Suzlon Completes Blade Retrofit Program

October 12, 2009

- No additional retrofit costs in FY2009-10

PUNE, India, Oct. 12 /PRNewswire/ -- Suzlon Energy Limited (SEL), the world's third leading* and India's largest wind turbine manufacturer, announced the completion of its worldwide program to strengthen and reinforce all Suzlon blades of the V2 type on its S88 - 2.1 MW turbine fleet.

Instances of blade cracks were first discovered in late 2007 during the operation of some of Suzlon's S88 wind turbines in the United States. Suzlon responded immediately and launched a detailed root cause analysis and identification process, followed by extensive testing of the solution and a comprehensive retrofit operation to safeguard and enhance 1,251 (or 417 sets) of S88-V2 blades around the world - a commitment of approximately USD 100 million, already provided in FY2008-09.

Said Mr. Andy Cukurs, Chief Executive Officer of Suzlon Wind Energy Corporation: "We are happy to report the completion of the program in September, 2009. This project has been a priority effort for us, and our Technology and Project teams have worked hard to complete this project within the shortest possible time. After receiving the first report of cracks in the S88-V2 blades, we immediately undertook a root cause analysis to identify the problem, devise a solution, and resolve the issue in a timely and cost-effective manner. We believe we are the custodians of our customers' investment and, in keeping with our commitment to our customers, decided to retrofit the entire S88 V2 fleet and replace the few cracked blades at our own cost to eliminate any possibility of further issues, no matter how small the chance."

In parallel with strengthening the S88-V2 blades, Suzlon also introduced the next-generation S88-V3, which is consistently delivering and exceeding performance standards at windfarms around the world. One of Suzlon's S88 turbines produces enough energy to power approximately 500 average American homes.**

Speaking after the completion of the retrofit program, David A. Drescher, Vice President - John Deere Renewables, said: "We are pleased that Suzlon has completed the replacement of the blades in our S-88 fleet and is addressing other product support requirements."

Speaking on successful completion of the S88 type certification with the modified blade design, about the testing protocol applied Christian Nath, Vice President - Germanischer Lloyd, said: "Analysis that implies the effect of 3-D loading and design was used for the verification of the modified blade design. Testing beyond the normal scope of IEC 61400-23 was applied to prove the design's feasibility."

The Retrofit Process was carried out in a multi-stage process detailed below:

Root Cause Analysis and Identification

    --  Working directly with its customers, Suzlon engaged Navigant Consulting,
        a leading international consulting firm, to conduct an extensive Root
        Cause Analysis (RCA) examining all primary and secondary contributing
        causes to the blade crack issue.
    --  The RCA team concluded that the S88-V2 blade design, while designed and
        tested to industry standard certification guidelines, had a weakness in
        the transition area - about 6 meters (20 feet) from the root of the
        blade. The blades measure 43 meters (142 feet) long and weigh 7 tonnes
        (15,650 pounds).

    --  At the completion of the program, only 179 blades of the total fleet of
        1,251 blades developed cracks. However, Suzlon upgraded the entire fleet
        in support of its customers.

Design Solution and Testing

    --  To resolve the blade cracking issue, Suzlon added the following to the
        S88-V2 blade:
        --  Three additional plies of fiberglass to the blade's exterior in the
            transverse direction. These plies extend over the entire blade
            surface in the transition area.
        --  One additional ply was added to the interior of the blade.
    --  The new reinforced S88-V2 blade has lower stress and strain level in the
        transition area, preventing cracks from forming.
    --  Suzlon worked with Germany-based Germanischer Lloyd (GL), an
        internationally-recognized wind energy certification organization, to
        test and certify the V2 blades according to international standards.

    --  Through this process Suzlon has developed a new level of blade testing
        for all its blades by putting increased loads into the test process
        which exceed current industry standards, raising the bar in product
        design and testing for the industry as a whole.

NOTES:

* Suzlon and REpower, if taken together, stand as the world's third leading wind turbine supplier group in terms of market share. Market share of 12.3% is derived from BTM Consult ApS World Market Update 2008, ranking Suzlon with 9% of global market share and REpower with 3.3% of global market share.

**An average U.S. household uses about 10,655 kilowatt-hours (kWh) of electricity each year. One megawatt of wind energy can generate from 2.4 to more than 3 million kWh annually. Therefore, a megawatt of wind generates about as much electricity as 225 to 300 households use. Source: American Wind Energy Association, www.awea.org

About Suzlon Energy Limited

Suzlon ranked as the world's third leading wind turbine supplier in terms of market share in 2008. Suzlon has ranked as the leading manufacturer in the Indian market for ten consecutive years, maintaining over 50% market share. Suzlon has its corporate offices in Pune, India and company's global spread reflects in its projects and markets portfolio - extending across Asia, Australia, Europe and North and South America. Suzlon is a highly vertically integrated wind turbine manufacturer with manufacturing capability along the full value chain - from components to complete wind turbine systems. Please visit www.suzlon.com

For more information on Navigant Consulting, please visit www.navigantconsulting.com

For more information on the Germanischer Lloyd - Renewables, please visit www.gl-group.com/en/5746.php

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    Investor Relations Contact:
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    Suzlon Energy Ltd. - Investor Relations, Mumbai
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SOURCE Suzlon Energy Limited