The World's #1 Renewable Energy Network for News, Information, and Companies.

Cape Wind Finds Financing Partner, Enters Home Stretch

One of the final steps for the Cape Wind offshore wind project in Massachusetts is being made with the signing of Bank of Tokyo-Mitsubishi UFJ (BTMU) to arrange debt financing. BTMU itself is pitching in "a significant amount of debt capital" that will go toward development and construction costs. (Barclays will continue to advise Cape Wind, while the group and BTMU nail down the rest of the needed financing.)

"Obtaining financing is one of the last steps to complete before proceeding with the construction of the project," stated Jim Gordon, president of Cape Wind. Financing should be finalized, and construction commenced, by the end of this year. Interior secretary Ken Salazar recently expressed confidence that the project approvals will be upheld and the project will go forward.

Cape Wind is the first proposed offshore wind project in the U.S., and like most trailblazers has been an ongoing saga of promise, commitment, and controversy at nearly every turn. For every faction offering support, there has been equal pushback from opponents. There's even a documentary about it.

"We have been impressed with Cape Wind's dedication and perseverance in moving this clean energy project through the regulatory and development process, and are glad to be able to assist this financing," said Takaki Sakai, Project Finance Director of BTMU.

Cape Wind says it has secured all if its federal and state permits and a 25-year commercial lease from the U.S. Department of Interior. Nearly 78 percent of its power output is committed in 15-year power purchase agreements (PPA) with National Grid and NSTAR, the state's two largest electric utilities. A marina on Cape Cod will be purchased to house maintenance and operations.

Cape Wind is the first U.S. offshore wind project to be fully permitted, and to have been issued a commercial lease and received approval for its Construction and Operations Plan by the U.S. Department of Interior.

Cape Wind isn't the only offshore wind proposal in the U.S. The Mid-Atlantic region could be a major source of offshore wind-produced energy, with support from both New Jersey and Maryland. And North Carolina is receiving proposals for offshore wind projects too.

Lead image: Massachusetts state road map, via Shutterstock

RELATED ARTICLES

Renewable Energy Finance

Clean Energy ETFs Are on a Tear

Eric Balchunas, Bloomberg Green investing used to be synonymous with losing money. But while the S&P 500 Index is up 2 percent this year, and the MSCI All-Country World Index is up 5 percent, clean energy ETFs have double-digit re...

Wheels, Towers and Trees: Unconventional Renewable Energy Technologies in the Pipeline

Andrew Williams, International Correspondent A number of companies around the world are developing novel technologies in an effort to grab a slice of the global renewable energy market.  Although many of these technologies are simple incremental improvements to e...
UK Parliament Clean Energy Leaders

UK Government Names Clean Energy Cabinet Members

David Appleyard, Contributing Editor With the UK general election now over and a majority Conservative Party government in place, the re-elected Prime Minister David Cameron has now named key members of the government charged with steering the UK’s clean energ...
Microgrids

Coast to Coast and Across the Electric System, Microgrids Provide Benefits to All

Dick Munson, Environmental Defense Fund At the most obvious level, microgrids could disrupt today’s utilities and their regulated-monopoly business model, because they challenge the centralized paradigm. In a nutshell, microgrids are localized power grids that ha...
Jim is Contributing Editor for RenewableEnergyWorld.com, covering the solar and wind beats. He previously was associate editor for Solid State Technology and Photovoltaics World, and has covered semiconductor manufacturing and related industries, ...

CURRENT MAGAZINE ISSUE

03/01/2015
Volume 18, Issue 3
file

STAY CONNECTED

To register for our free
e-Newsletters, subscribe today:

SOCIAL ACTIVITY

Tweet the Editors! @megcichon @jennrunyon

FEATURED PARTNERS



EVENTS

Doing Business in Brazil – in partnership with GWEC, the Global Win...

Brazil is one of the most promising markets for wind energy.  Ranke...

Energy Storage USA 2015

Energy Storage USA is the leading conference in the United States focuse...

Wind Power Central America

Wind power projects are expected to reach 46GW of total installed capaci...

COMPANY BLOGS

SunEdison Expands Residential Market Offerings with New PPA, Sales ...

SunEdison has largely focussed on the commercial and utility-scale solar...

Deadline for Inclusion in Solar Power World's Top Solar Contractors...

UPDATE: The official deadline for the Solar Power World T...

Are You Ready for a Natural Disaster?

Guest post by Jenna Clarke  Living in the Shenandoah Valley of Virg...

NEWSLETTERS

Renewable Energy: Subscribe Now

Solar Energy: Subscribe Now

Wind Energy: Subscribe Now

Geothermal Energy: Subscribe Now

Bioenergy: Subscribe Now  

 

FEATURED PARTNERS