s is massive. Rivian says that the standard tires are guaranteed for 30,000 miles but imagine that loses a few miles every time a kick turn is invoked.
Perhaps most devestating, the original Rivian Quads won’t get the Kick Turn functionality. As an owner who was excited about the tank turn functionality when making my buying decision, I’m not pleased. Rivian says that the controllers for the original Quad Motors aren’t tuned and accurate enough to master the move. I’m ready to sign a petition that Rivian try anyway.
Quad offers four different wheel and tire options:
- 22” Super Sport
- 22” Sport Burnished Bronze
- 20” All-Terrain Dark
- 20” Dune Satin Graphite All-Terrain
Also, there will be Launch Editions:
Rivian is reintroducing Launch Edition for the Gen 2 Quad, celebrating the configuration that first defined our commitment to all-electric performance and adventure. The new Launch Edition Quad will feature an exclusive “Launch Edition” IP badge and a suite of special features, including:
Two standard colorways:
- Launch Edition exclusive: the return of Launch Green paint with Black Mountain + Brown
Ash Wood interior - Storm Blue paint with Slate Sky + Walnut Wood interior
Additional included features: - Lifetime Rivian Autonomy Platform+
- Lifetime Connect+
- Camp Speaker
- Gen 2 Key fob
NACS native
One more nice thing about the Rivian R1 Quad is that it is the first Rivians, and one of the first non-Teslas overall, to have the NACS port standard. This allows the vehicle to charge at most Tesla chargers without adapter. The flip side however is that it will need the included CCS adapter to charge at most other network charging stations including Rivian’s own RAN charging network, at least until the networks and Rivian switch their chargers over to NACS. We had success on a V4 Supercharger near Lake Tahoe but obviously weren’t able to test the charging speed or charging curve since the vehicles we were given started at 80%.
One other nice trick is that the Quad has a control panel that allows the driver to make their own drive modes.
RAD Tuner (exclusively on Quad, coming in September): Developed by the Rivian Adventure Department, a team of engineers, software developers and designers who create and test features that push the boundaries of our vehicles.
Rivian drivers will have better control over their vehicle’s dynamic behavior. Through intuitive sliders, you can fine-tune ride handling while creating personalized and savable drive modes.
Start from scratch or build upon presets like “Rally” or “Sport.” There are even preset modes that were born from real-world triumphs:
Desert Rally mode was meticulously engineered during the 2023 Rebelle Rally, a grueling competition where the R1T made history as the first fully-electric vehicle to ever win
Hill Climb mode was honed at the legendary Pikes Peak International Hill Climb, where
in 2024, our R1T conquered the race as the fastest production truck to ever make the
ascent.
Oh and Rivian now lets you record Launch Mode with Launch Cam so those 2.5 second 0-60s where you beat the Ferrari off the line can now be downloaded and shared with friends on social media. The videos include real-time stats like speed and distance overlays. Unfortunately Rivian no longer includes an interior camera to capture passengers’ reactions.
Electrek’s take
At a starting price near $120K and realistically over that with some bells and whistles, the Rivian R1 Quad vehicles aren’t going to have mass appeal. In fact, I don’t think these will even be Rivian’s top sells since the $80,000 Rivian vehicles with dual motors are almost as good (and better on efficiency).
However, Rivian is really trying to build its brand ahead of the R2 launch and this vehicle is as adventurous as it gets, electric or otherwise. Think about it: This is a 7-seat, off roading monster that will beat almost any supercar off the line…and can now spin on a dime.
FTC: We use income earning auto affiliate links. More.
Kia is entering Europe’s most competitive EV segment with the upgraded EV5. It’s slightly smaller than the Tesla Model Y, but Kia says the EV5 is “a cornerstone” to its growth strategy in Europe.
Kia EV5 lands in Europe
After launching the EV5 in China in November 2023, Kia’s electric SUV quickly became a hit. It’s already leading Kia’s comeback in the world’s largest EV market.
Although Kia has introduced the EV5 in other markets, including Australia and New Zealand, this is the first time it has revealed specs for the upgraded version specifically designed for Europe.
The upgraded EV5 is powered by an 81.4 kWh battery offering up to 329 miles of WLTP range. Unlike the Chinese version, which uses a BYD LFP Blade battery, the European version features a nickel-manganese-cobalt battery pack.
It will be available in baseline and GT-line models. All EV5 variants can recharge from 10% to 80% in as little as 30 minutes.
Both variants are offered in FWD with up to 215 hp (160 kW) and 218 lb-ft (295 Nm) of torque. Kia’s electric SUV also includes bi-directional charging, including vehicle-to-load (V2L) with up to 3.6 kW of power.
The exterior remains essentially unchanged from the version sold in China, featuring an upright stance similar to that of the larger EV9.
The European-spec EV5 measures 4,610 mm in length, 1,875 mm in width, and 1,675 mm in height, which is slightly smaller than the Tesla Model Y. It’s closer in size to the Hyundai IONIQ 5.
Inside, the EV5 “creates a lounge-like environment” with comfort-focused seats that include massage functions, heating, and ventilation.
The interior is centered around Kia’s new ccNC (connect car Navigation Cockpit) infotainment system. The setup includes dual 12.3″ driver clusters and infotainment screens in a panoramic display, plus a 5.3″ climate control display.
Kia will build the upgraded EV5 for Europe in Korea, unlike the Chinese version, which is produced by its joint venture Kia Yueda.
Although prices have yet to be confirmed, the EV5 will sit between the EV3 and EV6 in Kia’s lineup. Given the EV4 starts at £34,695 ($47,700) and the EV6 is priced from £39,235 ($53,200), the EV5 is expected to start at below £40,000 ($55,000) in the UK.
Sjoerd Knipping, Kia Europe’s COO, said that “The EV5 is a cornerstone of Kia’s European growth strategy.” He added that the electric SUV is “tailored to the way Europeans live, work, and drive.”
Kia has already confirmed the EV5 will be sold in other global markets, including Canada. However, it will not arrive in the US.
The company said it will launch the EV5 “exclusively for the Canadian market” in North America. It will be available with FWD and AWD powertrains, as well as two battery sizes: 60.3 kWh and 81.4 kWh, offering a range of up to 310 miles (500 km).
What do you think of Kia’s new electric SUV? Would you buy one over the Tesla Model Y or the Hyundai IONIQ 5? Let us know in the comments.
FTC: We use income earning auto affiliate links. More.
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Sports2 years agoButton battles heat exhaustion in NASCAR debut
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike