|
By Carl Levesque Wind power and renewable energy in general once again made themselves known among the top players on the power generation landscape last month: Wind power and solar contributed every megawatt of new generation that was installed during September, according to a monthly report from the Federal Energy Regulatory Commission. But the good news for renewable energy only highlighted wind power’s complicated story of 2012. The Energy Infrastructure Update for September 2012, produced by FERC’s Office of Energy Projects, reported that a total of 433 MW of new electric generating capacity came online last month, with 300 MW coming from wind projects and 133 from new solar facilities. With over 51,000 MW now installed, wind comprises 4.43 percent of the U.S.’s generation mix, the report showed. Wind power has long established itself as a conventional energy source, with 35 percent of all new generation capacity coming from the affordable and clean energy source during the last five years. The September numbers generally track with AWEA’s, which released its third-quarter industry report last week, while the industry celebrated its 50 gigawatt milestone in late summer. The industry is on a red-hot pace, turning in record-setting under-construction numbers and setting the stage to achieve new annual installation milestones in 2012. That’s the “best of times” side of the story. But a “worst of times” dimension to the industry picture has simultaneously shown to be all too real. Paradoxically, in fact, the big story that is the record-setting project development and construction push has been driven by both healthy and dysfunctional forces. As for the healthy market factors, the cost of wind power is down thanks to constantly improving technology, and utilities are turning to the generation source more than ever to both keep their own costs down and lock in guaranteed, stable prices—a concept unknown on the fossil-fuel side of their portfolios. And the dysfunctional side? Federal policy uncertainty. The federal Production Tax Credit, wind power’s primary policy driver (all energy sources have them), is scheduled to expire at the end of the year. Optimism remains that Congress will get the job done and extend the credit during the lame-duck session after the election—this timing has been seen as the most likely scenario for awhile—but wind power companies can’t bet on that, nor can the financiers that are backing the projects. Project deals are put together with the PTC being part of the equation, and so the players can’t afford to place themselves at the mercy of Congress’s action or inaction. Unfortunately, the damage is already being done. Companies along the industry supply chain, meanwhile, reflect “the worst of times” side of the Dickensian story. With project development cycles taking 18 months, several factories making components that go into wind turbines have announced layoffs. Those layoffs represent just the beginning if Congress doesn’t act. A total of 37,000 jobs will be lost if the PTC is not extended. Through its project numbers and jobs created all along the supply chain, wind power keeps showing it can be—and already is—a key part of America’s energy mix. Now it’s time for Congress to tap wind power’s bipartisan appeal and do its part.
|
Reflecting the wind industry’s record-setting pace this year, No. 1 wind power project owner NextEra Energy Resources is working through a “record backlog” of renewable energy projects and is on track to add 1,500 MW of new wind power, the company said in announcing its third-quarter earnings. During the quarter, NextEra reached an agreement to acquire a 165-MW wind project with a 20-year power purchase agreement that is expected to go into service by the end of the year. In addition, the company entered into a 20-year power purchase agreement for a new 100-MW wind project that is expected to go into service next year and is not contingent on the extension of the federal Production Tax Credit, the company said. Finally, the company received approval from the California Public Utility Commission for its 20-year power purchase agreement for the planned 250-MW McCoy solar project. "At NextEra Energy Resources, we expect to add approximately 1,500 megawatts of new U.S. wind generation this year as we continue work on a record backlog of contracted renewables projects," said NextEra Energy President and CEO Jim Robo. NextEra also remains on track to add approximately 600 MW of Canadian wind between 2012 and 2015, and to add approximately 900 MW of contracted solar generation to the portfolio between 2012 and 2016, the company said.
|
Late last week Goldwind broke ground on its 20-MW project in Montana. The project, which has been championed by Senator Max Baucus (D-Mont.), is located in the small community of Shawmut. "We're excited about the opportunity to come here and create some jobs in Montana and build some clean renewable energy in the United States," said Tom Rosenzweig, CEO of Goldwind USA. The wind farm can supply 5,000 homes with electricity and will create nearly 75 jobs during construction, according to the company. Project owner Goldwind, a turbine manufacturer, naturally is supplying the turbines. It acquired the project prior to construction from original developer Volkswind USA. "When somebody builds a project in our state, word spreads,” said Baucus said, as reported in local news outlet kulr8. “People say, 'Gee, well Goldwind likes Montana, maybe we should look at Montana too, there's no question.'"
|
The U.S. Bureau of Ocean Energy Management (BOEM) has reached agreement on a lease for commercial wind energy development in federal waters covering 96,430 acres that are located approximately 11 nautical miles off the coast of Delaware, Secretary of the Interior Ken Salazar and BOEM Director Tommy P. Beaudreau announced. The agreement marks the first lease completed under Interior’s “Smart from the Start” approach to facilitate environmentally responsible offshore wind development along the Atlantic Outer Continental Shelf (OCS) by identifying wind energy areas in a coordinated, focused approach with extensive environmental analysis, public review and large-scale planning. “Delaware has remarkable offshore wind potential, and harnessing this clean, domestic energy resource will create jobs, increase our energy security and strengthen our nation’s economic competitiveness,” said Salazar. “The Administration has implemented a true all of the above approach to American energy, with renewable energy from sources like wind and solar doubling since the President took office, while at the same time domestic oil and gas production has increased each year, with domestic oil production currently higher than any time in almost a decade and domestic natural gas production at its highest level ever.” The lease grants NRG Bluewater Wind Delaware LLC the exclusive right to submit one or more plans to BOEM to conduct activities in support of wind energy development in the lease area. The company may submit a plan to conduct site assessment activities, such as the installation of a meteorological tower or meteorological buoy, as well as submit a construction and operations Plan (COP) to propose construction of the actual wind facility and cabling to shore. In its original project nomination, NRG Bluewater proposed a 450-MW project off the coast of Delaware, although ther project scope could change. The project’s path to completion, however, has been complicated by business factors. Late last year NRG cancelled the power purchase agreement with Delmarva Power for the project’s electricity. NRG decided not to continue with its offshore wind power business, which it acquired in 2008 with the purchase of Bluewater Wind, when financing for the project became an issue. Still, the lease will make the project all the more appealing to potential partners or buyers, said spokesperson David Gaier, as reported in Renewable Energy World.
|
AWEA News The AWEA Wind Energy Fall Symposium is famous for its casual and enjoyable atmosphere, one that is conducive to both engaging in high-level discussion and building relationships with leading members of the industry. So, with that in mind, here’s a little about this year’s location... The Sheraton Wild Horse Pass Resort & Spa was designed to be an authentic representation of the Gila River Indian Community's heritage and culture. The architecture, design, art and legends of the Pima and Maricopa tribes are celebrated in every detail imaginable, indoors and out. Once there, enjoy panoramic views, including the Sierra Estrella and South Mountain Ranges, the Gila River and two championship golf courses. You may even see the wild horses roaming across the desert. Experience a truly unique location with a multitude of on-site activities in a spectacular setting. Get more info. |
AWEA News Need skilled wind professionals? Find them on AWEA’s CareersinWind.com. Dedicated to connecting wind energy companies with experienced workers who want to advance the industry, CareersInWind.com is the only job board that directly supports and promotes the wind industry. Package: 30-Day Job Posting + Energy Job Board—this product bundle includes a single job posting on CareersInWind.com and secondary exposure for your job posting on 16+ energy partner sites. http://www.CareersInWind.com |
| Wind Energy Weekly is a publication of the American Wind Energy Association and a service to its Members. |  |
Upcoming AWEA Events: |
|
AWEA Wind Energy Fall Symposium AWEA Regional Wind Energy Summit - West AWEA Wind Project Operations, Maintenance & Reliability Seminar AWEA Wind Environmental Health & Safety Seminar AWEA Wind Power on Capitol Hill AWEA Regional Wind Energy Summit - Northwest AWEA Wind Project Siting Seminar AWEA WINDPOWER Conference & Exhibition
More information: |
| Executive Leadership |
|
Denise Bode Pam Poisson Rob Gramlich Stephen Miner Peter Kelley Lisa Wagner
|
| Primary AWEA Contacts |
|
AWEAconnect Conference - Program Conferences & Meetings Exhibits, Sponsorships & Marketing Legislative Affairs - Federal Legislation and Policy - State Labor, Health and Safety Membership - Core Member O&M Policy Analysis Regulatory Affairs Siting Strategic Policy Initiatives Utility Programs and Business Development Wind Energy Weekly / Publications |
 |
|
|
|
|
|
