Engineering giant Siemens has today announced it will sell its solar business to focus on developing hydro and wind power projects as part of major company reorganisation.
The firm is to sell is Solar Thermal Energy and Photovoltiac business and close down its Solar & Hydro Division by 2014. Changed framework conditions, lower growth and strong price pressure in the solar markets meant the company’s expectations for its solar energy activities have not been met, it said in a statement.
“The global market for concentrated solar power has shrunk from four gigawatts to slightly more than one gigawatt today. In this environment, specialized companies will be able to maximize their strengths,” said Michael Süß, member of the Managing Board of Siemens and chief executive of the Energy Sector.
Siemens will continue to offer suitable products for solar thermal and photovoltaic power plants, such as steam turbines, generators, grid technology and control systems, which are produced outside of the Solar & Hydro Division.
“The importance of energy from renewable sources is growing throughout the world. Siemens predicts that energy from renewable sources will account for 28% of the global power mix in 2030,” the statement continued. “According to Siemens’ estimates, global power consumption will rise from 22,100TWh to 37,100TWh in 2030. Hydro power and wind energy will continue to contribute the largest share of energy from renewable sources.”