Are wind turbine manufacturing companies still a viable investment?

Quora question asked, “Is Suzlon Stock a reasonable investment?”:

They will be if they survive the stall that no one seems to be aware of.

Suzlon is an Indian company, but I’m going to discuss the positive aspects of the Indian situation in a separate post.

Let’s talk a little about how everything we “know” about renewable energy is an illusion

100 Renewable

The news in climate journals and 100% renewable marketing is leading us to believe that wind generation should be booming. Google, Amazon, Apple, Microsoft, and a thundering herd of followers are now buying enough interests in Wind and Solar installations to add up to their total electricity consumption.

If we do the math and assume that all of the “potential” electricity is being generated and used the theory can withstand the scrutiny of disinterested audiences, who have no relevant experience.

Over in my land of invisible information, I’m seeing what on one hand could be a deadly delusion, and on the other hand, the most transformational, profitable and worthwhile situations in the history of humankind.

What almost no consumers know is that no matter how many wind turbines you are erect, the amount of electricity the grid can take does not change, nor does the time and reliability needs of the electricity users.

In the world of physics and wholesale economics, Most of these wind farms are proposed to be built in MISO, or SPP, and both are drowning in overgeneration.

As a result, developers have stopped buying more wind turbines.

 

The stock chart on the left is Suzlon.                              The stock chart on the right is Vestas

Suzlon ChartVestas chart.

The demand for wind turbines is limited to how much of that electricity can be used when it’s available. The existing retail electricity business framework and the accompanying regulations are blocking the ability to use low-cost low-value kilowatts when they are available.

More discussion of the “invisible” aspects that are slowing or neutralizing true net carbon reductions will follow.

 

 

 

 

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