Library filed under Impact on Economy
BBC Research & Consulting's 2005 report for the National Wind Coordinating Committee that studies 9 wind plant sitings in an effort to identify circumstances that distinguish welcomed projects from projects that were not accepted by communities.
Glenn Schleede examines the financial incentives available to owners of industrial wind energy and how taxpayers and utility customers are picking up the tab.
We cannot lose sight of Vermont's distinctive place in the world with its open spaces and gorgeous vistas. It is up to us to continue the legacy. Real jobs, real lives depend on it.
Everyone probably agrees with the fundamental goal of the legislation -- to protect Vermont's fragile environment by increasing the use of clean energy. But before lawmakers rush into mandates, they must ensure the measure doesn't inadvertently harm the economy or the landscape.
This page [author's website] is dedicated to economic information that applies to wind-power projects anywhere in the United States and specifically applies to the Highland New Wind Development project proposed for the northwestern corner of Highland County, VA. Let me say right up front that I am not an economist or tax accountant. I will try to compile factual information on the economics of wind power along with the opinions of recognized experts in this field. Editor's Note: This provides a good overview of the production tax credit, capacity factor, renewable portfolio standards, renewable energy certificates. and accelerated depreciation. Readers are encouraged to visit the author's site via the link below for the most current version, e.g. the author is planning to update the production tax credit information to the current prevailing rate of 1.9 cents per kWh.
The Beacon Hill Institute at Suffolk University has studied the Cape Wind proposal in considerable detail, and offers the following comments on the Draft Environmental Impact Statement (DEIS) Reference file no. NAE-2004-338-1: 1. A systematic cost-benefit analysis – missing from the DEIS – shows that, with 90% confidence, the costs of the project outweigh the benefits by between $83 million and $333 million, with a mean measure of net cost of $209 million (equivalent to 2.0 cents/kWh produced). 2. The DEIS conclusion of “no adverse impacts to tourism and recreation” is not supported by the data. 3. The DEIS conclusion that the project would not adversely affect property values is based on a flawed study, ignores other research, and is untenable. 4. The DEIS estimates of the value of health improvements are greatly exaggerated (at $53 million annually). Our own estimates show health improvements of $7 million, and even this may be overstated.
The Beacon Hill Institute at Suffolk University has studied the Cape Wind proposal in considerable detail, and offers the following comments on the Draft Environmental Impact Statement (DEIS) Reference file no. NAE-2004-338-
Concept for a step-by-step extension of the transmission grid in Germany for the connection and integration of wind turbines onshore and offshore taking into account the production and power station developments and the necessary regulating and reserve power. Introduction: A reasonably priced and reliable electricity supply is an important location factor for the development of an economy. Against this background, it is necessary to investigate the demands placed on the entire system for the generation and transmission of electrical energy, which in future must again be optimised for the integration of the inevitably increasing amount of electricity generated from wind energy. The economic effects resulting from this must also be determined. Maintaining the current level of reliability of supply must be included here as an important boundary condition....
Manhattan (Kansas) benefits greatly from the scenic and intrinsic values of Flint Hills ranching landscapes and the from the stewardship of ranch landowners who struggle to preserve a way of life in the Flint Hills in Riley County and the two adjacent counties to the south and southeast.
"In summary, there are serious problems with the draft Programmatic Environmental Impact statement (PEIS). The comments that follow are focused primarily on the portions of the draft that deal with the economics of wind energy development. The data and conclusions reflected in those parts of the draft are invalid because:.."
So, before we proclaim victory against our profligate use of fossil fuels in the last 50 years, politicians and environmental groups might ponder the huge costs in dollars and environmental damage before 20-storey windmills festoon our coastlines, our sea lanes and our beautiful Quebec hills.
Scientists compare the environmental importance of the tallgrass prairie to that of the rainforest. Its roots act as a carbon sink, cleansing the air of pollution. Its plants and limestone soils purify rainwater. Per acre, it provides more environmental benefits than any other ecosystem in North America.
There is less than 4% of native tallgrass prairie left in North America, and two-thirds of it is right here. Once you have experienced the spaciousness and exceptional beauty of open native grasslands, you know there is nothing in the world quite like it. These native grasslands are truly a national as well as a Kansas treasure.
Written by Douglas Giuffre, Jonathan Haughton, David Tuerck and John Barrett, this report analyses in economic terms the costs and benefits of a proposed 130 turbine wind plant in Nantucket Sound. It concludes that the economic costs substantially exceed the associated economic gains. This is a follow-up study to one published by Beacon Hill in October 2003 entitled "Blowing in the Wind: Offshore Wind and the Cape Cod Economy"
Researched and written by Eleanor Tillinghast of Green Berkshires Inc. this is a comprehensive study of the probable impact of industrial wind plants on the rural character, quality-of-life and economy of the Berkshires in western Massachusetts. Specific issues addressed include visual aesthetics, tourism, property values, public roads and public safety.
Author Glenn Schleede addresses the shortcomings of a model developed by NREL (a 'laboratory' of the DOE)that purports to permit the calculation of the state or local economic impact from the building of a potential wind farm. The model, known as "Jobs and Economic Development Impact" (JEDI), allows the user to employ various default assumptions or to change these assumptions to fit a particular wind project. Schleede contends that (1)use of the default assumptions will provide unrealistically high benefits and (2) key factors that offset benefits are not reflected in the model. To illustrate the model's deficiencies, Schleede applies it as well as more realistic assumptions to a proposed project in Highland County, Virginia.
Topics addressed: (1)uncertainly over future natural gas prices (2)the value of long-term fixed-price contracts for renewable energy (3)what impact do renewables have on gas prices? (4)what impact do high gas prices have on renewables?
Government agencies and the wind industry have successfully portrayed wind-generated electricity as "green" and as a price-competitive, potentially significant alternative source of power which could reduce dependence on 'dirty' fuels. While wind generated electricity may make sense in some circumstances, industry and government claims for its widespread use are not currently supported by sound science or economic analysis of costs v. benefits.
This document [DEIS] has not provided any demonstrable public need for the insignificant amount of power this facility is capable of producing. No valid, compelling local (or even statewide) economic reasons were offered to potentially offset the overwhelming negative impacts that will result if built. This DEIS is abundant in quantity, but extremely lacking in quality of scientific analysis and entirely deficient in analysis in certain areas. Various mitigations offered are unacceptable or unworkable. The following are areas of analysis that were either deficient or not performed at all:............