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MACHINIST - Suzlon denies delivering any blades to REpower

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Home arrow News arrow Power and Energy arrow Suzlon denies delivering any blades to REpower

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Suzlon denies delivering any blades to REpower
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Written by Anand   
Friday, 17 April 2009

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Mumbai: Suzlon today clarified that the company has not delivered any blades to REpower. This is in reference to reports in a section of the media regarding faulty blades supplied to REpower by Suzlon in China.

"Those blades are still in the prototype phase of the manufacturing process, which includes rigorous testing of the blades’ ability to perform reliably and safely. Suzlon will only commence serial manufacturing and delivery of blades after it completes this prototype phase and can guarantee the quality of the product," the company clarified.

"The company is working vigorously to complete this process and commence full-scale production. Suzlon is focused only on completing the project while ensuring adherence to high quality standards which is delaying the delivery."

REpower asked and contracted with Suzlon to have the company manufacture wind turbines blades. The blade design was REpower’s, and the manufacturing process required Suzlon to adjust the specifications and processes of existing manufacturing facility in Tianjin, China, to meet the REpower design specifications. The new process also involved training of the existing workers.

Suzlon owns 74% of REpower and this is a transaction between related parties.

If financial liabilities exist related to the delivery issues that REpower may intend to seek Suzlon’s assistance with, that matter will be a subject for discussion between both parties. However, any such liabilities if they occur would be non-material and insignificant.

 
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