Siemens to drop PV but keep wind and hydro

Siemens' plan will see it divest its solar energy activities, disbanding its Solar & Hydro division in accordance with a recently announced programme to scale down renewable energy operations. Siemens says it made the decision in response to changed framework conditions, lower growth and strong price pressure in solar markets.

“The global market for concentrated solar power has shrunk from four gigawatts to slightly more than one gigawatt today” said Michael Süß, member of the Managing Board of Siemens AG and CEO of the Energy Sector. “In this environment, specialised companies will be able to maximise their strengths” he added.

The company is presently holding talks with various parties interested in buying Siemens solar PV assets but the company will continue to offer products for solar thermal and PV power plants, such as steam turbines, generators, grid technology and control systems.

Siemens confirms it will continue to operate its two Business Units - Solar Thermal Energy and Photovoltaic - until the sale. The remaining business activities of the Solar & Hydro Division (hydro power and solutions for energy storage devices) will remain within the Energy Sector.

The company’s hydroelectric activities include the joint venture Voith Hydro for conventional hydro plants and the business of tidal turbines, which was fully acquired in the spring of 2012.

“The importance of renewable energies in the global power mix will continue to grow and hydro power and wind energy will remain the major renewable contributors” Süß said. “Our renewable energy activities will be focused on these two areas. More than 7,000 employees work in the Wind Power Division and another 2,000 work in the related service business; and the Division has an order backlog of more than EUR 10 billion.”