Blaiken – Wind turbine & service procurement

Wind Turbine Procurement

Situation and objective

Utility client with ambitious plans in wind energy and secured finance backing from own balance sheet
Determined to utilise the financial downturn for procurement of large number of wind turbines
Client with little experience in procurement of wind turbines and lack of market knowledge (2-3 MW)
Objective of the project was to procure 118 onshore wind turbines rapidly at the right cost and with lowest operational life cycle risk

Management of the whole procurement process
Five-step Approach to Procurement applied with detailed supplier market analysis and evaluation of technology along product life cycle
Definition of the client requirements incl. make or buy analysis along value-chain and technical and commercial requirements
Definition of RfQ, negotiation strategy, supplier nomination, negotiations, factory inspections
Meventus consultants led supplier negotiations/selection

Good transparency of the supplier market with strengths and weaknesses by key player & market
Simple RFQ with functional specifications: 16 suppliers invited, 13 offers received (low cost & high value; direct drive & geared; US, European & Asian)
Four selection gates with 30%+ secured price reductions for WTG and O&M before 2nd gate
Duration of the total 3-phase project: ~12 months
Total savings from 1st offer to final contract: mio€ 60+