WIND’S PORT OF ENTRY

Want a hint of what is at stake in the fight over the New Energy incentives or, more specifically, the wind energy industry’s production tax credtit (PTC) and the solar energy industry’s investment tax credit (ITC)?

Last December, the Port of Longview spent $4.6 million for a crane to unload wind turbine towers and nacelles. (See WASH STATE PORT BUYS CRANE JUST FOR WIND) Why? Because, after seeing its activity drop off with the waning of U.S. industry, the port's vitality returned when it remade itself as a center for the delivery of wind turbines manufactured in Europe and bound for wind installations in the Midwest and West.

Such import shipments represent more than 25% of the port's 2008 revenue. $1.5 million of that revenue went to longshore wages, about 30 jobs. How many more ancillary jobs does that revenue create? From the company that manufactured the crane to the cafes that feed the dockworkers, this is a huge part of the employment opportunity of the region.

Activity is booming. With the U.S. wind turbine manufacturing sector now on the upswing, port crews have begun handling exports going overseas from domestic turbine parts makers in addition to their busy import duties.

Ken O'Hollaren, Director, Port of Longview: "I think there's enough growth here to accommodate exports as well as imports…"

The wind industry is expected to go on generating and growing Port of Longview business, turning it into a regional economic dynamo – unless Congress fails to extend the wind energy PTC that expires December 31, 2008.

The pattern is clear. When Congress withheld extension of the wind industry’s PTC for 2000, 2002 and 2004, productivity fell dramatically (93% in 2000). Without extension of the PTC this year, the industry is headed for a 2009 tailspin, a tailspin that could turn the Port of Longview into a fishing pier.

A reasonable person would find it hard to believe any U.S. Congress would impose drastic recession on a booming sector of an otherwise floundering economy – but that is what this Congress may very well do.

Ask Congress to be reasonable at Support Renewable Energy Tax Credits

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Port of Longview shifts from logs to wind turbines
September 1, 2008 (AP via Seattle Post-Intelligencer)

WHO
Ken O'Hollaren, Director, Port of Longview; Valerie Harris, marketing director, Port of Longview

WHAT
The Port of Longview has become one of the primary entry points for foreign wind energy turbine towers and parts bound for the windy plains.

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WHEN
- 5 years ago: The port handled “a couple of ships” with wind energy cargoes a year.
- 2003 to 2008: 1,300 percent growth in the handling of ships with wind energy cargoes.
- 1990 to 2007: Log exports to Asia fell from 130 vessels with 356 million board feet to 6 ships with 11.4 million board.

WHERE
- The Port of Longview is on the Columbia River, ~45 miles north of Portland, Ore.
- The equipment coming through the port is primarily European, from Denmark, Spain and Germany.
- It is likely Chinese equipment will be coming soon.

WHY
- The Port of Longview expects to service 40 vessels with 3,000+ tower sections/turbine components on their way to wind installations in the Midwest and West.
- The Port of Longview formerly handled mainly raw log exports.
- The port’s wind energy-related activity has grown to so crowded a stream of vessels that port officials now hold 50 acres of land open for storage of newly arrived wind turbines while they wait for transport to wind farms.
- With 13 new domestic turbine and turbine parts manufacturing plants added to the 36 already in business in the U.S., export activity at the port is sure to be in the offing.

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QUOTES
- Ken O'Hollaren, Director, Port of Longview: "It has replaced, to a large extent, the revenue associated with log exports…It has filled that gap nicely."
- Valerie Harris, marketing director, Port of Longview: "If (developers) don't know what the price is, they can't put together the package they need…"