NewEnergyNews: BIG ELECTRIC IS BUYING WIND/

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    Founding Editor Herman K. Trabish

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    Wednesday, August 15, 2007

    BIG ELECTRIC IS BUYING WIND

    Actually, at this point, EVERYBODY is buying wind.

    AEP subsidiaries invest in wind energy
    August 8, 2007 (Business First of Columbus)

    WHO
    American Electric Power Company Inc. subsidiaries Appalachian Power and Indiana Michigan Power, Fowler Ridge Wind Farm

    The basic idea: Wind is getting on the grid. (click to enlarge)

    WHAT
    Appalachian and Indiana Michigan, 2 subsidiaries of AEP, one of the US’ biggest utilities, signed contracts for the purchase of 200 megawatts of wind energy from Fowler Ridge Wind Farm.

    WHEN
    Folwer Ridge is expected to be operational and connected to AEP transmission by the end of 2008. The contracts run 20 years.

    WHERE
    AEP owns 2 wind farms in Texas with a 310 megawat capacity and is in the process of purchasing 2 more.
    AEP serves Ohio, Indiana, Kentucky, Michigan, Tennessee, Oklahoma, Texas, Virginia, West Virginia, Arkansas and Louisiana.

    WHY
    Further wind energy contracts are expected by AEP. Its goal is to provide 1000 megawatts of wind power by 2011.
    AEP 2006 revenue: $12.6 billion. 2006 profit: $1 billion.

    See the trend? (click to enlarge)

    QUOTES
    Michael Morris, Chairmand & CEO, AEP: "Although we've long had significant wind resources in our western generation portfolio, these two contracts represent the first commercial use of wind energy to serve the electricity demands of customers in our eastern seven-state footprint…Using wind energy to help satisfy our need for additional generation improves the fuel diversity of our eastern fleet and supports progressive state initiatives to expand renewable energy resources."

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