World Wind Watch | Green Energy News

August 8, 2004 – Vol.9 No.20

WORLD WIND WATCH.

Slowly, with some pain, the wind energy industry is adapting to life in the U.S. without the federal production tax credit (PTC).

The PTC was designed by Congress to make help make wind generated electricity competitive with other cheaper forms of power generation such as coal or natural gas. The PTC, when in force, provides a tax break on a per kilowatt hour basis for wind generated electricity. The turbines eligible for the credit have to be installed during a period in which the PTC is in effect. It isn’t right now.

Vestas, though downgrading its income projections for 2004 year by 6 -7 percent because the PTC has not been renewed (and is unlikely to be before 2005), has also said than only 150 megawatts of new capacity in the U.S. are on hold waiting for the PTC to pass in Congress.

This is good. Maybe it’s time the wind energy industry moved forward in the U.S. without the crutch of the PTC. Higher costs of fossil fuel derived energy, state renewable energy mandates and more efficient turbines are all making wind energy appealing.

Vesta’s said that it has received orders for 33, NM82 - 1.65 megawatt turbines to be used in the Crescent Ridge Wind Farm located near Princeton, Illinois. The project will be built this year - PTC or not.

Vestas also announced orders for 30, V80 1.8 megawatt turbines for the Miller Mountain wind project to be built this year in Murdochville Quebec. Visit Vestas at http://www.vestas.com/

Still some wind developers are waiting for a revival of the PTC. The Colorado Public Utilities Commission (CPUC) has approved a proposal by Xcel Energy that could triple the company's wind power capacity in Colorado by 2007.

Xcel would acquire up to 500 megawatts (MW) of renewable energy mostly wind, through an early competitive bidding process. Xcel hopes that the PTC will be approved so the power purchase process, as well as construction of any new capacity, can proceed. Visit Excel at http://www.xcelenergy.com/

When wind turbine manufacturers aren’t supplying turbines to major new projects they keep busy supplying more powerful turbines to existing facilities.

Gamesa is reporting that it has received orders for 4, G52-850 kilowatt and 6, G58 - 850 kilowatt turbines for the Fuerstenau wind farm in Ostwestfalen, Germany. Also on their way to Germany are 3, G80-2.0 megawatt turbines for an existing wind farm in Landkresis Holzminden.

Additionally the company will be supplying 2, G80 -2.0 megawatt and 2 G52-850 kilowatt turbines to a project in Portugal. Visit Gamesa at http://www.gamesa.es/ .