Sunday, October 30, 2005

Powerful New Map: Where the Wind Blows

Powerful New Map: Where the Wind Blows
By Bjorn Carey
LiveScience Staff Writer
posted: 23 May 2005
06:28 am ET



A new map highlights spots where there is enough wind to provide electricity to the whole world – and then some.

In putting together a global and U.S. map, researchers found wind power could provide 40 times more electricity than is needed worldwide.

Scientists gathered wind speed data from about 8,000 locations on the planet – 7,500 surface stations and 500 balloon-launch stations. They measured the wind speeds 260 feet (80 meters) above the ground surface, which is the height of a modern wind turbine’s hub.

At the surface stations, they could only measure wind speeds at 33 feet (10 meters), but they developed a method to figure out what that meant for winds at the more important height.

They found that 13 percent of the 8,000 spots were capable of averaging Class 3 wind speeds throughout the course of the year. Class 3 winds are greater than 15.4 mph (6.9 meters per second), which is considered strong enough to be economically feasible.

"What this means is quite amazing," Cristina Archer, of Stanford University and co-author of this study, told LiveScience. "If you pick 10 random locations on the planet, that means one, or even two, of these are suitable for wind power generation."

If harnessed, these sites with Class 3 and higher wind speeds could provide 72 terawatts of electricity – enough to run 1.2 trillion 60-watt light bulbs or 48 billion toasters.

"We would be fools not to use it," Archer said.

About 2.5 million wind turbines -- together capturing about 20 percent of what's available based on the new maps -- would be needed to produce all the world's electrical needs, Archer said.

The wind doesn’t blow constantly, however, and it cannot be adjusted to follow electricity demand. Archer hopes that one day the bulk of our electricity will come from green energies, like wind power, with the gaps being filled by more reliable and traditional energies, like the burning of fossil fuels.

This new map is seen as a step in that direction. It demonstrates where power companies could get the best bang for their buck in wind farms – mostly near coastlines.


"I wouldn’t necessarily recommend installing a wind farm based only on our map. But it’s definitely a starting point," Archer said.

The results, and additional maps, are detailed in the May issue of The Journal of Geophysical Research-Atmospheres.

Scottish Power to build windfarm in US

Scottish Power to build windfarm in US

Fri, 28th Oct 2005, 07:58

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Scottish Power said its US unit PPM Energy plans to build a 200 megawatt windfarm in Washington State for $270m.

The build is expected to be completed in the summer of 2006 and will be immediately earnings enhancing.

The group said PPM is in advanced talks to sell the generated output under a long-term contract to a major utility.

"PPM owns seven wind projects, with Big Horn being the largest wind project we have developed to date," said PPM CEO Terry Hudgens. "We are pleased with the enthusiasm of Klickitat County and the surrounding community for this outstanding project with many local benefits."

PPM Energy has around 1,600 MW of wind energy under its control in operation or construction and its target is to reach at least 2,300 MW online by 2010.

Gamesa agrees to sell wind farms to Iberdrola for about 900 mln eur

Gamesa agrees to sell wind farms to Iberdrola for about 900 mln eur
10.28.2005, 04:43 AM

MADRID (AFX) - Gamesa Corporacion Tecnologica SA said it reached an agreement to sell wind farms to Iberdrola SA with a total capacity of 700 megawatts for about 900 mln eur, confirming the broad details of an earlier report in Expansion.

In a statement, Gamesa said the wind farms are in development and the agreement with the Basque utility runs from 2006-2009, with the option to extend to 2012.

It said 600 MW corresponds to installations in Spain and 100 MW in Italy.

The wind turbine manufacturer noted that the two companies have been negotiating the deal for several months.

In 2002, Iberdrola acquired around 1,000 MW of wind energy installations from Gamesa, in which it owns a direct and indirect 19 pct.

Nation's first offshore wind farm could rise in Gulf

Nation's first offshore wind farm could rise in Gulf
By Craig Salters/ csalters@cnc.com
Friday, October 28, 2005

When it comes to offshore wind projects - and pretty much everything else - Texas likes to do things its own way.

However, when it comes to alternative offshore energy, the Lone Star State is quite literally "exceptional." The state's jurisdiction regarding its coastal waters extends more than three times farther than the three-mile limit reserved for Massachusetts and other states.

That distinction came into play Monday when Texas, hailing "a new era for energy development in America," signed a lease agreement to allow an offshore wind farm seven miles off the coast of Galveston Island.

"Coastal wind power has come to the United States and found a home in Texas," said Jerry Patterson, commissioner of the Texas General Land Office, the agency in charge of such decisions.

News of the lease agreement - announced in a big, big way by a state which made plain its intention to host the nation's first offshore wind farm - has little bearing on a developer's plan to construct 130 wind turbines in Nantucket Sound. The announcement, however, highlights both the unique regulatory status enjoyed by Texas and its "been there, done that" attitude to offshore energy projects.

Like many Texas stories, the hero behind its offshore boundary of 10.36 miles, or three marine leagues, is Sam Houston. It was Houston who, as president of the republic, successfully maintained traditional offshore boundaries when Texas entered the Union in 1845. More than a century later, in the 1950s, the state defeated an attempt at federal control of its tidelands.

"We came in on our own terms as a sovereign nation," explained Patterson. "Because of Sam Houston's foresight, we now have the regulatory authority to move forward with less federal red tape. Who would have thought that the hero of San Jacinto would help bring wind energy to Texas?"

The Army Corps of Engineers, the federal agency which until recently had been in charge of the Nantucket Sound proposal, will have permitting authority over the Texas turbines but had nothing to do with the lease agreement.

"It's not their land," said Jim Suydam, press secretary for the Texas General Land Office. "It's Texas state land."

The lease calls for Galveston-Offshore Wind, a division of Louisiana-based Wind Energy Systems Technologies, to construct 50 offshore wind turbines on an 11,355-acre footprint in the Gulf of Mexico. The turbines, which could take as long as five years to build, would feature hubs 260 feet above sea level. Cape Wind says the hubs of its windmills would be 246 feet above sea level.

The $300 million project is expected to produce enough electricity to power roughly 40,000 homes.

In return, Texas will receive a minimum of $26.5 million in royalties over the course of the 30-year lease. Those funds, like those received from oil and gas leases, will be deposited into the state's Permanent School Fund.

"I have encountered no opposition," said Patterson, who added that studying the project's potential effects on migratory birds was an important issue that would be addressed. "We're not putting up one nickel and we're getting clean energy right next to the grid and millions in royalties, so I'd say it's a good deal."

A different mindset

Patterson, a former Marine and Vietnam War veteran who keeps a gun in his boot and the current price of natural gas at his fingertips, said he was aware of the controversy surrounding the construction of a wind farm on Nantucket Sound; he also said he had a hard time understanding it.

"I think it's a different mindset," said Patterson, who noted that, to Texans, offshore oil and gas rigs represent a booming economy. "Folks down here are comfortable with energy and this is just another form of energy."

Charles Vinick, president and CEO of the Alliance to Protect Nantucket Sound, a key opponent of the proposed wind farm in federal waters off Cape Cod, said he does not know enough specifics about the Texas project to offer an opinion, but generally supports wind power.

"There will be wind projects announced throughout the country and, in general, that's a good thing for all of us and a positive step," said Vinick, whose group has expressed support for alternative energy but vocal opposition to the project planned for the Sound.

According to Vinick, who said he was aware of Texas' unique circumstances, what is most important is that there be some established public process for wind farm projects. Just two weeks ago Vinick hailed the federal government's decision to give the Minerals Management Service, a bureau of the Department of Interior, permitting and leasing authority for renewable energy projects on the Outer Continental Shelf. That decision effectively put MMS, an agency experienced in leasing offshore gas and oil projects, in charge of Cape Wind Associates' proposal to construct a wind farm on a 24 square-mile section of Horseshoe Shoals.

"That's the way we should grow this industry," said Vinick, referring specifically to MMS' history of "programmatic review" of all projects.

Mark Rodgers, a spokesman for Cape Wind, said that his company learned about the Texas lease agreement late last week when state officials called to ask for video footage of working offshore wind turbines.

"It's good news," said Rodgers. He noted that the Texas project "would not happen overnight" and that the possibility of Cape Wind being the first offshore wind farm still exists. "From our standpoint, any credible wind initiative in the United States is inherently positive. It validates the technology and validates the benefits."

Rodgers also acknowledges Texas' unique rules regarding coastal jurisdiction and, like Vinick, sees many positives in MMS's new role as lead review agency for the Cape Wind proposal.

Before MMS, the Army Corps of Engineers served as the lead review agency for the project and was in the process of finalizing an Environmental Impact Statement from an earlier draft. Although that responsibility now goes to MMS, the corps still has a role in issuing a Section 10 permit based upon the federal Rivers and Harbors Act.

The Texas project

Location: Gulf of Mexico, off Galveston

Developer: for Galveston-Offshore Wind

Site: 11,355 acres

Wind turbines: 50

- Jerry Patterson, commissioner of the Texas General Land Office

- Mark Rodgers, Cape Wind Associates

Wind of change for China's energy

Wind of change for China's energy

Thursday, October 27, 2005 Posted: 1220 GMT (2020 HKT)
HUITENGXILE, China (CNN) -- Once the stomping ground of Genghis Khan, the heart of rural Inner Mongolia is an unlikely center of innovation.

Here, the sheep graze in the shadows of 94 turbines scattered across the landscape, which pump millions of watts of renewable power into China's grid.

Sitting 2,000 meters above sea level, there are plans to make the Huitengxile Wind Power Plant the largest wind farm in China.

In such an energy-hungry country the plant's output is a drop in the bucket, but wind farms could be the solution to the problem of how to keep powering the country's economic growth.

"There are many favorable conditions here. We have abundant wind resources, and we're close to the national power network. This is becoming a world class wind farm," plant director Li Yilun told CNN.

The turbines are imported from Denmark, Spain, Germany and Holland. The newest, biggest and most powerful were built by American-based giant GE Energy.

The company's turbines are in use all over China, including at a plant just outside Shanghai.

GE Power China CEO Steve Fludder told CNN that during the past year, the wind business has picked up in China.

"Each one of these turbines generates 1.5 megawatts or 15,000 kilowatts of power -- that's enough power for approximately 1,000 Chinese homes," he said.

"China is really at a crossroads in its overall energy policy. China is really shifting from a focus on buildup of capacity in the last few years to a focus on more environmentally friendly technologies."

It is not hard to see why -- Chinese cities are choking on dirty air, and the primary cause is coal, which has been fueling China's staggering pace of growth, and making it one of the most polluted countries on Earth.

A renewable energy law was passed this year, setting lofty goals for clean power.

That is good news for projects like the wind farm, but its backers admit it is still tough to compete with coal because wind is not cheap.

Wu Jinglong, vice president of North United Power Corporation, told CNN.

"We have developed slowly because of the low price of coal electricity. The investment in a wind farm is much higher than for a traditional coal power station."

Large companies like GE are hoping to use their vast resources to bring down the cost.

"We draw upon our aircraft engine to design the blades. We call upon our locomotive business for the gearing technology," Fludder said.

"We have a multitude of other businesses that have a technology base that supports the technology that it takes to make wind energy cost-effective and reliable. "

Small entrepreneurs want in too.

Engineer and entrepreneur Zhimin Lin left the software business to help start a turbine manufacturing company in his home province.

"The wind power industry will be big time from now on. And China, in the next five to 15 years will grow bigger than 100 per cent a year," he told CNN.

There is good reason for his optimism -- New wind farms are springing up all over China.

And with every turn of the blades, China moves a few watts closer to easing its power crunch.

CNN's James MacDonald contributed to this report.

GE Technology to Power New Wind Energy Project in Ontario

GE Technology to Power New Wind Energy Project in Ontario
ATLANTA, GEORGIA, October 21, 2005: -- Brascan Power has selected GE Energy as the turbine supplier for the proposed Prince Wind Farm that could add up to 99 megawatts of wind power capacity to the electricity grid in the province of Ontario, Canada.

The project, which will utilize 66 of GE's 1.5-megawatt wind turbine-generators, is expected to enter commercial operation in the second half of 2006. GE will operate and maintain the turbines for five years.

GE Energy's 1.5-megawatt wind turbines are the largest assembled in North America and are among the world's most widely used megawatt-class wind turbines, with more than 3,300 now installed globally.

Located in the township of Prince approximately eight kilometers northwest of Sault Ste. Marie, the Prince Wind Farm will be one of the first large-scale wind farms to be built in Ontario. The project will further expand and diversify the power generation portfolio of Brascan Power, a company with almost 100 years of experience in Ontario's power industry.

The estimated annual generation for the Prince Wind Farm is expected to provide enough electricity to serve close to 20,000 Ontario households. The power will be supplied under a power purchase agreement with the government of Ontario.

According to Robert Hornung, president of the Canadian Wind Energy Association, "Over the next five years, federal and provincial government policies and targets are on track to facilitate a ten-fold increase in the size of Canada's wind energy industry." Currently, the country has 590 megawatts of installed wind energy capacity, enough to power more than 200,000 Canadian households.

"Canada, a country with tremendous wind power potential, is making great strides toward maximizing the environmental and economic benefits associated with this abundant, renewable energy resource," said Robert Gleitz, general manager of GE Energy's wind segment. "We are pleased that GE technology has been selected to support a number of wind projects in Canada."

In addition to the Prince Wind Farm, other major projects in Canada announced this year featuring GE technology include Erie Shores Wind

Saturday, October 15, 2005

Gas Station Chain Turns to Wind Power

Gas Station Chain Turns to Wind Power
September 21, 2005


Seattle, Washington [RenewableEnergyAccess.com] Safeway announced plans to purchase renewable energy to offset the power needed for the company's 270 fuel stations in the United States, with the majority located in the Seattle Division region encompassing Washington, Alaska, Montana and Idaho.

Under the partnership, Safeway has agreed to purchase 78 million kWh in the form of wind energy. By doing so, the company becomes one of the nation's largest buyers of green energy in the U.S. Safeway is now the only retailer to purchase enough renewable energy to power 100 percent of its U.S. fuel stations. Currently, the Seattle Division operates 71 fuel stations and will increase their locations to 76 by year's end. Through a partnership with the U.S. Environmental Protection Agency (EPA), Safeway becomes one of the largest buyers of green energy in the United States and an EPA "Green Power Partner." EPA's Green Power Partnership is a voluntary partnership between the EPA and organizations that pledge to replace a portion of their electricity consumption with renewable energy.

"Safeway has built a longstanding reputation for taking a leadership role in protecting our environment," said Cherie Myers, Director of Public & Government Affairs. "By powering our fuel stations with wind energy we are following suit with our commitment to give back to our communities by making them a better and safer place to live."

Under the partnership, Safeway has agreed to purchase 78 million kWh in the form of wind energy. By doing so, the company becomes one of the nation's largest buyers of green energy in the U.S. Safeway is now the only retailer to purchase enough renewable energy to power 100 percent of its U.S. fuel stations.

"The EPA applauds Safeway's fuel stations for being among the largest commercial purchasers of green power in the United States," said Blaine Collison, program director of the U.S. Environmental Protection Agency's Green Power Partnership. "Safeway is leading by example and setting a standard for environmental partnership."

Transmission Upgrade Propels 150 MW Wind Energy Project

Transmission Upgrade Propels 150 MW Wind Energy Project
October 12, 2005


Dayton, Washington [RenewableEnergyAccess.com] Many of the best wind resources are not always located near power transmission lines and this factor can stifle many a prospective wind project development. The completion of new transmission investments in the Northwest US will help propel a new large wind power project.

"Without efficient, reliable transmission, we wouldn't be able to reap energy from the wind."

- Steve Wright, BPA administrator This week, the Bonneville Power Administration (BPA) completed construction of the $5 million Tucannon River Substation, which will transmit power from Puget Sound Energy's Hopkins Ridge Wind Energy Project to Puget's customers in western and central Washington. The 83-turbine project is expected to generate 50 average MW, enough energy to serve 50,000 homes.

"BPA is using its region-wide transmission system to bring power from wind farms to consumers in population centers," said Steve Wright, BPA administrator. "This usually involves construction of new facilities like the Tucannon River Substation. Without efficient, reliable transmission, we wouldn't be able to reap energy from the wind."

To connect the project to the grid, BPA constructed the new 115-kV Tucannon River switching station near Dayton, adjacent to BPA's Walla Walla-North Lewiston 115-kV transmission line. Power is expected to start flowing this week from the new Hopkins Ridge Collector substation and the Tucannon River Substation.

"The remote location of this wind farm posed several challenges both in integrating the project into the Tucannon facility and wheeling power," said Tony Rodrigues, BPA's transmission account executive, who oversees generation interconnection. "This is a good example of excellent cooperation between BPA and Puget Sound Energy to get the job done."

Blue Sky Wind LLC, builder of the Hopkins Ridge Wind Energy Project in Columbia County, Washington, is installing one turbine a day and is on schedule to complete the project this fall with commercial operation under way by year-end.

BPA is also working on 10 new projects from wind developers to integrate about 1,200 MW into the Northwest grid by the end of 2007.



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Wednesday, September 28, 2005

Fidelity increases Vestas stake to 5.19 pct

Fidelity increases Vestas stake to 5.19 pct
Wed Sep 28, 2005 11:20 AM ET
COPENHAGEN, Sept 28 (Reuters) - U.S. fund group Fidelity International has increased its stake in Denmark's Vestas (VWS.CO: Quote, Profile, Research) , the world's biggest wind-turbine maker, to 5.19 percent, Fidelity said in a statement on Wednesday.
A Fidelity spokeswoman declined to say how big the stake had been previously, saying only that it had been below 5 percent.

Friday, September 09, 2005

$50 MILLION INVESTOR FINANCING BACKS TWO NEW WIND FARMS IN PENNSYLVANIA AND NEW JERSEY

For more information: Brent Alderfer, President, 215-353-1373

$50 MILLION INVESTOR FINANCING BACKS TWO NEW WIND FARMS IN PENNSYLVANIA AND NEW JERSEY
WAYNE, PA -- (09/08/2005; 0830)(EIS) -- Community Energy, Inc. ("CEI"), a leading wind energy marketer and developer, has closed a $50 million investor financing package on two new wind energy generation facilities under construction in Pennsylvania and New Jersey. A group of leading private and public energy finance institutions joined in closing the financing, which will allow the new wind farms to come on line by the end of this year.

CEI partnered with Central Hudson Energy Group, Inc. (NYSE: CHG) and investment banking firm, Babcock & Brown, as the long-term owners of the wind projects, backed by project financing from a group of public and private funding sources. The Bear Creek wind farm, located near the Pennsylvania Turnpike just south of Wilkes Barre, PA, received financing from the five regional Pennsylvania sustainable energy funds and the newly authorized Pennsylvania Energy Development Authority. The first-of-its-kind Jersey-Atlantic wind farm on the site of the Atlantic County Utilities Authority ("ACUA") wastewater treatment plant in 2 Atlantic City, New Jersey, received financing from the state's Clean Energy Program and a production grant from the New Jersey Board of Public Utilities.

"This first-rate finance team was able to translate the obvious fuel-free advantages of wind energy into market grade investments ranging from secure debt to long-term equity," said Brent Alderfer, President of CEI. "The exciting part of this deal is it opens the door for broader investor participation in the wind energy market."

The Bear Creek wind farm will install 12 wind turbines each providing 2 megawatts of generation capacity -- the largest turbines in use in the U.S. -- supplied by Gamesa Eolica of Spain. The five regional sustainable energy funds in Pennsylvania providing financing to the Bear Creek project are the TRF Sustainable Development Fund, which also structured the financing on behalf of the regional funds, the Sustainable Energy Fund of Central Eastern Pennsylvania, the West Penn Power Sustainable Energy Fund, the Penelec Sustainable Energy Fund and the Metropolitan Edison Sustainable Energy Fund.

The Jersey-Atlantic wind farm will install five wind turbines, 1.5 megawatts each, supplied by General Electric. In a pioneering partnership with the ACUA, the wind farm will supply about one-half of the electricity used at the wastewater facility, and will be New Jersey's first commercial scale wind project, and the nation's first coastal wind farm.

About Community Energy, Inc.

Community Energy, Inc. (CEI) is a marketer and developer of wind energy generation founded in 1999 and headquartered in Wayne, Pennsylvania. CEI has more than 3 billion kilowatt-hours of wind energy sales, 40,000 residential customers and marketing arrangements with 18 investor-owned and municipal 3 utilities. CEI cites its utility partners and customers, which include many of the largest retail purchases of wind energy in the country, as the reason for its success in bringing wind energy to market in new regions of the country. CEI has wind projects under development in the Northeast, Mid-Atlantic and Mid-Western states. CEI acquired the Bear Creek project from early-stage developer Global Winds Harvest, based in New York. www.CommunityEnergy.biz

About CH Energy Group

With more than 440,000 customers, CH Energy Group, Inc. is a family of companies seizing new opportunities in the energy marketplace through two primary subsidiaries: Central Hudson Gas & Electric Corporation is a regulated transmission and distribution utility serving approximately 358,000 customers in eight counties of New York State's Mid-Hudson River Valley, and delivering natural gas and electricity in a 2,600-square-mile service territory that extends from the suburbs of metropolitan New York City north to the Capital District at Albany. Central Hudson Enterprises Corporation includes business units delivering energy and related services to nearly 85,000 customers in eight states and the District of Columbia. Its regional footprint stretches from Connecticut to the Washington, D.C. area, as well as an interest in a Lexington, Neb., ethanol plant.

About Babcock & Brown

Babcock & Brown is a global investment and advisory firm with longstanding capabilities in structured finance and the creation, syndication and management of asset and cash flow-based investments. Babcock & Brown was founded in 1977 and is listed on the Australian Stock Exchange.

Babcock & Brown operates from 18 offices across Australia, the United States, Europe, Asia and Africa and has in excess of 550 employees worldwide. Babcock & Brown has five operating divisions including real estate, infrastructure and project finance, operating leasing, structured finance and corporate finance. The company has established a funds management platform across its operating divisions that has resulted in the establishment of a number of focused investment vehicles in areas including real estate and infrastructure.

For further information please see our website: www.babcockbrown.com.

Sunday, September 04, 2005

The wind of change

The wind of change
Despite CDU promises to go back to nuclear power if they win the upcoming election, renewable energy is booming in Germany, with the big utility companies investing millions in wind and solar projects. Andrew McCathie looks at the future for eco-friendly power.

By 2025 Germany's windparks will generate the same energy as 20 nuclear reactors
Rocketing oil prices and the push towards reductions in CO2 emissions have triggered a wave of new investment in renewable energy in eco-friendly Germany, helping to underpin a boom in alternative power in Europe's biggest economy.

Up until recently, the alternative energy business was largely dominated by small-to-medium sized companies.

But as energy emerges as a key election issue in Germany, a round of major investments in recent months has signalled a move by big energy groups to broaden their energy mix by shifting into renewable power supplies.

With vast wind parks now spreading out from the land into the sea, Germany's third biggest electricity group, Swedish-owned Vattenfall Europe, has announced plans to launch a EUR 200 million study into the building of an offshore wind park in either the North or Baltic Sea.

"We believe that offshore parks can make a contribution that will transform wind energy from a subsidy receiver into a market-mature technology," said Vattenfall Europe chief Klaus Rauscher.


The environmental revolution

Underscoring the boom that has been underway in renewable energy in Germany, alternative power sources now represent about 10 per cent of electricity generated in the country.


We believe that offshore parks can make a contribution that will transform wind energy from a subsidy receiver into a market-mature technology. - Vattenfall Europe chief Klaus Rauscher
In a sense, the drive to promote renewable energy represents another stage of Germany's environmental revolution with the country already operating very strict recycling laws for products and waste.

Germany is also starting to export its new wind technology, with windpower engineering group REpower Systems announcing earlier this year that it had won its first project order in China.

While giant German insurer Allianz said that it was raising its stockholdings in renewable energy groups from EUR 300 million to EUR 500 million, US conglomerate General Electric chief Jeff Immelt set out plans in Munich for GE to double its revenue from sun and wind energy to EUR 15 billion over the next five years.


Nuclear power? Nein danke


70 percent of Germans support the phasing out of nuclear power
The big power companies have continued to plough money into renewable energy sources despite opinion polls pointing to the possibility of a new conservative government winning a national election next month and moving to downscale public support for alternative energy and to extend the life of nuclear power plants.

Chancellor Gerhard Schroeder's ruling Social Democrat-Green Party coalition has already begun phasing out nuclear power in the country and launching a push to build-up renewable energy sources in Germany.

But as a sign of the Germans' commitment to seeking out alternative sources of energy, a poll published this week found that a majority of people want an end to nuclear energy in the country. Drawn up by pollsters Emnid, the survey found that 70 per cent of Germans are for the phasing out of nuclear power.


Putting their money where their mouths are

However, as a sign of the confidence in the renewable energy sector, investors do not appear to be particularly unsettled by the threat posed by a change of government in Berlin.

After making their stock market debut in March at EUR 54, shares in solar equipment supplier Conergy have been hovering around EUR 90. Another sun-power group, solar cells maker SolarWorld, jumped by more than 500 per cent last year.

Vattenfall is, however, not thinking about pulling back from conventional energy sources.


Windpower engineering group REpower Systems announced earlier this year it had won its first project order in China.
But with the energy sector expecting ambitious emission reduction CO2 targets in the future and a steep rise in price for CO2 trading certificates, Vattenfall also announced plans to build a EUR 40 million coal-fired power station that does not give off any carbon dioxide.

Since the start of the year, the price for a CO2 trading certificate has jumped from EUR 7 to EUR 23.


Strong wind

Underpinned by support from Germany's ruling SPD-Greens coalition, wind energy has already overtaken hydroelectric power as the nation's main source of renewable energy.

A government report has predicted that by 2025 the windparks rapidly appearing along Germany's coastline will generate the same amount of energy as 20 nuclear reactors.

Accompanying the government move to phase out nuclear energy, Schroeder's coalition has introduced a law compelling energy companies to buy power generated by renewable sources at a generous price has also led to an explosion of wind turbines across parts of Germany's wind-swept countryside and a boom in the sales of wind generators.

In a similar way, government support for renewable energy has helped to foster a boom in solar power with the country's sun power industry having ambitions to become the world leader.


A solar milestone

Last month, the giant global oil company Shell announced it was to build the world's largest single-connected solar power station at a former military base in Bavaria in southern Germany, which the company described as a milestone.

This follows the opening last year of the world's largest solar plant near Leipzig in eastern Germany.

After it is completed in March 2006, Shell's EUR 40 million solar plant would cover the electricity needs of about 3,300 households each year. Shell invested EUR 243 million in renewable energy last year and says it has more projects on the drawing board.


August 2005

[Copyright DPA with Expatica 2005]


US windpower firm Clipper plans September UK float

US windpower firm Clipper plans September UK float
Tue Aug 30, 2005 5:58 PM BST

LONDON (Reuters) - California-based wind-power company Clipper Windpower said on Tuesday it planned to list its shares in London in two weeks.

Clipper and its adviser, investment bank Lehman Brothers (LEH.N: Quote, Profile, Research), declined to comment on how much the company planned to raise or how much it would be valued at as part of the listing on London's junior AIM market.

The shares are due to start trading on September 14, according to a regulatory filing.

It was not immediately clear why the U.S. company had opted for a UK listing, and it made no further comment beside the filing particulars.

Clipper, whose UK chairman is former Olympic cox and Conservative sports minister Colin Moynihan and which says actor Anthony Hopkins is an investor, was formed in 2001. It said it has established two U.S. wind projects valued at $240 million (135 million pounds).

A source close to the company told Reuters in June that Clipper planned to use any IPO proceeds to develop a more efficient wind turbine.

The Santa Barbara-based company said it is one of the world leaders in wind turbine technology, which should cut the cost of wind energy production.

Its website said its two projects total 205 megawatts, and it has a development portfolio of 1,100 megawatts in the U.S. and Mexico plus the largest planned project in the wind industry -- the 3,000 megawatt Rolling Thunder site in South Dakota.

Moynihan was appointed last year to run Clipper's business outside the Americas, which focuses on manufacturing the new generation of the firm's wind turbine and the development of offshore wind farms.

Clipper reported revenue of $5.2 million in 2003 and raised $10 million through private equity funding in 2002.

The company said the global wind power market is expected to grow by 15-30 percent per year for the foreseeable future.

It said renewable energy sources generate about 3 percent of the country's electricity supply -- with 15 percent of that generated by wind power -- and the government intends to lift the renewable energy share to 15 percent by 2015.


OilVoice.com | General Electric - Investing in Wind Power

General Electric - Investing in Wind Power
Thursday, August 25, 2005

This year, GE’s wind portfolio is expected to generate $2 billion in revenue, an anticipated increase in revenue of 300% over its first-year wind operations in 2002. This is based on orders and commitments calling for 1,600 wind turbines to be installed worldwide, totaling 2,400 megawatts for new wind power capacity worldwide.

"Wind power continues to be the fastest growing segment of the global energy industry, and it certainly is a very significant part of the diverse energy solutions portfolio that we offer to our customers around the world," said Mark Little, vice president - power generation of GE Energy. "The continuing advancement of wind power technology is a key element of ecomagination, our commitment to cleaner energy solutions, which is at the forefront of our company’s business initiatives.”

Investing in the Future
Highlighting its commitment to support its customers' wind energy needs, GE continues to expand its engineering staff and research and development capabilities dedicated to wind-related technology development. Recent customer-focused milestones include:

Enhancements to one of the most widely sold and tested megawatt-class machines in the global wind industry, GE's 1.5-megawatt wind turbine, which recently surpassed 3,000 installations worldwide.
The successful deployment of the industry’s first offshore wind plant built by GE solely to demonstrate its offshore technology and learn more about the rigors of wind energy installation and operations at sea. Owned and operated by GE, the Arklow Bank Wind Park in the Irish Sea, the world's first offshore wind project to use turbines over three megawatts, has completed more than a year of successful operation. Comprising seven of GE's 3.6-megawatt wind turbines, the plant was officially inaugurated during a May 26 ceremony attended by Bertie Ahern, the Irish Prime Minister (Taoiseach), and David Garman, Undersecretary of Energy for the U.S. Department of Energy.

The opening of two customer support and training centers. Located in Salzbergen, Germany, and Tehachapi, California, the facilities offer 24/7 response, and have facilitated an increase in GE’s 1.5-megawatt wind turbine availability to 98% fleetwide. In addition, GE’s Global Research-Europe Center was opened in Munich to support further technology R&D, including the increase of wind turbine reliability and performance.

Growth in China
GE also recently announced plans to supply wind turbines for the first large-scale project in mainland China’s Hebei Province. The 34.5-megawatt Shangyi Manjing Wind Farm will use 23 of GE’s 1.5-megawatt wind turbines.

Developed and owned by Guohua Energy Corporation Limited, the wind turbines are being installed on a 5 km by 5 km site located approximately 100 km from Zhangjiakou City. Commercial operation is expected by October 2005.

“The Shangyi Manjing Wind Farm is an excellent example of the growing global trend toward cleaner electricity choices,” said Robert Gleitz, general manager of GE Energy’s wind segment. “China has a vast wind resource and an increasing need for electricity. At GE, with a business history in China that reaches back 90 years, we’re pleased to support our local customers’ wind energy needs.”

Cabinet approves €23.6-bln renewable energy initiative

Cabinet approves €23.6-bln renewable energy initiative
Plan helps meet emissions cap obligations, government says

El Pais Spain | A. SIM
Madrid

The Cabinet on Friday approved a new E 23.6-billion plan through to 2010 aimed at boosting the contribution of renewable energy sources to the country's growing power needs, and help meet its obligations to reduce greenhouse gases.

Presenting the plan, Deputy Prime Minister María Teresa Fernández de la Vega said the government wants 12.1 percent of overall energy needs to be met by renewable sources by 2010 and for those to supply 30.3 percent of total electricity consumption.

Fernández de la Vega said the previous plan introduced by the former Popular Party had failed to meet the initial forecasts for growth in the use of renewable energy, while primary energy consumption in Spain was growing above forecast. Only 28.4 percent of the target in the previous plan had been met by the end of 2004.

The focus on clean energy sources will help reduce Spain's reliance on oil imports - surging crude oil prices have helped swell the country's trade shortfall recently. Spain is also a signatory of the Kyoto Protocol, which seeks to reduce emissions of climate-warming gases such as carbon dioxide. The conversion of coal-fuelled electricity plants to installations using cleaner energy sources will help Spain fulfill its Kyoto commitments.

Another reason behind the need to increase the use of renewable energy sources is the Socialist government's commitment to gradually phasing out the use of nuclear energy.

The new plan calls for the energy sector to foot the bill for 77.1 percent, or €18.2 billion, of the total investment spending of €23.6 billion. Construction groups, financial entities and technology firms will be expected to contribute 20 percent, with the balance coming from the government.The government will also offer tax incentives for using motor fuels derived from vegetable matter and for the installation of electricity generation plants using renewable energy sources.

The plan places strong emphasis on the use of wind energy, but also covers other forms of renewable energy such as biofuels, biomas electricity plants, solar energy, and mini-hydroelectric plants.

Iberdrola, Spain's second largest electricity supplier welcomed the new initiative and said it planned to have 5,500 megawatts of installed capacity using renewable energy sources by 2008, an increase of 68 percent over the 3,280 MW it has at present. It said 1,220 MW of the planned additional capacity will be in Spain.

Endesa, the country's largest supplier, plans to invest €1.2 billion in Portugal and Spain in the period to 2005-2009, to increase its renewable energy capacity by 38 percent to 9,289 MW.

- Wind energy

The government raised the target for the installed capacity of wind-powered electricity plants to 20,155 MW, from 13,000 MW under the previous plan. The installed capacity of wind farms at the end of last year was 8,155 MW. Half of the €4.95 billion in tax breaks available for electricity plants using renewable energies will go to wind farms, which will be expected to produce 45,551 gigawatt hours.

- Biofuels

The use of biofuels such as bioethanol and biodiesel is expected to quadruple by 20010, to 2.2 million tonnes of oil equivalent from 500,000 at present. Biofuels will also be granted tax breaks worth €2.85 billion.


http://www.elpais.es
© 2005 El Pais

India moves up to 4th slot in wind power capacity- The Economic Times

India moves up to 4th slot in wind power capacity
AMIT BHANDARI

TIMES NEWS NETWORK[ TUESDAY, AUGUST 30, 2005 01:45:21 AM]

MUMBAI: With the rising price of fossil fuels and increasing environmental concerns, renewable energy — particularly wind power — seems to be back in favour. Don Quixote may have tilted at them and the oil industry today dismisses them as impractical, but it looks like windmills are here to stay.

Globally, the installed wind-power capacity has crossed 50,000 MW. India figures amongst the countries with the largest wind-generation facilities. In fact, India has now overtaken Denmark to occupy the fourth place in terms of installed wind power capacity. However, there are issues of low load factors.

India ranks after Germany, Spain and the US, up from the fifth spot last year. The total installed wind-generation capacity in India added up to 3,595 MW — about 3% of the total installed generation capacity in India. Over 1,100 MW of this has been added in ’04-05. Tamil Nadu takes the lead with over 2,000 MW of installed capacity. Maharashtra, Karnataka, Rajasthan and Gujarat also have substantial installations. The major suppliers of wind turbines in India include Suzlon, Vestas and Enercon.

Of the global installed wind power capacity of 50,000 MW, almost 70% is in Europe — Germany, Spain and Denmark. The US is the other large user of wind energy with almost 7,000 MW of installed capacity. China is also considering wind energy as a potential power source.

China had 769 MW of installed wind-power capacity by the end of ‘04, of which almost 200 MW was added during that year itself. The Chinese Renewable Energy Industries Association website mentions that the Chinese Government has set a target of 4,000 MW of wind-generating capacity by ’10 and 20,000 MW by ’20.

The major benefit of wind energy is that it is renewable — unlike fossil fuels such as coal and oil. Secondly, it is a clean energy source so there are no emissions of carbon dioxide, sulphur dioxide and other pollutants. The major problem with wind-power is the low load factors of 20-30% and not so great reliability because of unpredictable wind patterns.

Rough calculations suggest that 1,000 MW of wind-power can replace 300 MW of conventional (coal or nuclear) power. Another problem is the amount of land required — there is a 225 MW wind farm at Satara in Maharashtra. The farm is a large strip of land measuring 35 km by 5 km

Planet Ark : Spain Aims to Double Energy from Renewable Sources

Spain Aims to Double Energy from Renewable Sources
--------------------------------------------------------------------------------
SPAIN: August 29, 2005


MADRID - Spain approved measures on Friday aimed at nearly doubling its production of energy from renewable sources like wind, sun and water over the next five years.


The plan aims for investment of 23.5 billion euros ($29 billion) in the renewable sector from 2005 to 2010, with private companies footing the majority of the bill. The government will put forward only 2.9 percent of the estimated cost.
By 2010, Spain wants 12 percent of consumed energy to come from sources like wind, solar and hydroelectric plants, compared to 6.9 percent at the end of 2004.

A previous renewable energy plan, spanning 2000-2010, has fallen well short of targets, especially for solar energy and biomass -- an energy resource derived from organic material like agricultural waste.

By the end of last year, the energy sector reached just over a quarter of the plan's objectives.

"The initial targets for renewable energy targets are not being met," Deputy Prime Minister Maria Teresa Fernandez de la Vega told a news conference after the cabinet approved the measures on Friday. "The previous plan was failing."

Spanish renewable energy firms like the world's second-biggest wind turbine maker Gamesa and Iberdrola, the world's largest wind energy company by installed capacity, are set to benefit from the plan, analysts say.

The government has raised the target for wind power energy from 12,000 megawatts under the former plan to 20,155 megawatts.


GAMESA GAINS

"This represents very good news for the main players in the industry in Spain, Gamesa, Iberdrola and Acciona. The new target will imply investment of 7 billion euros," said Daniel Gandoy, analyst at Deutsche Bank.

The new plan means an increase in annual production of renewable energies, mainly wind, of around 1,500 to 2,000 megawatts over the next 5 years in Spain, said Roberto Barrio, analyst at Espirito Santo.

Gamesa was leading the gainers in the flagship Ibex-35 index on Friday, up 2.4 percent at 12.31 euros by 1440 GMT -- around year-high levels.

Iberdrola welcomed the new plan on Friday, calling the targets sensible and feasible, and said it would help Spain meet its objectives under the UN's Kyoto protocol.

Under Kyoto, developed countries are meant to cut emissions of carbon dioxide, largely from burning fossil fuels in power plants, factories and cars, by an average 5.2 percent below 1990 levels by 2008-12.

But Spain has seen the biggest increase in the emissions of greenhouse gases since 1990 amongst the countries which originally agreed to Kyoto targets.

The amount of fumes spewed rose 40.5 percent in the 12 years spanning 1990 to 2002, according to UN data.



Story by Sonya Dowsett

Power of the Wind

Power of the Wind

By Rexcel John Sorza**
Iloilo City, Philippines
August 31, 2005

When gigantic rotor blades looking more like electric fans from afar started to generate electricity in the northern Philippine province of Ilocos Norte recently, Filipinos became the first people in Southeast Asia to harvest the power of the wind.

“The future of Southeast Asian wind power starts here,” said Ferdinand Dumlao during the farm’s commissioning attended by government officials and environmentalists. He sees a “huge potential for this technology in the Philippines and beyond.”

Dumlao chairs the Danish-Filipino consortium, NorthWind Power Development Corporation (NorthWind), which turned on last 18 June 2005 the US$44-million wind farm. It now lights up homes of the subscribers of Ilocos Norte Electric Cooperative.

Wind Lighting Up Asia

Forming a column of 15 wind turbines with a hub height of 70 meters and 41-meter rotor blades, the NorthWind project has an installed capacity of 25 megawatts.

NorthWind’s wind farm put the Southeast Asian region on the map of regions around the world using wind to generate electricity.

World Wind Energy Association data show that some 47,616 megawatts of electricity are currently produced from wind worldwide. Of this, 34,616 megawatts (73%) are generated by wind farms in European countries followed by those in America with 7,335 megawatts (15%), and then Asia with 4,726 megawatts (10%). Asia’s share, however, was derived only from India and Japan before NorthWind came into the picture.

Wind power development is also picking up speed in other parts of Asia. South Korea recently inaugurated its first wind farm. In February 2005, China passed a Renewable Energy Law to drive the government’s target of 20,000MW of wind power by the year 2020.

The international environmental group the World Wildlife Foundation (WWF) says wind energy industry has boomed in recent years, leaping from producing 10,000 megawatts in 1998 to 40,000 megawatts in 2004, with the figure expected to more than double to 150,000 MW by 2012.

The main reason for this boom, WWF explains, is the relatively low cost of wind energy. “In fact, wind energy is the renewable technology whose costs come closest to those of fossil power production and for which there is a large expansion potential worldwide.”

An Economic Approach to Producing Energy


“Dirty and Expensive”?

Technological progress in producing wind energy has already cut production costs in half since 1990, and it is expected that the gap between the power production costs of wind energy and those of fossil energy sources will continue to narrow.

“Wind power takes us one crucial step closer to energy independence," said Lory Tan, president of WWF-Philippines.

Tan explained wind power “builds economic strength by stabilizing business costs, insulating us from pollution and the unpredictable prices of imported oil and coal, while preserving foreign exchange for other more critical needs.”

Philippine Energy Secretary Raphael P.M. Lotilla congratulated NorthWind for the landmark project, which, he said, shows the “government's persistence at tapping indigenous and renewable energy sources as a strategy to move away from dependence on imported oil, especially at a time of high oil prices.”

"We need a relentless effort to harness our own energy sources and not be forever held hostage by volatile international oil prices," he added.

WWF estimates that the Philippines could save US$2.9 billion in fossil-fuel imports over the next 10 years if the country’s vast renewable energy resources are tapped.

Liam Salter, WWF International's regional climate and energy program director, said, “Across Asia-Pacific the message is the same—spiraling coal and oil prices and dependency upon imported fuels, combined with health and environmental risks, are forcing governments to radically rethink the way they supply their people with energy.”

“Wind and other renewables are central to a new way of thinking—we predict the trend will continue,” Salter added.

Ferdinand Dumlao, special projects officer at the Ilocos Norte provincial government, said, "In terms of pricing, fossil fuels are subject to foreign market pricing and currency fluctuations. These two factors are risks in terms of pricing. Our leadership had analyzed that it is not to our advantage to have fossil fuel power plants."

The Ilocos Norte provincial government had received proposals from several fossil fuel companies. "There was an offer from a foreign company to put up a bunker sea oil power plant, but it was anti-environment and it was also not a guarantee for a stable power pricing," said Dumlao.


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The Philippines should shun away “dirty and expensive” energy sources.
Melvin Purzuelo of Green Forum


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He further said, "Before the establishment of our wind farm, there was also another proposal to put up a coal plant. It was a bit inviting because it was cheaper compared to the oil-based power plant. But again, the people of Ilocos Norte rejected the idea for similar reasons.”

The Philippine government has set a goal of doubling the renewable energy base capacity for power generation by 2013, lessening the country’s dependence on imported energy sources such as diesel and coal, and broadening the resource base with an indigenous and environmentally desirable option.

This will add another 4,700 megawatts of clean energy mainly from geothermal, wind, solar, hydro and biomass resources to the country’s power generation capacity, and will bring its share in the nation’s energy mix to nearly 40 percent.

The government plans to gradually reduce the country’s dependence of imported fuel such as oil and gas. Imported oil ate up 39.2 percent of last year’s total energy sources.

According to an analysis done by WWF's PowerSwitch! campaign, the wind resource potential in the Philippines could be as much as 7,400 megawatts, enough to power 19 million homes.

Sustainable energy campaigners welcomed the government’s new thrust. Melvin Purzuelo of Green Forum, an environmental advocacy group, said the Philippines should shun away “dirty and expensive” energy sources. Instead, he said, it should exploit its sustainable and renewable energy potentials.

Putting Natural Resources to Good Use

In a study done by the United States’ National Renewable Energy Laboratory (US-NREL) using Geographic Information System technology on the wind resource of the Philippines, over 10,000 square kilometers of windy land areas in the Philippines have been estimated to exist with “good-to-excellent” wind resource potential.

Using conservative assumptions of about 7 megawatts per square kilometer, this windy land could support over 70,000 megawatts of potential installed capacity, the report said.

The wind mapping results also showed many areas of good-to-excellent wind resource for utility-scale applications or excellent wind resource for village power applications, particularly in the northern and central regions of the Philippines.

Considering only the areas with good-to-excellent wind resource, there are 47 provinces in the Philippines with at least 500 megawatts of wind potential and 25 provinces with at least 1,000 megawatts of wind potential.

Cleaner sources of energy are slowly making its round in the Philippines, which is currently the biggest producer of geothermal energy with a 1,983-megawatt capacity, second only to the United States.

WWF-Philippines asserts that renewable energy systems make economic sense as they can generate jobs and save the country’s dollar reserves from buying imported fuel.

Renewable energy sources like wind also keep global warming from getting worse. According to WWF’s PowerSwitch campaign, “Generating electricity through the burning of carbon-rich coal has a greater impact on the atmosphere than any other single human activity.”

Green Forum’s Purzuelo said wind energy is produced by the wind, so “it's definitely a clean source of fuel.” Wind energy does not pollute the air like power plants that rely on combustion of fossil fuels, such as coal or natural gas. Wind turbines don't produce atmospheric emissions that cause acid rain or greenhouse gasses, he said.

Ferdinand Dumlao, special projects officer at the Ilocos Norte provincial government, said they welcomed the NorthWind project because they know the ill effects of fossil fuel power plants. “They emit carbon dioxide that harms our environment. Coal power plants also emit dust that destroys our crops," he said.

The United States Department of Energy (USDE) said, “Wind energy relies on the renewable power of the wind, which can't be used up. Wind is actually a form of solar energy; winds are caused by the heating of the atmosphere by the sun, the rotation of the earth, and the earth's surface irregularities.”

It stressed that wind energy “is one of the lowest-priced renewable energy technologies available today, costing between 4 and 6 cents per kilowatt-hour, depending upon the wind resource and project financing of the particular project.”

Purzuelo said the Philippines, as the rest of the world, has many options where to source the electricity needed by industries and people. But for him, it’s best to pick the “power of the wind. It’s free, safe, clean, sustainable and renewable.”


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** Rexcel John B. Sorza is a journalist from the Philippines and a Bachelor of Arts in Broadcast Communication and Management. He was recently the runner up in the Water Media Network Journalists’ Competition and received his award at the Third World Water Forum in Kyoto, Japan.Your emails will be forwarded to him by contacting the editor at: ScienceTech@islam-online.net.


Sustainable Energy to Partner with Chinese on Wind Power: Agreement to Jointly Develop Vertical Axis Turbines for China

AUGUST 8, 2005 - 11:01 ET

Sustainable Energy to Partner with Chinese on Wind Power: Agreement to Jointly Develop Vertical Axis Turbines for China

CALGARY, ALBERTA--(CCNMatthews - Aug. 8, 2005) - Sustainable Energy Technologies Ltd (TSX VENTURE:STG), announced today that it has agreed to collaborate with a Chinese Group to advance the development and commercialization of Darrieus type wind turbines for use in China and other markets around the world.

Under a memorandum of understanding signed by Guo Shuyan on behalf of the China Renewable Energy Technologies Delegation, Sustainable Energy will license its technology and know how, and will collaborate with the Chinese, in advancing vertical axis wind turbine technology, beginning with the construction and testing of a commercial prototype of Sustainable Energy's 250kW turbine - the "Chinook 250" - at a test site in Southern Alberta.

Guo Shuyan is currently Vice Chairman of the Finance and Economic Committee of the National People's Congress, and was, until recently, Executive Director of the State Council Three Gorges Project Construction Committee.

"The partnership is an important validation of the value of our wind turbine design and of our expertise with this technology," said Michael Carten President & CEO of Sustainable Energy. "But equally importantly, the relationships we are building with the wind turbine partnership will provide the foundation for other partnerships to manufacture and distribute our power electronics products in the Chinese market.

Sustainable Energy has been a leader in vertical axis Darrieus type wind turbines known around the world as the Canadian wind turbine. The Chinook 250 design was developed with support from Canada's National Research Council in 1999 - 2000 to provide a simple, low-cost wind turbine that will significantly reduce costly diesel fuel consumption for power generation on small islands, in remote areas, and throughout the developing world.

"We scoured the world for a robust, simple and cost effective solution to remote wind power generation and that led us to Sustainable Energy," said He Dexin, Chairman of China Wind Energy Association and a member of the Delegation. "In combination with Sustainable Energy's extensive experience with power conditioning, they possess the unique capability to enable cost effective integration of renewable energy into remote diesel micro-grids, and to provide clean power to markets in remote areas of China and around the world."

The agreement with the Chinese is subject to approval of the National Research Council.

Sustainable Energy Technologies Ltd (www.sustainableenergy.com) develops manufactures and markets products for emerging alternative and renewable energy markets.

Certain statements contained in this press release may be considered as forward-looking. Such forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from estimated or implied results.

RenewableEnergyAccess.com | Energy Bill Solves Market Access for Wind Power

Energy Bill Solves Market Access for Wind Power
August 11, 2005

Washington, D.C. [RenewableEnergyAccess.com] The Energy Policy Act of 2005 signed by President Bush contains a number of important provisions for the wind energy industry. While it's clear by now that the wind power industry will be able to ramp up development thanks to the bill's extension of the production tax credit (PTC) through 2007, there are other elements of the energy bill that bode well for the future of wind power.

"The Energy Policy Act chips away at two important barriers to continued wind energy development in this country."

- American Wind Energy Association (AWEA) Executive Director Randall Swisher. Specifically, the bill requires that utility system reliability rules to be developed for the nation be non-discriminatory, and provides incentives to encourage construction of new and upgraded transmission lines.

"By requiring that new national reliability rules be non-discriminatory and by providing incentives to ease transmission bottlenecks, The Energy Policy Act chips away at two important barriers to continued wind energy development in this country," said American Wind Energy Association (AWEA) Executive Director Randall Swisher. "While they do not replace the need for the production tax credit to spur production of clean, safe, domestic, renewable energy like wind, these long-term reliability and transmission provisions could help level the playing field and brighten the long-term planning horizon for wind power."

Summaries by AWEA of the two major reliability and transmission provisions follow.

Electricity Modernization Act of 2005
Sec. 1211: Electric Reliability Standards (Pages 1080-1096)

The provision creates an Electric Reliability Organization (ERO) to create and enforce reliability standards subject to the review of the governments of the U.S., Canada, and Mexico. The Federal Energy Regulatory Commission (FERC) will oversee the ERO in the U.S.. The ERO must be independent yet ensure fair stakeholder representation and balanced decision-making. The ERO may file proposed reliability standards with FERC, which will approve them if they are just, reasonable, not unduly discriminatory or preferential, and in the public interest.

What it does:

This provision is the most significant piece of EPAct 05 for the electric industry. Until now reliability has been voluntary and in the hands of hundreds of different parties, all with strong commercial incentives that do not necessarily coincide with reliable operation. After the Northeast blackout of August 2003, pressure for mandatory standards gave many policy makers a good reason to support the energy bill. AWEA believes the wind industry and the rest of the electric industry will benefit by having mandatory reliability standards.

The language in the Act for the first time requires all reliability rules to be non-discriminatory. Discriminatory rules are a clear and present danger: even though modern wind turbines can ride through system faults, contribute reactive power and active voltage control, and otherwise contribute their fair share to overall reliability, AWEA is concerned that the North American Electric Reliability Councils (NERC) comments to FERC in FERCs currently ongoing generator interconnection proceeding create a higher hurdle for wind than other resources. The wind energy industry is currently engaged in discussions with NERC and FERC to resolve this issue, and expects this new law will help AWEA in these proceedings.

Transmission Infrastructure Modernization
Sec. 1221: Siting of interstate electric transmission facilities (page 1096)

This provision directs the U.S. Department of Energy (DOE), in consultation with the affected states, to conduct a study of transmission congestion and issue a report designating national interest electric transmission corridors. This classification is based on the need for reasonably priced electricity, the need to access more supply and diversify energy sources, and effects on energy independence, national defense and homeland security.

Within certain limits, FERC may authorize the taking of private property and issue construction permits if a state does not have authority to approve the facilities. For siting on federal land, DOE shall act as the lead agency for coordinating federal authorizations. States may form interstate compacts establishing regional transmission siting agencies. FERC has no siting authority over states that are members of a compact unless the states disagree.

What it does:

This provision adds significant pressure to relieve interstate transmission bottlenecks, and could allow for the designation of corridors between wind-rich areas and the high voltage transmission system, based on the criteria of energy independence and diverse supplies.

This provision does not help, however, with cost allocation, which is typically the more difficult challenge in building the transmission necessary to bring wind power to market from windy areas in the heartland.

Harnessing Wind Energy in Eritrea

Wed Aug 10 11:06:25 2005 Pacific Time

Harnessing Wind Energy in Eritrea
BERKELEY, Calif., Aug. 10 (AScribe Newswire) -- At the southern tip of the Red Sea, a constriction formed between two mountain ranges funnels wind onto the shores of Eritrea, a small African nation wedged between the sea and Ethiopia. The country has endured its share of hardships over the years, having won its independence from Ethiopia in 1991 after decades of struggle. But it can count among its blessings that relentless breeze.

"It's a wind resource that is better than most wind resources in the U.S.," says Robert Van Buskirk, a scientist with the U.S. Department of Energy's Lawrence Berkeley National Laboratory (Berkeley Lab) who develops cost-benefit analysis models of energy policy. Earlier this summer, he spent four weeks in Eritrea to help the nation embark on a $3.8 million pilot project to determine whether a large portion of its energy can be derived from wind-powered turbines. As part of the project, Berkeley Lab has been contracted to help Eritrea create the most efficient procedures for implementing wind energy systems, as well as develop protocols that track the project's progress.

It's a big undertaking for a nation with a population of 4.5 million and an average annual income of $250 per person. The United Nations and an international consortium of donors called the Global Environmental Facility funds half of the nine-month-old project, while the Eritrean government provides the other half. But money isn't the only obstacle.

"The barriers are mostly technical. We need to determine how to develop sustainable contracts between the people of Eritrea, companies that develop wind energy systems, and technical advisers," says Van Buskirk, a member of the Environmental Energy Technologies Division's Energy Analysis Program, which explores ways to introduce energy efficient technologies into society. "Getting these worlds to meet in an economically feasible way is difficult," he adds.

In the project's initial phase, engineers will soon install eight wind energy systems in six villages, some of which have never had electricity. These wind turbines will be used to pump irrigation water, provide electricity for everyday use such as lighting and making ice, and power desalinization plants that provide fresh drinking water to seaside fishing villages. Engineers will also build a multi-turbine wind-park that feeds into the electricity grid of the southern port town of Assab.

"In diffusing wind technology to Eritrea, we want to pilot test an array of applications because we won't know which ones will work best," says Van Buskirk.

Berkeley Lab scientists are also developing conceptual designs for six follow-up installations that include more expansive wind energy systems for remote villages, and a large wind-park for the central grid.

Ultimately, Eritrean officials would like to generate as much as 50 percent of the nation's grid electricity via wind power. It's too early to tell whether this goal is technically feasible, but Van Buskirk believes it may be economically viable. He estimates that wind energy will pay for itself in five years if it supplants Eritrea's thirst for foreign fuel oil, which it currently uses as its main fuel for generating electricity. Eritrea's quest for a greener energy program isn't purely driven by environmental concerns either: The nation has worked to be as self-reliant as possible since gaining independence, meaning it must find alternatives to imported oil.

Van Buskirk is uniquely qualified to help shepherd this transition along. Before joining Berkeley Lab in 1999, he worked for three years at the Eritrean Department of Energy's Energy Research and Training Center, which he describes as the Eritrean equivalent of Berkeley Lab, albeit in one small compound. While there, he helped establish research programs in wind and solar energy resource assessment, and stove efficiency.

This latter program has evolved into another energy efficiency project. Eritrean villagers are adopting clean-burning cooking stoves that are three times more fuel efficient than traditional stoves. With help from Harvard University undergraduate student Elena Krieger, a former summer intern at Berkeley Lab who also recently traveled to Eritrea, Berkeley Lab scientists are developing ways to document the economic and health impacts of this program, which installs up to 10,000 new stoves each year. The Eritrean government helps fund the project by selling carbon credits on the international market, a process facilitated with help from Berkeley Lab scientists. These credits are earned because the new stoves emit less carbon, a greenhouse gas.

Van Buskirk has also helped several Eritrean students earn Master's degrees in meteorology from San Jose State University. Two of these former students have recently developed computer simulations that assess the wind resources of Eritrea's highlands and southeastern coast. The simulations were a feature presentation for a delegation of Eritrean experts and leaders who came to Berkeley Lab in January.

"I'm a communication bridge between this world and that world," says Van Buskirk, adding that language and cultural barriers sometimes pose challenges. "When I go to some remote villages to discuss our work, a local staff member translates my words into the Eritrean language of Tigrinya, then a person from the village translates it into a local dialect, called Tigre."

Such hurdles are easily justified, however, as remote villages stand to gain the most from new technologies. In rural areas that have never had modern luxuries such as electricity and running water, projects that raise living standards while decreasing labor often pay for themselves in less than one year.

"It's an extreme case study in technology diffusion. We start with a place that is a world research leader like Berkeley Lab, and go to a place that is the largest socioeconomic distance from that, which is rural Africa," says Van Buskirk. "The difficult part is learning how to adapt technologies to a socioeconomic world far removed from our everyday life. We need to create a context in which people can sustain efficient energy systems over the long term. And in terms of evaluating and creating long-term sustainability, we find that the villagers, rather than the scientists, are the real experts."

Other Berkeley Lab scientists and staff involved in the wind energy pilot project and stove replacement project include Bill Golove and Chris Bolduc, also of the Environmental Energy Technologies Division.

- - - -

CONTACT: Dan Krotz, LBL Media Relations, 510-486-4019, dakrotz@lbl.gov

ABOUT THE LAB: Berkeley Lab is a U.S. Department of Energy national laboratory located in Berkeley, Calif. It conducts unclassified scientific research and is managed by the University of California. Learn more at http://www.lbl.gov .

NOTE TO EDITORS: An html version of this release with images can be viewed at http://www.lbl.gov/Science-Articles/Archive/EETD-Eritrean-energy.html .

Media Contact: Dan Krotz, 510-486-4019, dakrotz@lbl.gov