'Power-Highways' push Siemens, ABB (follow-up on Siemens' nuclear exit)

[Celefin]

Source: Financial Times Deutschland (in German)

(translated from German)
The four German companies owning the national grid are planning three hightech 'Power Highways' - to the delight of ABB and Siemens. The two companies between them have a market share of over 80% for power lines using the high-voltage direct current transmission system.

The transmission lines have a price tag of 1.5 million Euros per kilometre. The enormous end-of-line transformer stations needed to connect the system to the conventional grid cost somewhere between 200 and 300 million Euros each. The market for this kind of electricity transmission system had a volume of 3 billion Euros in 2009. According to Siemens, this is expected to increase to 7 billon Euros within the next five years.



Read more: http://www.ftd.de/unternehmen/industrie/:ac-dc-fuer-deutschland-stromautobahnen-befoerdern-siemens-und-abb/60107891.html

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From Reuters (German stocks - Factors to watch on September 23)

http://www.reuters.com/article/2011/09/23/germany-markets-stocks-idUSL5E7KM1UX20110923

Related news and
RWE , E.ON (EONGn.DE), ENBW
RWE indicated 0.4 percent higher
E.ON indicated 0.6 percent higher
EnBW indication not available

Energy transmission companies TenneT, Amprion, 50 Hertz Transmission as well as EnBW's energy transmission unit are planning to invest billions of euros to build three large power lines through Germany, Financial Times Deutschland reported, citing no sources.

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About 2200 kilometres of new high capacity power lines with 50% less transmission losses are or will be submitted for planning permission until spring 2012.
The main purpose is to enable windpower from coastal areas and east Germany to be transported to the west and south of the country.
The new network will form the backbone of future connections to mediterranean/north african solar power and Scandinavian hydropower.

SPIEGEL (http://www.spiegel.de/wirtschaft/unternehmen/0,1518,787954,00.html)

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Just in case anybody wondered why Siemens ditches nuclear. Same amount of subsidies but without the hassle and with unrivalled growth prospects.
At least it shows how quickly things can happen when the political will is present. Germany declared its exit from nuclear power half a year ago and the industry responds almost instantly with massive infrastructure investments. Additionally, jobs and money will stay in the country. Would be a good time for young Germans to start studying electrical engineering...

[jimmydwight]

1. I misunderstood the power highway concept. It thought they

were talking about running power lines on the highway to power cars. I was thinking that the cars would have to be electric, have batteries for when they got off of one of those "power highways". I wonder if that would work? Sounds energy efficient. Oh, well.