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Archive for Friday, January 13, 2012

2 wind farms in western Kansas secure financing

January 13, 2012

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— Developers of two separate wind farms in western Kansas say they have secured financing to complete the projects.

CPV Renewable Energy Co. has received $262.8 million to help construct a 165.6-megawatt wind farm near Cimarron in Gray County. The company says the financing comes from five investors, led by Bank of Tokyo Mitsubishi and Union Bank of California.

The Hutchinson News reports that the company expects the plant to be operating by November. The project will supply Tennessee Valley Authority with renewable energy.

Also this week, BP Wind Energy said it reached agreement with Sempra U.S. Gas & Power to invest more than $1 billion in a wind farm in Barber, Kingman and Harper counties, and another wind farm in Pennsylvania.

Comments

Shane Garrett 2 years, 11 months ago

I wonder if the return on investments will work? I am sure some studies were done but it would be nice to know.

Ron Holzwarth 2 years, 11 months ago

The unfortunate reality is that without government subsidies and tax credits, wind farms are definitely not economically viable with today's technology. But with the government subsidies and tax credits, they can be quite profitable for the owners.

It's very much like the electric cars, sure they're good in some ways, but did you know that the US government pitches in $7,500 towards the purchase price of every one sold? So if you ever see an electric car driving by, be sure to take a good look at $7,500 of your tax dollars driving by.

Back to wind farms, they may become much better in the future with more efficient designs such as this:

http://www.mnn.com/green-tech/research-innovations/blogs/japanese-breakthrough-will-make-wind-power-cheaper-than-nuclea

The bottom line is that wind farms are profitable for the owners until the subsidies and tax credits run out, and then the farms tend to shut down. That's been the case with just about all of the wind turbines, they are just soaking up tax dollars.

http://wattsupwiththat.com/2011/03/19/the-reality-of-wind-turbines-in-california-video/

http://www.aweo.org/problemwithwind.html

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