Suzlon news doesn't deter Pipestone

The town will go ahead with building housing for workers despite cancellation of a big turbine order.

June 11, 2008 at 4:12AM
Workers bussed in from Sioux Falls, S.D. head into the Pipestone, Minn. Suzlon plant at 6:38 am. suzlon busses workers from Sioux Falls and Worthington every day because of the shortage of workers in the area.
Workers bused in from Sioux Falls, S.D., head into the Suzlon plant in Pipestone, Minn. Officials in Pipestone said they still plan to build a $1.8 million apartment complex, despite learning Tuesday that a key customer canceled an order. (Star Tribune/The Minnesota Star Tribune)

Pipestone officials said they still plan to build a $1.8 million apartment complex, despite learning Tuesday that a key customer of the town's Suzlon Rotor plant canceled an order for 150 wind turbines after experiencing cracking problems.

The apartment complex was to solve the pressing need for rental housing caused by Suzlon's rapid growth. The plant employs 500 workers, double from when it opened 19 months ago.

The Wall Street Journal reported Tuesday that Edison Mission Energy told the Securities and Exchange Commission that it canceled its second order for 150 turbines from Suzlon. The news comes months after Suzlon blades cracked at three Midwest wind farms last year. Suzlon has since redesigned the blades and had no new problems.

It is unclear what impact Edison will have to the town or the bustling plant that makes blades and nose cones for 2.1 megawatt wind turbines. Edison's order would have provided enough work for one quarter of a year at a plant that runs two shifts six days a week. Edison Mission's order was to be delivered next year.

Suzlon spokeswoman Michelle Montague in Portland declined to comment, saying all inquiries are handled out of India and Amsterdam. Those officials could not be reached Tuesday.

No news at the plant

Last month, officials in Pipestone told the Star Tribune that the factory had two years of back orders. That would indicate Edison's canceled order is not a fatal blow.

Workers contacted by the Star Tribune said managers didn't mention the contract cancellation Tuesday.

"If they were losing money, I am quite sure they would have said something to us. But nobody said anything and nobody was fired. So everything's good," said Jerard Braboy, a forklift driver hired just five months ago.

Kim Hunt, who began working as a supervisor at the plant in September said she also "heard nothing" about Edison Mission pulling an order. So news of the article made her curious "because this is my job and I like to know what is going on."

She said management probably didn't say anything so as not to distract workers. "They've been pushing them really hard to get these blades out."

The American Wind Energy Association reported Minnesota's now the third-largest wind energy producer in the nation.

Dee DePass • 612-673-7725

about the writer

about the writer

Dee DePass

Reporter

Dee DePass is an award-winning business reporter covering Minnesota small businesses for the Minnesota Star Tribune. She previously covered commercial real estate, manufacturing, the economy, workplace issues and banking.

See More

More from Business

card image

Rochester-based health system will provide guidance on the development of “affordable” hospital sites in two of India’s largest cities.

card image
Ramsey County Attorney John Choi spoke during a press conference at the Ramsey County Attorney's office. ] LEILA NAVIDI • leila.navidi@startribune.com