HUGE BUFFETT WIND BUY IN IOWA

MidAmerican Energy will invest $1.9 billion in wind projects in Iowa

William Petroski, May 8, 2013 (Iowa Politics)

“…MidAmerican Energy will make a $1.9 billion investment in Iowa for wind energy projects that will be the biggest single economic investment ever in the state…MidAmerican officials said no sites have been selected yet…MidAmerican Energy Co. will add up to 1,050 megawatts of wind generation, consisting of up to 656 new wind turbines, in Iowa by year-end 2015…The wind expansion will enhance economic development and provide in excess of $360 million in additional property tax revenues over the next 30 years…Landowner payments totaling $3.2 million per year also are expected…

“…[T]he expansion is planned to be built at no net cost to the company’s customers and will help stabilize electric rates over the long term by providing a rate reduction totaling $10 million per year by 2017, commencing with a $3.3 million reduction in 2015, MidAmerican officials said…MidAmerican Energy began building wind projects in 2004. To date, 1,267 wind turbines [and 2,285 megawatts of wind generation capacity] have been installed in Iowa, representing a total investment of approximately $4 billion. [It is No. 1 in wind ownership among rate-regulated utilities] In light of the recent federal wind production tax credit extension, the company said it is asking to expand its wind generation capacity…”

click to enlarge

“MidAmerican Energy estimates that by January 2016, when all new wind generation is expected to be operating, it may be capable of generating approximately 39 percent of its retail generation output through wind generation during that month…If the expansion is approved by the Iowa Utilities Board, MidAmerican Energy will own and operate approximately 3,335 megawatts of wind generation capacity in Iowa by year-end 2015, officials said…

“…[C]ompanies such as Facebook and Google want clean energy, so the move also could attract new developments…[T]he project will keep Iowa on track to generate 10,000 megawatts of wind power by 2020, and will help support jobs at turbine-component businesses and blade manufacturers…The utility’s project will boost Iowa’s overall nameplate wind generation, from all sources, by 20 percent, to 6,000 megawatts from 5,000 megawatts currently…The U.S. Department of Energy has estimated that Iowa would have to produce 10,000 megawatts of wind energy by 2020, and 20,000 by 2030 to meet environmental groups’ goal to have the country produce 20 percent of its power from wind by 2030.”

Tweet