Siemens recently announced that it plans to reorganize its renewable business into separate divisions by October 1, with one strictly for wind power, North American Wind Power reports.

According to the news source, Felix Ferlemann, the current head of the chassis systems division at Benteler Automotive, will assume the role of CEO of Siemens' new wind division.

"We're separating solar and wind power because these two markets are at very different stages of development," said Michael Suess, CEO of Siemens Energy. "In our established wind power business, we'll be forging ahead with industrialization and internationalization."

The company stated that it will be very important for the manufacturing and logistics industries to begin looking at reducing power generation costs through high-efficiency production, specifically wind energy.

Siemens also hopes to reduce energy costs by focusing on new products that can be produced in a way that meets cost-effective logistics.

According to the U.S. Department of Energy, wind power is advantageous to large businesses because of its competitive cost with other fuel sources as well as its low operating costs.