Wartsila OYJ

Energy, Engineering and Construction
95
HEL:WRTBV
Finland

"Wärtsilä and Industrial Development & Renovation Organization of Iran (IDRO), the largest industrial corporation in Iran have signed a Memorandum of Understanding (MoU) on October 29th. The MoU was signed in connection to the President of Finland Mr. Sauli Niinistö’s recent visit to Iran. With this agreement, both parties agree to cooperate on the development of decentralized power generation in Iran, including power plant operations and maintenance services and related liquefied natural gas (LNG) infrastructure. Wärtsilä will provide relevant expertise and resources to support IDRO in its objective to improve the infrastructure and develop the Iranian industry. In a second phase this cooperation will be extended to the marine sector and the Iranian shipping industry... “With this agreement, Wärtsilä is showing its commitment to support the development of the Iranian industry and power generation sector, on the basis of a mutually beneficial relationship,” says Javier Cavada, President of Wärtsilä Energy Solutions." (Wärtsilä Website, "Wärtsilä and IDRO sign cooperation agreement to develop power generation in Iran | Wärtsilä Website" 11/14/2016).

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"UANI (United Against Nuclear Iran, a US-based organisation that seeks to prevent Iran acquiring a nuclear weapons capability) has called on Wärtsilä to end its, according to UANI, 'irresponsible' business activities. UANI says that Wärtsilä, through its agents and licensees, provides technology and marine diesel engines to Chinese shipbuilders that are currently building oil tankers for the Iranian regime. It says that: 'Wärtsilä’s activities are of particular concern given that the international community is attempting to isolate Iran via its shipping industry, and new tankers greatly assist the regime in attempting to overcome such efforts.' In a letter to Wärtsilä President & CEO, Björn Rosengren, UANI CEO, Ambassador Mark D. Wallace, wrote: 'Earlier this year, UANI launched its Shipping Campaign to compel international shippers, classification societies, P&I clubs and governments worldwide to cease their [Iran] business…In response to UANI’s campaign, members of the International Association of Classification Societies…ceased their classification of Iranian vessels... For example, Wärtsilä has reportedly supplied engines for IRISL vessels, and stated that it maintains an agent in Iran to handle future business with power plant and shipbuilding clients.' The letter mentions Wärtsilä’s involvement in 12 VLCCs being built in China for NITC. It says: 'Put simply, Wärtsilä is assisting the Iranian regime’s development of its most lucrative economic sector, the revenues from which go directly to fund the regime’s nefarious activities, including its nuclear program. In addition, Wärtsilä’s business in Iran includes a partnership with the Iran Heavy Diesel Engine Mfg Co... Wärtsilä’s apparent partnership with DESA is clearly unacceptable.' Wärtsilä has been requested to reply to the letter by 21 December, making its intentions clear with respect to its dealings with Iran." (The Motorship, "Wärtsilä under fire in US over Iran links," 12/19/2012) 

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"Wartsila Corporation, a Finnish manufacturer of ship engines, has built power plants in Iran and in 2002 supplied engines for Islamic Republic of Iran Shipping Line (IRISL) container ships. IRISL is a state-owned shipping company which was later blacklisted by the United States for facilitating the transfer of military cargo to Iran. Wartsila also has received federal contracts to provide, among others, engine parts to the Coast Guard. A Wartsila spokesman,  Atte Palomaki, said that the company operates in full compliance with sanctions, as it did when it supplied engines to a German shipyard building IRISL ships. "At that time IRISL was not on any blacklist," he said, adding that since then  the company has not supplied IRISL with any engines, nor would it because of the blacklisting. He said the company does have an agent in Iran who is paid on a commission basis to service other power plant and shipbuilding customers, but characterized the company's sales efforts there as a "minor activity." As the United States lobbies for tough new sanctions, Mr. Palomaki said Wartsila is keeping a watchful eye on the situation and its business in Iran: "We have concerns in the sense that the U.S. Navy is an important customer for us," he said. "We want to be very careful."

From 2000-2009, the company was the recipient of $95.4 million US federal funds.  Their business in Iran is currently active.  (The New York Times, "Profiting from Iran, and the US", 3/6/2010)

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The enormous New York State Common Retirement Fund plans to divest $86.2 million in investments from nine companies doing business in Sudan and Iran...The decision comes after two years of reviewing these companies, the potential risk of the investments and, in some cases, humanitarian efforts in these countries."We don't expect our investments to benefit regimes that support genocide and terrorism," said DiNapoli. The fund plans to divest out of $86 million in Gazprom (OGZPY), Inpex (1605.TO), Lukoil (LUKOY), Oil And Natural Gas Corp (500312.BY), OMV (OMVKY), Petroleo Brasilia (PBR), Statoil (STO), Wartsila OYJ and Sinopec Corp. DiNapoli said the firms were chosen because "they failed to respond or we were not satisfied with their responses" when asked to provide information to the fund on the investments and their risks. (Wall Street Journal, "NY Comptroller To Divest $86.2M In State Pension Fund Investments," 6/30/09)

No response at this time.