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County attorney tasked with negotiating contract for Fairfield wind project
December 14, 2007 by Rob Juteau in The Evening Times
December 14, 2007 by Rob Juteau in The Evening Times
“I’m not sure everyone knows what they are voting on,” Bono, District 11, said prior to the vote. ...information included guidelines for the contract negotiation, which include a proposal for a payment in lieu of taxes of $8,000 per megawatt, for a total of $640,000 on an 80 megawatt project. The information also said that the county would receive a one-time payment of $360,000 to $400,000 in its general fund for use on other projects such as the construction of a new county correctional facility.
“One of my main concerns is how can I justify an 85 percent tax break for this company and not for anyone else,” Bono said. “We want to attract businesses to Herkimer County, but we cannot give 85 percent tax breaks to everyone. We need to continue to work with the numbers.”
Also filed under [
Tax Breaks & Subsidies|
New York]
Wind farms face obstacles; Despite high taxes, companies still pursuing wind energy in Illinois
December 14, 2007 by Matt Buedel in Journal Star
December 14, 2007 by Matt Buedel in Journal Star
If wind farm developers looked only at the bottom line, Illinois likely would be one of the last places they'd try to erect hundreds of wind harnessing turbines.
Property tax rates are among the highest in the region. The permitting process varies from county to county, and roughly half of the petitions put forth so far have resulted in litigation with opposition groups. The strength and steadiness of the breeze is good but better elsewhere. ..."There's a tremendous wind resource, a tremendous renewable energy standard. . . . It's kind of a perfect storm right now," Link said. "(Illinois) truly is going to be a leading state when it comes to wind energy capacity."
Cost of wind power could fall; Favorable report comes out days ahead of critical vote
December 14, 2007 by Aaron Nathans in The News Journal
December 14, 2007 by Aaron Nathans in The News Journal
The cost of offshore wind power could be cut in half if all Delmarva Power customers were required to participate, a state consultant said in a report issued Thursday.
The report, which was mostly favorable toward the offshore wind project, could give Bluewater Wind momentum going into Tuesday's decisive meeting in Dover. And it could give a basis for the Public Service Commission to spread out the costs.
The PSC will join three other state agencies to decide whether to direct Delmarva to sign a 25-year deal with Bluewater in an effort to stabilize prices and curb emissions. ...Onshore wind farms offer prices 24 percent to 36 percent lower than Bluewater's project, he said. Delmarva contends the savings would be about 45 percent.
But he included a pointed caveat: As onshore wind developers build, they will use up the good sites. Developers will eventually focus on less windy sites, resulting in higher costs. When that happens, there will be a move to build offshore, he said.
Michigan’s first commercial wind farm –a collection of 32 towering turbines that conjure visions of H. G. Wells’ “The War of the Worlds”—is scheduled to begin operating in a few weeks, spurring for some a near-gold rush mentality in this sparsely populated area.
Thousands of dollars in a guaranteed annual harvest comes with each windmill placed on a farmer’s land, and that lure has gone a long way toward interrupting the horizontal sameness of vast corn and bean fields.
“I can’t wait ‘til they get going,” said Bob Webber, who turned over easement rights to a portion of his property in Huron County for a proposed second wind farm, with 42 turbines. ...The support, however, is not unanimous. In the northernmost part of the county, along the shoreline of Lake Huron, critics have raised objections about the windmill’s potential impact on birds and property values. This is a lake resort area, popular in the summertime. It’s an eagle nesting site and part of the migratory path of thousands of tundra swans.
“Our township is unique because it is resort and agricultural,” said Louis Colletta, the planning commission chairman for Lake Township.
The township last month rejected DTE’s request to set up testing towers to measure the speed and consistency of the wind.
Offshore wind farms cost significantly more to build and maintain than their onshore equivalent. And because they involve new and untested technology they also suffer from "first of a kind" costs. But the industry is confident that those costs will fall over time.
It is difficult to compare the cost of electricity obtained from a wind farm rather than a conventional energy source like gas. This is because it involves assumptions about future construction costs, the cost of carbon emissions, and the cost of gas.
However, right now offshore wind farms are significantly more expensive than thermal generation and require a government subsidy to make them economic.
Westar is seeking the rate approval to recover $282 million for ownership of turbines at two proposed wind farms and for costs in purchasing energy from a third farm. The 300 megawatts of electricity would come from the Central Plains Wind Farm in Wichita County; Meridian Way Wind Farm in Cloud County and Flat Ridge Wind Farm in Barber County. ...Westar expects energy demand to continue growing among customers and while new wind energy can put off purchase of new "baseload" or constant power sources, for now, the utility expects it will need to build a new power plant between 2016 and 2018. ...Moore told commissioners Westar would walk away from the wind projects if they weren't allowed to earn at least a small profit from them.
Investment banks seek fees and returns from renewable energy sector
December 3, 2007 by Heidi Moore in Financial News
December 3, 2007 by Heidi Moore in Financial News
...global investment bank Lehman Brothers agreed to advise and finance the $700m Cape Wind project, the US’s first offshore wind farm located near Nantucket Island and a landmark cause for many environmentalists.
This March, Goldman Sachs sold its investment – redubbed Horizon Wind Energy – to Portugal’s largest utility, EDP, for more than $2.1bn, making a profit of $900m. But Lehman Brothers’ project, despite early state-level approvals, has been stuck in bureaucratic purgatory from which it is unlikely to emerge soon.
The problem: Nantucket’s millionaire residents oppose the wind farm, which they claim would ruin their ocean views.
The contrast between the outcome of the Zilkha investment and the Cape Wind project illustrates the unpredictability of the clean technology sector. “There is no doubt in my mind that renewable energy is like other tech start-ups, where some will succeed and many will not.”
Paterson said although alternative energies would undoubtedly become very important in years to come, there was "little clarity" in the sector at the moment. Many fundamental questions remain about how to best capture and transmit energy from natural sources, making it difficult to assess the potential effectiveness of new innovations.
However, Paterson said the biggest barrier was the fact that the sector is heavily regulated and influenced by government.
Much of the current interest in alternative energies is being driven by strong support from Europe, the UK and the Scottish Government.
"But from an investor's point of view, we have got to think about the long term," Paterson said. "What happens if the government changes, or priorities shift?"
... Westar's proposal [is] to add 300 megawatts of wind energy -- about enough to power 90,000 homes -- at a cost of $830 million over the next 20 years.
The Kansas Corporation Commission is expected to rule by year's end on how to allow Westar to recover the cost.
If approved, Westar's plan would add about $2.25 a month to the average customer's bill. ..."Something tells me there are going to be cost overruns and the capacity they're expecting won't be there and we'll get stuck with the bill,"
Delmarva Power's overall estimate of wind power deal was incorrect
November 28, 2007 by William R. Yingling, Delmarva Power in Delaware Online
November 28, 2007 by William R. Yingling, Delmarva Power in Delaware Online
Delmarva Power recently discussed in the media an estimated figure of more than $20 billion in relation to the cost of a proposed offshore wind farm and backup power generation facility in Delaware (The News Journal Sunday Perspective, Nov. 18). ...Correctly stated, this figure represents the potential total cost of power supply for all Delmarva Power standard offer service in Delaware for 25 years -- rather than the total cost to customers for just the wind farm and a backup provider.
NEW DEAL: Ottawa, Invenergy split difference on zone pact
November 28, 2007 by Charles Stanley in The Times
November 28, 2007 by Charles Stanley in The Times
The Ottawa City Council and Invenergy, developer of the Grand Ridge wind farm, have split the difference concerning the fee the city will receive as administrator of the enterprise zone being expanded for Invenergy's estimated $5.2 million benefit. ...The benefit to Invenergy would be an estimated $7.5 million exemption to state sales tax on project construction materials.
The new deal gives the city an estimated minimum of $375,000 more than proposed in an agreement placed on file last Wednesday.
Originally, Ottawa stood to benefit from a fee equivalent of up to 20 percent of the sales tax savings. But that was with the understanding the Ottawa Fire Department was to be the "first responder" to calls at wind farm construction sites -- which would mean ones in other fire agency jurisdictions. Under the revised agreement, Ottawa's share was to drop to 10 percent with the other 10 percent to be divided up among fire protection agencies in the expanded enterprise zone area.
Also filed under [
Tax Breaks & Subsidies|
Illinois]
Winds of change blow into Roscoe, Texas
November 27, 2007 by John Burnett in NPR: All things considered
November 27, 2007 by John Burnett in NPR: All things considered
There's a new sound out on the green grid of cotton fields that make up what West Texans affectionately call the "Big Country." Joining the hum of a seemingly ever-present wind is the rhythmic whoosh of spinning carbon-fiber blades on dozens of huge wind turbines. ...Climate change experts say projects like the Roscoe wind farm could be essential to slowing climate change. They note the electricity generated by an 800-megawatt wind farm is essentially pollution-free. But people here aren't spending a lot of time thinking about how they're saving the planet. In fact, a lot of them are dubious of the whole concept of global warming. ...Out here, the excitement over the wind farm is all about another kind of green [money].
WPSC joins several other utilities that have already sought rate hikes to recover costs for anticipated increases in fuel prices. They include Wisconsin Power and Light, We Energies, WI Gas and Northern States Power.
The greatest increase is being sought by We Energies, which is asking for electric rate hikes of about 7.5 percent for 2008 and 7.5 percent for 2009.
The company says the money is needed to help pay for its investments in the Blue Sky Green Field wind project in eastern Wisconsin, significant air quality control equipment at the company's existing power plants, new electric generating units at Port Washington and Oak Creek, and construction of transmission upgrades and additions by the American Transmission Co.
Its giant windmills remain still, but Smoky Hills Wind Farm already is generating economic activity in north-central Kansas.
Between 200 and 250 workers are constructing the facility -- building roads, erecting turbines and assembling electrical systems that will collect and distribute the 100 megawatts of power that will be generated -- and about two-thirds of them have been hired locally.
One of Northumberland's longest-serving councillors has given his evidence to the Middlemoor inquiry, after years of being 'gagged' by local government rules.
Political heavyweight John Taylor, who is county member for Longhoughton division and district representative for Hedgeley Ward of Alnwick District Council, was finally able to break his silence on Friday afternoon on the plans for 18 turbines near South Charlton.
He said: ..."This is the first time that I have been able to comment from a personal point of view on the matter.
"As I have said previously, I have lived and worked in Northumberland for most of my life and I feel very strongly that these proposals will have the most detrimental effect on the landscape.
Investor: Carbon dioxide regulation will mean more coal
November 19, 2007 by Martin LaMonica in C-net News
November 19, 2007 by Martin LaMonica in C-net News
After two years of studying the economic impact of climate change, asset management firm AllianceBernstein has come to a seemingly paradoxical conclusion: one of the dirtiest fuels around--coal--has a bright future.
Its findings, released Friday, are one of several reports issued by investment firms over the past two years which explore how industries can benefit or be harmed by climate change.
Also filed under [
Energy Policy|
USA]
No action taken on wind farm reinvestment zone
November 16, 2007 by Marilyn Powers in The Pampa News
November 16, 2007 by Marilyn Powers in The Pampa News
No action was taken by Gray County commissioners Thursday morning to establish a reinvestment zone concerning a proposed wind farm by T. Boone Pickens, a Roberts County rancher and Dallas businessman. ...A reinvestment zone, once called an enterprise zone, is an area in which businesses could apply for potential tax abatements if they establish a facility within the zone ...The wind farm is expected to consist of approximately 1,400 generators spread over 300,000 acres in areas of Gray, Hemphill, Roberts and Wheeler counties, with most of the units in Gray and Roberts counties.
Also filed under [
Tax Breaks & Subsidies|
Texas]
DELMARVA: Utility files independent report on proposed Bluewater wind project
November 9, 2007 in The Daily Times
November 9, 2007 in The Daily Times
Delmarva Power officials, saying a proposed 450-megawatt wind farm could cost utility customers more than $20 a month, forwarded an independent analysis of the project to the Delaware Public Service Commission. ...Delmarva Power commissioned Pace Global to conduct the study because, "when you're asking to spend more than $20 billion of our customers' money on one project, we believe it merits a second opinion," said utility President Gary Stockbridge.
It's not easy being green: City council reconsiders renewable energy fee
November 6, 2007 by Lindsay Whitehurst in The Daily Times
November 6, 2007 by Lindsay Whitehurst in The Daily Times
It's round two for green power in Farmington today, with utility customers attending another City Council work session to protest a recommended $40 renewable energy fee.
"A bunch of us are going to turn up again," said Mike Eisenfeld, New Mexico staff organizer for the San Juan Citizen's Alliance. "I think the city needs to do the right thing and shuck the recommended policy." ..."All I can do is present the information and they will make a decision."
"Customers who choose to utilize renewable energy should do so because they believe it is the right' thing to do, but should also understand that these options are more expensive than traditional carbon-based resources," the report reads.
The Norwegian fish industry fiercely fights goverment plans to build windmill parks at sea. The windmills will hinder fishing and shipping, a fish industry association argues.
In its annual conference this weekend, the Norwegian Fishery Association unanimously supported a proposal to fight the development of windmill parks at sea.
Also filed under [
Impact on Wildlife|
Europe]
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