Utility files
for approval of wind farm: Project expected to cost up to $175 million
Sep 15, 2006 - Milwaukee Journal Sentinel
Author(s): Thomas Content
Sep. 15--Wisconsin Power & Light Co. plans to spend as much as $175
million to build a wind-power project in Fond du Lac County to beef up
the amount of electricity it produces with wind turbines.
The Cedar Ridge Wind Farm in the Towns of Empire and Eden would
consist of about 40 wind turbines generating enough power to meet the
needs of roughly 20,000 homes.
On Thursday, the utility filed an application with state regulators
seeking a guaranteed rate of return over 20 years, under the provisions
of a state law that passed last year.
Wisconsin Power & Light Co., a subsidiary of Alliant Energy Corp.,
produces about 3% of its electricity from wind turbines, spokeswoman
Erin Dammen said.
That would jump to as much as 5.5% after the proposed wind-power
project begins operating, if it's approved, she said.
A state law passed last year requires that 10% of the state's
electricity be produced by renewable sources of power, whether wind
turbines, solar panels, waste-to-energy systems or hydroelectric plants,
by 2015.
The utility wants a 12.9% return on its investment, it said in a
filing with the state Public Service Commission.
That's similar to the 12.7% return authorized by state regulators for
Milwaukee-based Wisconsin Energy Corp. for its more than $2 billion
investment to build new coal-fired power plants in Oak Creek.
The head of an electric customer group that regularly weighs in at
the state Public Service Commission indicated Thursday that the profit
Wisconsin Power & Light seeks to make on its wind-project investment
seemed "quite high."
"Any way you slice it, we think they'll probably need to crank down
on how much that's going to cost," said Todd Stuart, executive director
of the Wisconsin Industrial Energy Group, which represents more than 30
manufacturers that use significant amounts of energy in their production
processes.
In a filing Thursday, a consultant hired by the utility said he
concluded the 12.9% return was appropriate given the risks associated
with building wind-energy projects and it would provide both price
stability for customers and earnings stability for Alliant.
For more information, see
www.alliantenergy.com/cedarridge To see how a wind turbine works,
see:
www1.eere.energy.gov/windandhy dro/ wind_animation.html
© Copyright 2006 NetContent, Inc. Duplication and
distribution restricted.Visit http://www.powermarketers.com/index.shtml
for excellent coverage on your energy news front.
|