Renewable energy giants shrug off Trump’s anti-wind policies | Real Time Headlines

Renewable energy giants appear relatively optimistic about U.S. president Donald Trump’s anti-wind policy, describing the process of replacing fossil fuels with electricity products as “absolutely unstoppable.”

Trump promises new “golden age“For the United States, he quickly took aim in Monday’s inaugural address low carbon energy initiatives.

in a independent executive orderAs widely expected, the president imposed a moratorium on new leases or lease renewals for offshore and onshore wind projects and halted leasing of Outer Continental Shelf wind projects.

“We’re not going to do the wind thing. Big, ugly windmills, they’re going to destroy your neighborhood,” Trump told his supporters in Washington’s Capital District on Monday. He has previously described wind turbines as an economic and environmental “disaster”.

The measures are part of a wider energy offensive aimed at “unleashing” Oil and gas production has boomed. These include declaring a national energy emergency, promoting fossil fuel drilling in Alaska and signing an executive order to withdraw the U.S. The landmark Paris Agreement.

Joe Kaeser, Chairman of the Supervisory Board Siemens EnergyAs one of the world’s largest renewable energy companies, Trump’s comprehensive energy agenda appears unaffected. In fact, Kaisa considers these policies to be a “slight benefit” for the German energy technology group.

Shares of Siemens Energy rose more than 8% on Wednesday morning, hitting a new 52-week high.

“We need to understand what’s behind all the executive orders and policies,” Kaisa told CNBC’s Dan Murphy at the World Economic Forum (WEF) annual meeting in Davos. “So far, I believe Siemens Energy has actually benefited a lot in many areas. shallow.

Kaisa said there will be uncertainty in low-carbon energy sectors such as onshore and offshore wind power, adding that Trump’s measures are unlikely to directly affect Siemens Energy. Kaeser said that’s partly because about 80% of the company’s wind power market is in Europe.

“So, I don’t think it’s going to have any impact. I’m more worried about the European economy and how they deal with a very powerful country, with a very powerful concept. We may or may not like it because it has some nationalism in it types of things, but if we look at it from the perspective of the American people, we better take action,” Kaisa said.

Kaisa said that in addition to onshore and offshore wind power, Siemens Energy remained well-positioned to profit from the “booming” electrification market.

“Think about data centers, artificial intelligence, the wait times we have now on large gas turbines. The reality is that customers are going to come and say, hey, can I book it? Will I pay you a booking fee? Think about it. That kind of That hasn’t happened in a long time,” Kaiser said.

“I believe the era of electrification is just beginning. Whether it’s gas turbines, wind, solar or whatever, we’ve got it all, and ultimately it’s up to the customer. I think one thing people shouldn’t underestimate is that the White House is (but) customers aren’t buying as much ,” he added.

Spanish renewable energy giant Isabel Delora He is also optimistic about the path to full electrification, calling the transition away from fossil fuels “absolutely unstoppable.”

“We’re finding that we’re probably at the best moment for electrification,” Iberdrola executive chairman Ignacio Galán told CNBC at the World Economic Forum on Tuesday.

Garland pointed to soaring global demand for electric data centers, low-emission vehicles, and cooling and heating applications.

“All of these things require more power 24 hours a day. Our business in the U.S. is primarily in this area, which is networking…and regulation is up to national authorities, so I don’t think it’s really affected at all.” Garland said.

“Depending on the legislation, we will invest more or less in another part of our business,” he added, referring to Trump’s energy policies.

“We are very, very optimistic about America and the future,” Garland said.

Danish Orsted recently announced approximately US$1.7 billion On Wednesday morning, U.S. project loss provisions fell 4.4%, continuing the sharp decline from the previous trading day.

The fast-growing offshore wind industry has gone through a rough patch in recent years, hampered by rising costs, supply chain disruptions and rising interest rates.

Artem Abramov, head of new energy research at Rystad Energy, said Trump’s energy agenda essentially means the likelihood of any new offshore development projects in the United States has dropped to zero — at least for now.

“The U.S. currently has approximately 2.4 gigawatts (GW) of advanced offshore wind development projects that have reached final investment decisions and are under construction and are unlikely to be affected,” Abramoff said in a research note released on Tuesday. effects of this order.

“In an unfavorable investment environment, there are medium risks for 10.5 GW of projects for which the necessary permits have been obtained but no investment decision has been made,” Abramov said.

“The remaining 25 GW of early-stage projects are unlikely to make any progress under the current government,” he added.

—CNBC’s Spencer Kimball contributed to this report.