Other projects

• European Union

  • During 2006 Gamesa consolidated its presence in the main European countries. With wind farms connected to power grids or under construction in five countries - Spain, Portugal, Italy, Greece and Germany, and with a healthy portfolio of projects under development in a further four - France, UK, Sweden and Poland, and looking to expand further into Eastern Europe, European activities have thus been consolidated within the group, making increasingly positive contributions to results.

  • Spain

    Gamesa increased installed power in the course of 2006 by 109 MW, with farms coming into production in the Autonomous Communities of Andalusia, Castile and Leon, and Aragon, with a further 237 MW under construction at year in the Autonomous Communities of Andalusia, Castile-La Mancha and Catalonia.

    Promotion highlights of 2006 were as follows:

    • Received government approval for 12 wind farms with a total approved capacity of 240 MW.
    • Acquired new electricity grid connection rights for 120 MW.
    • Started construction of Gamesa’s first wind farm in Catalonia (Les Forques).

  • Portugal

    During 2006 Gamesa continued to make progress, adding to the 98 MW already commissioned with the Videmonte wind farm, with a capacity of 32 MW, Alto de Monção with 32 MW, Nave with 38 MW and Mourisca, 38 MW, making a total of 238 MW commissioned out of the 386 that have been assigned connection points by the Portuguese government.

    At the same time we continued to develop the promotion of the Alvão wind farm, with a capacity of 42 MW, and those of Fafe Ampliação with 26 MW, Faião with 38 MW, and Monte do Tolo which will produce 42 MW.

    Toward year end we received approval for the construction of the Alvão and Fafe Ampliação wind farms totaling 68 MW.

    With a view to strengthening the continuity of its business in the neighboring country, Gamesa in alliance with Iberdrola took part in a tender promoted by the Portuguese government for rights to over 500 MW for the development of wind farms.

  • Italy

    In 2006 Gamesa consolidated its position in practically all regions of Italy, and now has a portfolio of 1300 MW which are sufficiently mature so as to ensure achievement of commissioning targets established in the strategic plan for the coming years.

    In 2006 we completed construction work and commissioning of wind farms at Monte Cute (Basilicata), with a capacity of 42 MW, and Poggi Alti (Tuscany), with 20 MW installed. Work was also started on three further wind farms: M.A. Severino 1 and 2 (32 MW and 12 MW respectively) and Serra Pelata, which has 58 MW.

    During the year 2006 we also received the necessary approval for the construction of wind farms at Piano di Corda (62 MW) and San Francesco (32 MW), both in Calabria.

  • Greece

    In 2006 Gamesa’s Greek subsidiary boosted its wind power promotion activities both in the peninsula and in the islands, consolidating its market position by promoting 33 wind farms with a total power rating of 770 MW, obtaining new production permits for 20.4 MW, with a further 181.35 MW pending assignment, and completing and commissioning the 17 MW Alogorachi wind farm.

  • France

    We strengthened our presence in France, obtaining construction permits for a total of 62 MW, on top of the 20 MW already approved in 2005. The project portfolio currently exceeds 900 MW, more than 300 MW of which are in an advanced stage of the administrative process.

    We also made significant progress in preparing for construction of the first wind farms in France.

  • United Kingdom

    Gamesa consolidated its presence in the United Kingdom in 2006, advancing with the development of its site portfolio which passed the 1.000 MW mark. Currently 195.2 MW are in an advanced stage of the administrative process. In the course of 2006 Gamesa Energy UK won grid connection rights for nine projects totaling over 400 MW.

  • Sweden

    In 2006 good progress was made in promoting wind farms in Sweden, with the portfolio reaching 400 MW. Our increasing activity in the country was endorsed by the signing of an important agreement with the state electricity company Vatenfall, for the supply of a portfolio of wind farms to be developed by Gamesa Energía in the course of the next few years.

  • Poland

    Our wind power promotion subsidiary in Poland, which is the biggest market of the eight Eastern European countries, continued during 2006 to develop a portfolio of more than 20 wind farms with a projected total output of 800 MW throughout the country. In 2006 Gamesa made significant advances in the development of wind power promotion in Poland, securing grid connection rights for various wind farms for a total of 140 MW.

  • Germany

    In 2006 Gamesa succeeded in strengthening its position in Germany, Europe’s biggest and most competitive market. Five wind farms were commissioned: Eschweiler (4MW), Wirfus (8MW) and the extensions at Holdenstedt-Bornstedt (12MW), Wirfus II (2MW) and Rastenberg II (4MW), as well as starting work on Ringstedt (10MW) and Coswig (6MW). Some 34.5 MW in an advanced stage of promotion were purchased from third parties in order to expand our own portfolio. Five wind farms were delivered to customers (42 MW) in accordance with prior commitments to sell. Gamesa’s German portfolio contains 475 MW by way of future projects and projects already in development.

  • New markets in Europe

    Gamesa’s policy is to be present in those markets where conditions are favorable for carrying on its wind power promotion business. 2006 saw Gamesa Energía penetrating the wind markets of Bulgaria and Romania, where it has already established a notable presence with a portfolio of more than 500 MW. Both countries joined the European Union on January 1, 2007 and have considerable wind power potential in the medium and long term.

   

• U.S.A.

  • During 2006 Gamesa continued to advance the process of wind farm promotion in the USA, running a portfolio of projects totaling 5.000 MW in various stages of development, from its three representative offices in Philadelphia, Pa., Minneapolis, Minn., and Austin, Tex.
  • In addition to these advances in promotion in 2006, we also built and commissioned the first wind farm in Pennsylvania, Allegheny Ridge, initially with 80 MW and with a second phase for a further 70 MW in 2007. Also in 2006 work commenced on the 120 MW Barton Chapel wind farm.
  • This year the U.S. federal government approved a further extension of the Production Tax Credit (PTC) through to December 2008, giving significant incentives for the wind farm business and raising its profile in the short term.

   

• Latin America

  • In fiscal 2006 Gamesa concentrated its Latin American wind power promotion efforts on the markets of Mexico, Brazil, Uruguay and the Dominican Republic.

  • Mexico:

    • 2006 saw substantial progress on promoting 364 MW of wind power for the State of Oaxaca, a state with some of the best wind resources in the country, and the granting of the relevant environmental and power evacuation permits for 300 MW in the area of La Ventosa.
    • Also the registration of the 200 MW La Ventosa project with the United Nations and of the work being done on an additional, 164 MW farm as projects under Kyoto Protocol’s Clean Development Mechanism (CDM), with the associated carbon credits, are important milestones in that they are the biggest projects so far registered with the U.N.

  • Brasil:

    • During 2006 the wind power promotion project portfolio grew to 225 MW, mainly concentrated in Río Grande do Sul, which will be able to participate in upcoming power tenders to be organized by the Brazilian Ministry of Mines and Energy probably in 2007.

  • Uruguay:

    • With the 50 MW Arbolito project, Gamesa has established itself in Uruguay, in the Department (state) of Cerro Largo, with an unbeatable project that will be well placed to bid in future tenders for independent producers organized by UTE, the electricity generating authority of Uruguay.

  • Dominican Republic:

    • In 2006 the 646 MW wind park which Gamesa is developing in the Dominican Republic was registered with the United Nations under the Clean Development Mechanism.

   

• China

  • In the year in which the Chinese authorities increased their 2020 wind power target to 30,000 MW, Gamesa, in line with its ambitious industrial plan for China, consolidated its project portfolio, signing development agreements with the provincial authorities of Jilin and Shandong for a total of 700 MW, all currently being measured. Jilin’s 300 MW are already included in the Five Year Provincial Plan. Gamesa is also holding discussions aimed at including a further 400 MW in other provinces’ Five Year Plans.
  • The company has been called upon by the European Chamber of Commerce in China to co-manage its working committee on energy. This committee will be in constant contact with the Chinese government, keeping it informed of the sector’s needs. This confirms Gamesa’s proactive approach to dialog with the Chinese government at a decisive point in time for defining the regulatory framework.
  • El 2006 was the year in which Gamesa firmly established itself as one of the biggest suppliers of world class wind projects in China.