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Alliant's request to recover past investments in the Sixth Street Generating Station in Cedar Rapids was reduced by $3.1 million, and Alliant was denied a return on its investment for cost overrages at the Whispering Willow Wind Farm related to wind turbine purchases.
The 6,000-member Associated Industries of Massachusetts said in a statement yesterday that the Department of Public Utilities overstepped its powers and set a dangerous precedent for allowing utilities to negotiate agreements outside the competitive bidding process when it approved the deal last month.
AIM will argue in its appeal that approval of the National Grid/Cape Wind deal by the Department of Public Utilities (DPU) was "arbitrary, capricious," an "abuse of discretion and not otherwise in accordance with the law." AIM believes the agreement sets a dangerous precedent for allowing utilities to negotiate expensive power agreements outside of the competitive bidding process and to allocate the costs of those contracts unfairly to commercial and industrial customers.
The poor performance of some sectors aiming to slow climate change is pushing money managers to cast further afield for investments that both carry green credentials and are likely to post better returns. Some renewable-energy stocks, such as those in solar and wind industries, have fallen spectacularly in recent years, belying hopes that they were poised to break out.
Two parties have filed an appeal with the state Supreme Judicial Court of the decision approving the rate for half of the power from Cape Wind. The Associated Industries of Massachusetts and the TransCanada Corp. have filed the appeal of the state Department of Public Utilities' November decision, said DPU executive director Tim Shevlin.
From smart meters, to the Green Energy Act, to the Samsung subsidy, electricity bills are skyrocketing. When you add in the impact of the HST and other rate increases, the annual cost of electricity bills for Ontario families is set to increase by another $732 per year by 2015, according to the Canadian Manufacturers and Exporters. Premier McGuinty is running Ontario's hydro system in a way that is unsustainable.
Green energy is all the rage, and Ohio is jumping on the bandwagon with little regard for financial considerations. The proposed offshore wind turbine project in Lake Erie is an example of wasteful spending in the name of going green and creating jobs.
About $18 billion is needed for wind farm construction in Australia to meet government renewable energy targets. But weak electricity prices and a troubled subsidy scheme threaten to jeopardise returns on projects. ...Without subsidies, current electricity prices would need to triple to justify new wind capacity, which costs about $2.5 million per megawatt to build.
New Jersey's Division of Rate Counsel estimates that building 1,100 megawatts of offshore wind capability could cost $5.6 billion over the next 20 years and cost average ratepayers $5 to $8 surcharges on their monthly bills.
Last month, the State of Massachusetts approved the most expensive power purchase agreement in the country -- a 15-year contract negotiated between Cape Wind and National Grid to sell one-half the project's 468 megawatts at 18.7 cents per kilowatt hour.
As many as 1,700 green energy jobs in southwestern Ontario are to be announced this week, according to Queen's Park sources. The announcements are part of an energy policy blitz as the provincial Liberal government tries to take the offensive on the energy file.
Europe's energy consumers must pay 20 cents per kWh generated, plus an additional 5 cents per kWh for transmission costs. They must pay this regardless of whether they need the electricity at the moment, and despite the fact that a kWh of wind electricity is worth less than 3 cents on the Leipzig Power Exchange, due to the intermittent and highly variable nature of wind.
South Dakota's wind energy industry is confident that if given the right incentives, short-term production gains would be a boon for the state's economy, and in 15 years, the state could be producing 10 times as much energy from wind as it is today. ...Not everyone shares this optimistic view. "Your state is being used because it has land," was the blunt assessment of Lisa Linowes, executive director of the New Hampshire-based activist group Wind Action. Linowes said the wind industry's economic forecasts typically don't take into account higher utility rates or the unreliability of wind as a power source. That the industry has potential to expand is a testament to years of government preference, not merit, she said.
First Wind Holdings Inc., the operator of wind-energy projects backed by D.E. Shaw & Co. and Madison Dearborn Partners LLC, said it withdrew its initial public offering because of unfavorable market conditions. The company had already postponed an offering of 12 million Class A shares at $18 to $20 each last month.
Ontario unveiled a sweeping long-term power plan on Tuesday that throws the province's support squarely behind renewable energy, but also brought bad news for consumers who will see their electricity bills double by 2030.
Minnkota President and CEO Dave Loer said with a soft economy, there are few buyers. The company is buying energy at an average price of $.045 from wind developers and selling to the surplus energy market at about $.02, Loer said. "That translates for us into about a $20 million loss," Loer said.
"This decision will not only raise costs for our members, but also establishes a dangerous precedent of regulatory rubber-stamping of renewable energy contracts with absolutely no concern for the ratepayer," said Robert Rio, vice president at the Associated Industries of Massachusetts.
Minnkota Power Cooperative, which supplies electricity for a wide swath of eastern North Dakota and northwest Minnesota, has been delivering a jolt to its member rural electric cooperatives. A combination of factors involving the economics of wind power in Minnesota have led the power provider to tack on a surcharge adding almost 10 percent at the wholesale level.
BPA will also recover the costs of integrating rising amounts of wind power into the transmission grid through a separate wind integration charge paid by wind developers and purchasers. That rate will be determined through the same process of setting power rates.
The green campaign wastes scarce and precious technological and entrepreneurial resources indispensable to the nation's future. Now it is debauching America's most precious venture assets. It must be defeated, not appeased.