BigWind cries on the playground

 

BigWind has become the lone child on the playground with no friends. As evidenced below, the industry says, “We really can’t get long-term contracts anymore”. Here in Ohio, Iberdrola convinced OSU to jump start the 1st industrial wind site here. Other sites are in the works, but where are the buyers of their energy? Nowhere to be found. Why? Their energy is expensive, intermittent and unreliable. What can BigWind do? Run to the teacher and whine, until someone is forced to befriend them. At the bottom of the article, you see the industry reference Obama’s Clean Power Plan. It is through mandates and legislation and taxpayer gifts that this industry will survive. Until then, BigWind may sit in the corner and cry…

“We really can’t get long-term contracts anymore,” said Jim Spencer, CEO of EverPower Wind Holdings in the Strip District which operates seven wind farms, four in Pennsylvania.

Five years ago, about 50 percent of EverPower’s installed capacity was under long-term contracts, but the last one it signed was in 2009.

Now new types of customers are emerging — corporations and other entities, like the District of Columbia, that want to secure large amounts of renewable power to meet their sustainability goals — although they do not yet require the volume of energy to match the traditional utility purchasers of the past.

“Our universe of buyers has changed drastically,” Mr. Spencer said. “We’re not talking to utilities anymore. We’re talking to the Amazons, the Googles, the Procter & Gambles — data companies with large loads (who) want price certainty.”

Those contracts span a minimum of 10 or 12 years, he said….

Industry leaders see opportunity after 2020, when states are likely to embrace new renewable energy sources to help them comply with federal requirements to reduce their power sector carbon emissions under the Obama administration’s Clean Power Plan….

Source: Wind energy seeks long-term, committed partner

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