Shattering all of its previous records, the U.S. wind energy industry installed 5,244 MW in 2007, expanding the nation’s total wind power generating capacity by 45% in a single calendar year and injecting an investment of over $9 billion into the economy, AWEA announced January 17.

The new wind projects account for about 30% of the entire new power-producing capacity added nationally in 2007 and will power the equivalent of 1.5 million American households annually while strengthening U.S. energy supply with clean, homegrown electric power, the trade group said.

“This is the third consecutive year of record-setting growth, establishing wind power as one of the largest sources of new electricity supply for the country,” said AWEA Executive Director Randall Swisher. ”This remarkable and accelerating growth is driven by strong demand, favorable economics, and a period of welcome relief from the on-again, off-again, boom-and-bust, cycle of the federal production tax credit (PTC) for wind power.”

But, warned Swisher, “[T]he PTC and tax incentives for other renewable energy sources are now in danger of lapsing at the end of this year—and at the worst moment for the U.S economy. The U.S. wind industry calls on Congress and the President to quickly extend the PTC—the only existing U.S. incentive for wind power—in order to sustain this remarkable growth along with the manufacturing jobs, fresh economic opportunities, and reduction of global-warming pollution that it provides.”

The U.S. wind power fleet now numbers 16,818 MW and spans 34 states. American wind farms will generate an estimated 48 billion kWh of wind energy in 2008, just over 1% of U.S. electricity supply, powering the equivalent of over 4.5 million homes. AWEA noted that wind power installed thus far:

• Helps protect consumers from increases in electricity costs due to volatile fuel prices and supply disruptions :  by reducing the use of natural gas and other fuels used for electricity generation, and lowering the pressure on their price, wind can save consumers money, even in regions with low or no wind resources.

• Reduces global warming emissions : to generate the same amount of electricity using the average U.S. power plant fuel mix would cause over 28 million tons of carbon dioxide to be emitted annually, equivalent to taking more than 4.8 million cars off the road.

• Conserves precious water resources : wind farms don’t need water for steam or for cooling, a benefit that is increasingly valuable in arid areas and in times of drought.

Wind power’s strong performance is expected to continue this year, with AWEA’s initial estimates indicating that 2008 could equal 2007 in new capacity installed. Developers report that with strong demand for wind energy across the country, wind turbines are sold out for the year. However, AWEA projects that with more companies entering the market, more turbines will become available. The pace of growth in 2008 and beyond is expected to largely depend, not on turbine availability, but on the timing and duration of an extension of the federal production tax credit, AWEA said.

The numbers are part of AWEA’s 2007 industry market report. Highlights of the report include:

Red-hot fourth quarter. Installations in the last quarter of 2007 alone (2,930 MW) surpassed the amount installed in all of 2006 (2,454 MW).

Lone Star State still leads. Texas consolidated its lead among states in capacity; wind power also expanded at a strong pace in the Midwest and Northwest. The states with the most cumulative wind power capacity installed are Texas (4,356 MW), California (2,439 MW), Minnesota (1,299 MW), Iowa (1,273 MW), and Washington (1,163 MW).

Investment flowing into the supply chain. At least 14 new manufacturing facilities opened or were announced in 2007, according to initial AWEA estimates. Companies are opening new manufacturing plants and expanding existing ones, creating new jobs and business opportunities across the country, even in states that do not have a large wind resource.

GE, FPL Energy top lists. GE Energy continued to lead in wind turbine sales, with 45% of the market in terms of new capacity installed. FPL Energy remained atop the list of wind project developers, with 956 MW of new development in 2007 alone.

The full annual report is available on the AWEA Web site at www.awea.org/Market_Report_Jan08.pdf , and a state-by-state listing of existing and proposed wind energy projects is available at http://www.awea.org/projects.

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Babcock & Brown announced it has acquired seven wind energy projects under various stages of development in the Midwest from Gamesa Energy USA, LLC, and Gamesa subsidiary Navitas Energy, Inc.

The seven projects, totaling more than 750 MW, are located across five states, including three in Illinois (Woodford and Stephenson counties). The other four projects are located in Manitowoc, Wisconsin; Brookings, S.D.; Pocahontas, Iowa; and Logan, Ohio. The Logan project was acquired from Gamesa, while the remaining six projects were acquired from Navitas.

“These future wind farms are ideal additions to Babcock & Brown's near-term development pipeline because they are located in markets in which we are focused, and they are also located near areas where we have existing wind farms,” said Hunter Armistead, head of Babcock & Brown's North American Energy Development Group. “We look forward to developing these projects and bringing them online in the near future, further adding to the production of clean and renewable wind energy in the Midwest.”

None of the projects sold to Babcock & Brown include Gamesa turbines, said Gamesa spokesperson Michael Peck. Speaking to Wind Energy Weekly, Peck explained that the company continues to pursue both a “build and sell” or—more specifically—a “manufacture, erect, and sell” approach, under which turbines are part of project sales, and a “develop and sell” approach employed in this latest Babcock & Brown deal, in which turbines are not a part of the sale.

“Certainly, our mid- and long-term strategies include selling fully developed and fully constructed projects with Gamesa turbines,” said Peck. “Gamesa Energy USA, as a fully competitive developer, is always prepared to sell projects independent of turbines depending on the current market environment at time of potential sale.”

Australian concern Babcock & Brown currently operates 20 U.S. wind farms across nine states, totaling more than 1,500 MW of installed capacity, and has more than 18 additional wind farms under development across the country. In the Midwest, Babcock & Brown owns operational wind farms in Illinois’s Lee and Bureau counties.

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GE Energy Financial Services (GEFS) announced a $300 million investment in Horizon Wind Energy, LLC, projects that span four states, a deal that GEFS said is its single largest to date. In addition, deciding to pump more capital into its “fast-growing business,” GEFS used the occasion to announce it has raised its 2010 renewable energy investment target by 50% to $6 billion.

The target represents a major acceleration in investment, up from the previously announced $4 billion by 2010. The deal with Horizon caused GEFS to top $3 billion in current renewable energy investments. As for the Horizon deal, GEFS is investing equity in the developer’s 600-MW portfolio of wind farms in Oregon, Minnesota, Illinois, and Texas.

“Thanks to our strong customer relationships, our expertise, GE’s technical capabilities, high fossil-fuel prices, and popular support for cleaner power, renewable energy has become our fastest-growing business,” said GEFS President and CEO Alex Urquhart. “With our broad capabilities to invest equity and debt within and outside the United States—not only in wind but in solar, biomass, hydro and geothermal power—we have become a major player in a $60 billion annual renewable energy market.”

GEFS closed more than $2 billion of renewable energy transactions last year, and by 2010 expects such transactions will grow to 20%-25% of its overall energy and water portfolio, up from about 10% in 2006. Wind energy is GEFS’s most active renewable energy investing area. With the Horizon transaction, the firm has invested or committed to invest equity in 85 wind farms and increased the total capacity of its global wind equity holdings to more than 3,600 MW.

The Horizon portfolio consists of Elkhorn Valley (101 MW), in Union County, Ore.; High Prairie II (101 MW) in Mower County, Minn.; Lone Star II (200 MW) in Shackelford County, Texas; and Twin Groves II (198 MW) in eastern McLean County, Ill.

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With the state’s governor and other dignitaries joining the celebration in West Branch, Iowa, developer and turbine manufacturer Acciona marked the opening of its first U.S. wind turbine production plant on January 17.

The $23 million project was constructed in seven months. The plant will provide more than 100 new jobs and will produce 200 wind turbines in 2008, with plans to increase to 400 turbines per year in the future. The facility will supply turbines primarily for Acciona Energy wind farms throughout North America and will utilize proprietary technology from its wind turbine manufacturing subsidiary, Acciona Windpower, to produce its AWP 1.5-77 models.

Joining company executives and guests for the facility’s official dedication were Iowa Governor Chet Culver (D), West Branch Mayor Sandy Hatfield, and University of Iowa President Sally Mason. Senior executives from Acciona’s management team in Spain joined the festivities to commemorate the company milestone.

Acciona also announced a $15,000 gift to the city of West Branch in recognition of its support for the project. The money will go toward the city’s downtown enhancement effort. The Acciona project was aided by the Iowa Department of Economic Development, City of West Branch, Iowa City Area Development Group, and Cedar County Economic Development Commission.

Acciona’s West Branch plant will increase the company’s total production capacity to 2,280 MW a year.

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While wind power developers and turbine manufacturers have been enjoying a strong and sustained up-tick in installations and other statistics closely watched by the entire industry, the somewhat lower-profile businesses that actually get the facilities built are reaching their own benchmarks as well. For one, wind power construction contractor Mortenson Construction recently celebrated the completion of its 50 th wind power project.

Fittingly, the company, which is headquartered in Minneapolis, Minn., reached the milestone by completing the 205-MW Fenton Wind Farm, located in its own backyard in Chandler, Minn.

According to Mortenson, in the last decade, the company has constructed 34% of the wind energy capacity in the U.S. The company has 225 full-time staff, along with 500-700 craft workers, working exclusively on wind projects.

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Renewable Energy Systems Americas, Inc. (RES Americas) announced on January 16 the start of construction on its $350 million Hackberry Wind Project in Abilene, Texas.

The 165-MW facility will produce clean, sustainable, wind energy to be used by residents of the City of Austin and surrounding communities. The project, targeted for completion in December, will be built, owned, and operated by RES Americas through its wholly owned affiliate Hackberry Wind, LLC.

“RES Americas looks forward to creating a sustainable energy future for Texas. We aim to be a responsible contributor in both the wind community and the communities that we operate in,” said Craig Mataczynski, president of RES Americas. “RES Americas has been involved in West Texas wind projects since the first sites were developed in the McCamey area and expects be involved in the Texas wind industry as long as the wind keeps blowing.”

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Maine 's Land Use Regulation Commission (LURC) voted unanimously to direct its staff to prepare a decision document approving the zoning change and preliminary development plan sought by TransCanada Corp. for the 132-MW Kibby Wind Power Project in Kibby and Skinner Townships in Franklin County, located in the northwestern part of the state.

TransCanada presented its testimony to LURC in October based on two years of studying the environmental and engineering characteristics of the project and communicating with local communities, state agencies, and stakeholders, the company said. “We are very pleased that LURC recognizes the benefits of this project,” said Hal Kvisle, TransCanada president and chief executive officer. “Our team put a lot of effort into site selection, environmental review, and working with the community and stakeholders to minimize any potential adverse impacts.”

The Kibby Wind Power Project would support Maine's twin goals of energy independence and greenhouse gas reduction, while helping to stabilize regional electricity costs, TransCanada noted. The completed project would also contribute to Franklin County's economic development and would be a significant contributor to nearby communities.

TransCanada said it looks forward to the final zoning change and project approval and expects to commission the project in the 2009-2010 timeframe. Before construction can proceed, other approvals are required, including one from the U.S. Army Corps of Engineers as well as the final design permit from LURC.

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WINDPOWER 2008 – EXHIBITION Pricing Increases After February 1st

With wind power development expanding, and with new participants entering the wind development business, this workshop will look at various ways wind power projects affect - and don't affect - elements of the human and natural environment. This regionally-focused program will include presentations on emerging issues of project siting, such as bat interactions and wildlife research, wildlife survey techniques, radar concerns, and updates on siting processes.

Program Co-Chairs:
Rene Braud, Manager Environmental Affairs, BP Alternative Energy North America, Inc.
Mike Sloan, Managing Consultant, The Wind Coalition

Workshop Speakers:

Gary Andrews, General Manager, DeTect Inc.
Ed Arnett, Conservation Scientist, Bat Conservation International
Abby Arnold, Vice President, RESOLVE
Geoff Blackman, Senior Engineer, Regulus Group LLC
Kathy Boydston, Manager, Texas Parks and Wildlife Department
Jay Caspary, Director, Engineering, Southwest Power Pool
Ben Cowan , Partner, Locke Lord Bissell & Liddell LLP
Trey Cox, Attorney, Lynn Tillotson & Pinker, LLP
Tim Crum, National Oceanic and Atmospheric Administration (NOAA)
Wally Erickson, Senior Scientist, Western EcoSystems Technology, Inc. (WEST)
Bill Van Houton, U.S. Department of Defense
Carolyn Kaplan, Counsel, Co-Chair Renewable Energy Team, Nixon Peabody LLP
Karl Kosciuch, Ecologist, Tetra Tech EC Inc.
David Langford, Vice President Emeritus, Texas Wildlife Association
Jerry Patterson, General Land Office (invited)
Warren Lasher, Regional Planning, ERCOT
Phil Ponebshek, Environmental Resources Management (ERM)
Jay Pruett, The Nature Conservancy
Brett Sandercock, Kansas State University
Dale Strickland, President, WEST
Crissy Sutter, Director of Ecological Services, Pandion Systems, Inc.
Jim Walker, Vice Chairman of the Board, enXco
Stu Webster, Manager, Permitting, Clipper Windpower Development Company, Inc.
Janette Whitehead, BP Alternative Energy North America Inc.
Patrick Woodson, Airtricity
Greg Wortham, Mayor of Sweetwater, Texas

Sponsorship and Exhibition Opportunities  A limited number of exhibition spots are available at this workshop.  Reach your target audience for high quality interaction with leading wind professionals in the field. Contact Lori Rugh at lrugh@awea.org or (661) 821-2149 for more exhibition information.

Early Registration Deadline - January 23rd Act now and save $50 on registration! You can register today at http://www.awea.org/events/projectsiting08/registration.html

Housing Deadline - January 22nd Book your hotel room at the Austin Hilton at http://www.hilton.com/en/hi/groups/personalized/AUSCVHH-AWE-20080212/index.jhtml for the AWEA discounted rate of $169 plus applicable taxes or call (800) 236-1592 and indicate you are with the American Wind Energy Association.
 
A limited number of discounted hotel rooms have been arranged for workshop attendees.  The discounted rate will be offered while availability remains up to Tuesday, January 22.  Once the discounted rooms are sold out, or after January 22 (whichever comes first), the hotel may charge a higher rate for any remaining room inventory.

Registration - Contact Marissa Bundy at mbundy@awea.org or (202) 383-2512.

Program Content - Contact Monica Wolfe, at mwolfe@awea.org or (202) 383-2542.

Additional Information - For more information, including detailed program content, registration costs, online registration, and hotel information, visit http://www.awea.org/events/projectsiting08/