| After a vigorous first half in which a sizeable volume of large projects was awarded, less projects were up for tender in the second half. This was due to the timing of customers’ project development activities. The global market for hydro power thus stabilized at the high level of the previous year. The situation at Voith Hydro reflects this picture. After a flying start to fiscal 2008/09, the award of major projects in particular leveled off noticeably through the end of the period under review. In the Small Hydro segment (hydro power plants that output less than 30 megawatts), the volumes awarded were significantly down in the fiscal year under review. The reason was that it was more difficult for customers and operating companies to find the financing arrangements they needed. Even so, Voith Hydro is very satisfied with the course of business in fiscal 2008/09.
Orders from all the world’s business regions
Voith Hydro landed two major projects in China. One of the country’s largest hydro power plants (with a capacity of 12 600 megawatts) is currently being built on the Jinsha (“Gold Sand”) River. “Jinsha” is the name given to the Yangtze River in its upper reaches. Voith Hydro has been commissioned to supply generators and turbines. On the same river, the Liyuan hydro power plant, too, is under construction and should deliver a rated output of 2 400 megawatts as of 2012. For this project, Voith Hydro will supply four Francis turbines and additional equipment.
In the USA, Voith Hydro will equip the Captain Meldahl Dam on the Ohio River with generators and turbines. This is already the fourth large rebuild order on the Ohio River to be awarded to Voith by operator American Municipal Power in twelve months.
Acting in the context of a consortium, Voith Hydro was also able to secure two large orders on the Rio Madeira in Brazil. Europe, too, has seen its hydro power market recover vigorously. New projects are currently in progress on the Rio Sil River in Galicia/Spain, in Esslingen/Germany and in Pernegg/Austria, for example.
Production and R&D capacity ramped up further
Voith stepped up efforts to expand its worldwide production facilities in the period under review. Additional production capacity was created in growth markets. At the same time, further measures were taken to improve employees’ technical qualifications to ensure that order handling is optimized.
The commissioning of a new generator production plant in Shanghai/China has strengthened the Group ivision’s position as one of the leading equipment suppliers for hydro power plants in China and the rest of Asia. A new production facility in Varadora/India was set up in fiscal 2008/09 to provide equipment to small hydro plants. Production at the plant in Mississauga/Canada was extensively modernized. This site delivers field coils for generators to all projects around the globe.
Besides expanding and modernizing its production capacity, Voith invested in more research and development capacity, too. Extensive modernization of the Brunnenmühle facility in Heidenheim/Germany has now been completed successfully, giving the company a global leading center for hydro power research and development.
Ocean energy - a new form of hydro power
The Group Division believes collaboration with energy company RWE will bring its tidal current energy technology a crucial step closer to market readiness. Voith Hydro owns an 80% stake and RWE subsidiary RWE Innogy a minority interest of 20% in a joint venture which, since July 2009, has been committed to advancing the development, production and marketing of this innovative technology.
New company name
When Voith Siemens Hydro Power Generation was launched as a joint venture in April 2000, Siemens made its brand name available for a limited period. The right to use this name expired in the period under review. Accordingly, the Group Division changed its name effective April 1, 2009, and now operates as Voith Hydro. Share ownership in the joint venture (a 65% stake for Voith and 35% for Siemens) remains unchanged.
Cooperation with universities expanded
Working closely together with universities and other establishments of higher education is a long-standing tradition at Voith Hydro. Close collaboration with the Institute for Thermodynamics and Energy Conversion at Vienna University of Technology in Austria was agreed in the period under review, for example. Voith Hydro is providing long-term funding for two research assistant posts to press ahead with basic turbine research at the institute. Together with the Institute for Fluid Dynamics and Thermodynamics at the University of Siegen in Germany, Voith Hydro has commissioned a test bed for Wells turbines. The facility will be used for research into noise emission behavior for this type of turbine, which is used primarily in wave power plants. |
