By ANN HINCH Assistant Editor INDIANAPOLIS, Ind. — Last year, developers added 1,037 megawatts (MW) of wind production in northwestern Indiana. In 2008, the state only added 130 MW; this year, there are 99 MW being constructed in the form of more wind turbines, according to Dan Thompson, vice president of Energy Marketing for Invenergy LLC in Chicago.
Thompson was one of several speakers at last week’s two-day WIndiana wind energy conference in Indianapolis, now in its third year. This year’s aim, wrote state Office of Energy Development Director Brandon Seitz, was discussions on “how we integrate wind power into our lives” now that Indiana is growing toward harnessing more of the natural resource.
“I think it’s key that we get support in this state from utility companies and regulators,” Thompson said, listing two key ways to integrate more turbines with the electrical grid, off of which power companies sell to customers.
Renewable energy should be part of Indiana’s overall power strategy, he said. It is more expensive at first, but this kind of energy has advantages over more traditional sources such as fossil fuel – for one, it’s renewable. Because of this, he said, after initial construction expenses, renewable power generation “locks in” lower costs over time as compared to fossil fuels.
Right now, about 93 percent of Indiana’s electric is coal-generated, according to the U.S. Energy Information Administration. The rest is powered by natural gas and renewable energy, of which wind is just a slice. Thompson said now is a good time to start wind projects, since the state has incentives that won’t expire until the end of 2012, and equipment and construction costs are lower than they used to be.
Invenergy has wind projects in Illinois, Iowa and Wisconsin, but not yet in Indiana, though Thompson said it did open a Lafayette office in 2008. While not in the ideal region of the United States for the most wind – that would be the Plains states – according to the National Renewable Energy Laboratory, Indiana has respectable wind, especially in the upper two-thirds of the state, at an average speed of 15 mph or faster.
There’s a real opportunity that within 20 years, he said, Indiana could be supplying wind-generated electricity to parts south as far as Florida. “There’s not really any wind in the Southeast,” Thompson pointed out.
Closer to home, there are chances for Hoosiers to profit from the construction and installation of commercial turbines. Thompson said the U.S. Department of Energy figures that building a 150 MW project in Indiana now would mean 75 jobs and an $86.2 million local economic stimulus during construction; and after, 42 full-time local jobs as well as $2.3 million paid in property taxes and a $6.7 million local spending stimulus annually.
Manufacturing is another sector that could benefit. Jim Buddelmeyer, vice president of North America purchasing for Gamesa Wind U.S., said the Spanish-owned company’s Pennsylvania factory sells turbine parts alone, or equipment plus wind farm design, setup and management services.
It currently manages 2,113 MW of power in the U.S.; its first wind farm took root in Compton, Ill., in 2003. Right now it has an Ohio project slated to go online this year, as well as one in New England.
Because of this, he said a “very, very big part” of Gamesa’s business is construction services and logistics. To that end, the company is looking for subcontractors to provide inspection for electrical and gear box components; blade repair; and operations and maintenance tower work.
It is also in need of large portable generators and large-part fabricators, as well as cables, engineering for tools, fixtures and inspection devices, transport of assemblies to the wind farms, environmental inspectors and contractors to complete civil work on the farms.
In short, Gamesa is looking for suppliers with technological know-how and the proper ISO and other certification – a long list of qualities Buddelmeyer said the company has compiled but not yet put on its website. “Technology will differentiate us from our competitors,” he explained, adding Gamesa this year alone is working on a way to reduce noise and “shadow” of turning blades.
Last year, the worldwide company spent 53 percent of its budget in North America. He also predicted up to 30 Asia-based equipment manufacturers will likely enter the North American wind power market in the near future.
For wind turbines to be installed takes more than the government and landowner cooperation, Thompson said – utility companies have to be willing to connect with the technology and buy the power. This will take investment on their parts, and he said what they want more than anything is clear laws in the states where wind farms are.
Other Midwest states have Renewable Portfolio Standards (RPS) that dictate where their electricity will come from in the next couple of decades. Michigan’s is to have 10 percent of its total power generated by renewable sources within five years; In Illinois and Ohio, it’s 25 percent by 2025. Wisconsin has an RPS; Missouri has an RPS.
Indiana, Thompson said, does not have an RPS; the big question is, will it create its own set, or wait for the federal government to so? |