Every day is Earthday.

Some details about NewEnergyNews and the man behind the curtain: Herman K. Trabish, Agua Dulce, CA., Doctor with my hands, Writer with my head, Student of New Energy and Human Experience with my heart



Your intrepid reporter


    A tip of the NewEnergyNews cap to Phillip Garcia for crucial assistance in the design implementation of this site. Thanks, Phillip.


Pay a visit to the HARRY BOYKOFF page at Basketball Reference, sponsored by NewEnergyNews and Oil In Their Blood.

  • ---------------
  • Monday, September 17, 2012


    An Argument Over Wind

    Matthew l. Wald, September 14, 2012 (NY Times)

    “…Last week, the American Wind Energy Association expelled [major energy secotr player] Exelon [which owns some two percent of U.S. wind capacity] as a member because the company opposed a renewal of the [production tax credit]…The association says that if the tax credit expires, some 37,000 jobs will be eliminated next year and that deliveries of new turbines will spiral to zero…

    “…Exelon says the tax credit is distorting energy markets because the credit itself is larger than the average value of electricity produced in the Midwest. Surges of wind energy late at night during periods of low electricity demand are driving the market price of electricity below zero, according to independent statistics. [Wind industry advocates say negative pricing is rare and highly localized and simply points up shortcomings in transmission capacity]…[With] the Obama administration favoring an extension…and Mitt Romney opposing it…the credit’s fate may be resolved by the November election…[Wind adovacates argue that the production tax credit does not directly affect market prices. But opponents say that when new generation is added in a way that creates sudden surpluses, the market impact is clear…Either way, low prices are a boon for consumers, the wind industry said.]”

    “…Texas [recently] had a shortage of generating capacity as a result of a market distortion…[because if] wind developers can make money even when prices are negative…it discourages others from building other kinds of power plants…The problem for Texas is that wind generation does not coincide with peak demand…State power planners estimate that for every 100 megawatts of wind machines installed in the state, only about 8 megawatts will be available on peak days.

    “The tax credit, which applies to projects that are completed by Dec. 31, is 2.2 cents per kilowatt-hour. [The wind industry noted that companies that burn coal and natural gas get a subsidy too, in that they are allowed to dump pollutants into the air without paying for the damage]…Depending on the tax status of the wind farm developer, the credit can be worth as much as $34 per megawatt-hour…[Exelon] said that in the last two years, the average price of a megawatt-hour at the Northern Illinois Hub , one of the main spots on the grid in eastern North America where electricity is priced, has ranged from $28 to $31…”


    Post a Comment

    Note: Only a member of this blog may post a comment.

    << Home