The Spanish government supports Siemens Gamesa’s wind turbine division with a €1.2 billion guarantee facility, including a €600 million backstop from Cesce, to aid wind projects.
Bollywood Fever: The Spanish government has taken significant steps to support Siemens Energy’s wind turbine division, Siemens Gamesa, by participating in a €1.2 billion ($1.31 billion) guarantee facility. The Spanish export credit insurance agency, Cesce, announced on Monday that it will provide up to €600 million, or 50% of the total package, to support wind projects. This backing will be deployed through Cesce, with additional support from six banks.
This move follows Siemens Energy’s recent announcement of an overhaul of its struggling wind division, which has been grappling with significant quality issues in its newer onshore wind turbine platforms. The financial guarantee from the Spanish government aims to stabilize and rejuvenate Siemens Gamesa’s operations and bolster its wind projects.
Last year, the German government also stepped in to support Siemens Energy, providing guarantees worth €7.5 billion as part of a broader agreement with other stakeholders. This international backing underscores the critical role Siemens Energy plays in the renewable energy sector and the concerted efforts to address its challenges.
The Spanish government’s involvement through Cesce highlights the importance of the wind energy sector to Spain’s economy and its commitment to supporting key players in the industry. The guarantee facility is expected to provide Siemens Gamesa with the necessary financial stability to address its quality issues and continue its contributions to the global renewable energy market.
Also Read, Argentina to Use $1.5 Billion from Central Bank for Bond Interest Payments
Binance to Reduce Stake in South Korean Crypto Exchange Gopax
AT&T Data Breach Exposes Call and Text Records of Millions of Customers