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Regional Wind Energy Conference Garners Great Interest

By Kathleen Davis, Senior Editor, UAET&D and ELP
June 30, 2009   |   7 Comments

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"At $2 million per megawatt, Oklahoma is a $100 billion opportunity. Clearly, wind is worth the fuss."

-- Tom Hiester, Vice President, Acciona Energy
7 Reader Comments
Comment
1 of 7
July 1, 2009
The US wind industry is hot alright - utility-scale wind accounts for 97% of new renewable electricity capacity. But that isn't due to low costs or reliable generation - but rather mandates and subsidies. Most nations are using a far more diverse range of renewables, including solar, biomass, geothermal and hydroelectric. The question is the US mandating mostly only wind? I believe the wind industry has negotiated an alliance with the utility monopolies to build only wind.
Comment
2 of 7
July 1, 2009
I thought that wind turbines are the low cost alternative to fossil fuels and don't receive large subsidies.
Comment
3 of 7
July 1, 2009
I thought that wind turbines are the low cost alternative to fossil fuels and don't receive large subsidies.
Comment
4 of 7
July 1, 2009
Ron, the wind industry would like you to believe that but it isn't true. The wind industry dies when the 2.1 cents per kWh subsidies are about to expire. But the mandates and bidding are even more important, which are virtually exclusively for wind. Renewable energy costs are very site specific but costs generally favor hydro, geothermal, and biomass, according to most sources like CNBC. Moreover, wind is far less reliable than all of these sources so the true costs are even higher.
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Comment
5 of 7
Anonymous
July 1, 2009
But the true costs of fossil fuels are hidden in over 100 years of history. No one knows the true costs of gasoline for example because some of the base costs (exploration, military spending, etc.) the government pays for and no one thinks twice because that is how it has been for the past century. Also, the cost of wind and other renewable energies should remain similar or at least hit an equilibrium and plateau while the costs of fossil fuels are only going to get higher and higher. Fossil fuels are a finite resource and therefore as the supply decreases the price increases. RE sources are renewable and therefore prices won't rise to an indefinate price but rather plateau over time. Its only a matter of time before energy prices rise (to reflect the true price of energy) if fossil fuels are continued to be used as the primary source of energy.
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Comment
6 of 7
Anonymous
July 1, 2009
The 2.1 cent subsidy has only recently been jacked up to that number. Wind power was getting built before it was upped, because it makes economic sense without it. If you are able to have a candid conversation with a wind power developer, like I have, then you will find out that the subsidy is unnecessary.

The math is easy: $2 per watt installed with a 1% O&M cost annually and a 20-45% capacity factor. If financed and amortized over a 20 year life the electricity cost comes out to 4-10 cents per kWh, without subsidy.

True, huge hydro projects like the Hoover Dam ultimately produce lower cost electricity (after the government builds them on taxpayer dollars), but where can we afford to dam up more rivers? Geothermal is only economical with shallow resources as in Nevada. Biomass is not only un-economical (unless the gov't is subsidizing the crops), but it adds to atmospheric carbon unless absolutely nothing grew on the land used previous to the feedstock crop.

I don't like subsidies and governmental meddling but I also don't like to see misinformation in blog posts.
Comment
7 of 7
July 16, 2009
Exactly wind turbines are meant to be the low cost alternative?
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