RenewableS 2013 GlObal STaTUS RePORT - REN21

Wind Power
■■Wind Power Markets
During 2012, almost 45 GW of wind power capacity began operation,
increasing global wind capacity 19% to almost 283 GW. 1
(See Figure 18 and Reference Table R8.) It was another record
year for wind power, which again added more capacity than
any other renewable technology despite policy uncertainty in
key markets. 2 The top 10 countries accounted for more than
85% of year-end global capacity, but the market continued to
broaden. 3 Around 44 countries added capacity during 2012, at
least 64 had more than 10 MW of reported capacity by year’s
end, and 24 had more than 1 GW in operation. 4 From the end
of 2007 through 2012, annual growth rates of cumulative wind
power capacity averaged 25%. 5
For the first time since 2009, the majority of new capacity
was installed in the OECD, due largely to the United States. 6
Developing and emerging economies are moving firmly into the
mainstream, however. The United States and China together
accounted for nearly 60% of the global market in 2012, followed
distantly by Germany, India, and the United Kingdom. 7 Others in
the top 10 for capacity added were Italy, Spain, Brazil, Canada
and Romania. 8 The EU represented about 27% of the world
market and accounted for just over 37% of total global capacity
(down from 40% in 2011). 9
The United States had its strongest year yet and was the world’s
top market in 2012. 10 (See Figure 19.) U.S. installations nearly
doubled relative to 2011, with almost 64% of the 13.1 GW
added coming on line in the year’s final quarter. 11 The strong
market was driven by several factors including increased
domestic manufacturing of turbine parts and technology
improvements that are increasing efficiency and driving down
costs; most important, however, was the expected expiration of
the federal Production Tax Credit. 12
Wind power represented as much as 45% of all new electric
generating capacity in the United States, outdoing natural gas
for the first time, and the 60 GW operating at year’s end was
enough to power the equivalent of 15.2 million U.S. homes. 13
The leading states for capacity added were Texas (1.8 GW), with
more than 12 GW in operation, California (1.7 GW), and Kansas
(1.4 GW), and 15 states had more than 1 GW in operation by
year’s end. 14
China installed almost 13 GW, accounting for 27% of the world
market, but showed a significant decline in installations and
market share relative to 2009–2011. 15 The market slowed
largely in response to stricter approval procedures for new
projects to address quality, safety, and grid access concerns. 16
Another major constraint has been the high rate of curtailment—averaging
16% in 2011—which results when output
temporarily exceeds the capacity of the transmission grid to
transfer wind power to demand centres. 17
Even so, at year’s end China had nearly 75.3 GW of wind capacity;
as in 2010 and 2011, about 15 GW of this total had not been
commercially certified by year-end, although most was feeding
electricity into the grid. 18 Wind generated 100.4 billion kWh in
2012, up 37% over 2011 and exceeding nuclear generation for
the first time. 19 By year’s end, almost 25% of total capacity was
in the Inner Mongolia Autonomous Region, followed by Hebei
(10.6%), Gansu (8.6%), and Liaoning (8.1%) provinces, but wind
is spreading across China—nine provinces had more than 3 GW
of capacity each, and 14 had more than 1 GW each. 20
The European Union passed the 100 GW milestone in 2012,
adding a record 11.9 GW of wind capacity for a total exceeding
106 GW. 21 Wind power came in second for electric capacity
added (26.5%), behind solar PV (37%) and ahead of natural
gas (23%); by year’s end, wind accounted for 11.4% of total EU
electric capacity. 22 Despite record growth, there is concern
that the EU lags on its National Renewable Energy Action Plan
(NREAP) targets, and that 2012 additions do not reflect growing
economic and policy uncertainty (most capacity was previously
permitted and financed). 23 Some emerging markets are poised
for significant growth, but grid connectivity and economic
issues pose challenges to future development in much of
Europe, as do land issues arising from having so much capacity
on shore. 24
Germany remained Europe’s largest market, rebounding
strongly with its highest installations in a decade (2.4 GW), for
a total of 31.3 GW. 25 The United Kingdom ranked second for
new installations in Europe for the second year running, adding
1.9 GW (45% offshore) for more than 8.4 GW by year’s end; it
now ranks third regionally for total capacity, behind Germany
and Spain, and sixth globally. 26 Italy (1.3 GW), Spain (1.1 GW),
Romania (0.9 GW), and Poland (almost 0.9 GW) were the other
leading markets in Europe. 27 Romania and Poland both had
record years, with Poland’s total capacity up nearly 55% and
Romania’s almost doubling. 28
India added about 2.3 GW to maintain its fifth-place ranking
with a total of 18.4 GW at year’s end. 29 India’s most important
federal wind power incentives were suspended or reduced in
early 2012; despite strong policies in many states, uncertainty
at the national level affected investment decisions and slowed
markets. 30 Although there was a slowdown in both China and
India, Asia remained the largest market for the fourth year in a
row, adding a total of 15.5 GW in 2012, compared with North
America’s 14.1 GW and all of Europe’s 12.2 GW. 31
Elsewhere, the most significant growth was seen in Latin
America. Brazil added 1.1 GW to rank eighth globally for
newly installed capacity, and it ended 2012 with enough
capacity (2.5 GW) to meet the electricity needs of 4 million
households. 32 Brazil’s electric grid is not expanding as rapidly
as its wind capacity, however, slowing the ability to get new
wind power online. 33 Mexico also had a strong year, adding 0.8
GW to approach 1.4 GW total, and brought the region’s largest
project (306 MW) on line. 34 Others in the region to add capacity
included Argentina, Costa Rica, Nicaragua, Uruguay, and
Venezuela, which commissioned its first commercial wind farm
(30 MW). 35
To the north, Canada had its second best year, adding more
than 0.9 GW for a total of 6.2 GW. Three provinces reached
milestones, with Ontario passing 2 GW total and Alberta and
Quebec achieving 1 GW each. 36
Africa and the Middle East saw little development, but Tunisia
almost doubled its capacity, adding 50 MW; Ethiopia joined the
list of countries with commercial-scale wind farms, installing 52
MW; and construction began on several South African projects
totaling more than 0.5 GW. 37 Elsewhere, Turkey added 0.5 GW
for a total of 2.3 GW, and Australia was the only country in the
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Renewables 2013 Global Status Report 49