QUICK NEWS, June 22: JERSEY OFFSHORE WIND RUSH; TEXAS WIND LOOKS TO GULF; MAINE SEES OPPORTUNITY OFFSHORE; DEAL MOVES LAKES ERIE WIND AHEAD

JERSEY OFFSHORE WIND RUSH
Demand is strong for N.J. offshore wind farm parcels
Eliot Caroom, June 11, 2011 (Newark Star-Ledger)

"Eleven offshore wind companies want to stake a claim — and construct clusters of huge turbines — in federal waters off the coast of New Jersey, according to a document released by federal officials…

"Authorities sought to gauge interest in a checkerboard of parcels in the sea starting about 8 miles from the Jersey Shore…[I]t is clear that more than a few companies have an eye on the territory…"

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"Offshore wind has been a recent focus of attention for both federal authorities and the state, which unveiled guidelines for new financial incentives for wind projects earlier this year. A state law calls for at least 1,100 megawatts of offshore wind capacity — enough to power more than 400,000 households.

"The stretch of ocean is one of four East Coast areas chosen by the federal government for priority development…The 550-square mile area to be leased by the federal government is divided into more than 70 blocks, and most of the companies expressing interest applied to develop large portions of the area. At least two applied for the whole thing."

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"Others had a more narrow scope, including Garden State Offshore Energy, a joint venture between PSEG and Deepwater Wind…Interim research leases were awarded in 2009 to Bluewater Wind, Deepwater Wind and Fishermen’s Energy of New Jersey, which is near the end of permitting for a smaller 25-megawatt wind farm a few miles off the coast of Atlantic City.

"After reviewing the responses…the Bureau of Ocean Energy Management, Regulation and Enforcement [of the Department of Interior] will decide how to manage the bidding process for leases."


TEXAS WIND LOOKS TO GULF
Wind energy company proposes massive leases off South Texas coast
Mike D. Smith, June 16, 2011 (Corpus Christi Caller Times)

"…Baryonyx Corporation, Inc., has applied for a permit through the U.S. Army Corps of Engineers to install up to 200 wind turbines each in three areas between Corpus Christi and Brownsville.

"The company [which has built a wind farm off the coast of the United Kingdom] proposes building a wind farm on more than 26,200 acres off Mustang Island…An alternate, 45,000-acre site was negotiated with the Texas General Land Office in case of any concerns that may arise about Naval Air Station Corpus Christi operations…"

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"Baryonyx's senior vice president of offshore wind projects Mark Leyland said [his company is working diligently to ensure the proposed wind farms don't interfere with area military operations]…

"Leyland said Corpus Christi has the potential for…fabrication and storage needs — and associated jobs — should the project be built…The proposed site is under official review by a U.S. Department of Defense specialist and a report could be released within the next three months…[Naval personnel do not think] Baryonyx's initial plans to set up a few test turbines will strongly impact the stations' missions."

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"Wind turbines can cause radar problems such as false returns depending on distance, their positioning and certain weather conditions…[Nearby turbines] have caused radar problems, mostly because they are arranged in different directions and were installed too close together… [The Navy asks deverlopers to work with them early in the planning and] Baryonyx has shown a lot of willingness…

"Fully developed, Leyland estimated the Texas coastal fields could generate 3 gigawatts of electricity…One gigawatt can power about 250,000 homes…Texas is…the nation's wind energy leader and is actively trying to lease as much of the state's offshore waters for that purpose as possible, Texas General Land Office spokesman Jim Suydam said…[D]oing so creates a revenue stream for public education, similar to oil and gas revenues…[Texas leaves local issues to] companies and local interests [and only requires developers to abide by state and federal laws], Suydam said."


MAINE SEES OPPORTUNITY OFFSHORE
Economic development in offshore power touted...
Matt Wickenheiser, June 16, 2011 (Bangor Daily News)

"Gov. Paul LePage’s energy czar [Kenneth Fletcher]…said the administration sees economic development potential from the development of offshore energy…The next step, said Fletcher, was for administration officials to have comprehensive talks with researchers and developers working on Maine’s nascent offshore wind sector to fully understand the opportunities and challenges.

"Development of alternative power shouldn’t come at a cost to ratepayers, Fletcher said, and experts in the field must look at new ways of funding such power. For example, if merchant lines export energy produced in Maine, “tolls” on that energy could be used to offset investment in development…Development of alternative sources of electricity should be viewed as a replacement for oil, Fletcher said. Both supply and costs of oil can be unpredictable, and when they jump, they hurt Mainers both at the gas pumps and in the cost of heating oil. Maine is the most dependent state on heating oil…"

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"Habib Dagher, a University of Maine professor and leader in the DeepCwind Consortium, which is developing the offshore wind sector, said that when gas hits $4 a gallon in Maine, it means $5 billion a year leaves the state. The annual state budget is $3 billion…$243 billion was spent last year in the renewables sector…Maine can develop wind farms 20 miles off the coast to produce green power for the East Coast, where more than 55 million people live, he said. Like the export of potatoes, wood products, paper and lobsters, Maine can export power and prosper from the trade…

"The goal is to bring the cost of offshore wind power to 10 cents per kilowatt hour by 2020, at the grid. That’s the production cost of energy. Currently, power in the state is at roughly 16 cents per kilowatt hour, and half of that is transmission costs, he said…"

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"John Ferland, vice president of project development at Ocean Renewable Power Co. LLC, talked about his company’s tidal power technology, which recently finished beta testing in Cobscook Bay…Cianbro Chairman and CEO Peter Vigue said it was reasonable to think of Maine as New England’s future renewable power provider. The state has the people and companies to make it happen, the proximity to the market and the natural resources…

"…[T]he state can become a leader in making the technology for the industry, Vigue said…As the scale of turbines increases over the next decade, new materials and technology will be needed for blades, superstructure and other parts, he said. They can be developed and tested at UMaine labs…Maine’s expertise in manufacturing, advanced materials and other areas can attract companies here to make equipment for the wind sector…"


DEAL MOVES LAKES ERIE WIND AHEAD
Lake Erie wind project embraces regionalism with revenue sharing agreement
Alison Meaney, June 2, 2011 (Cleveland Sun News)

"Lake Erie’s offshore wind project took a giant leap toward regionalism…with an agreement to share revenue associated with submerged land leases across four counties…The initial five to seven turbines…are slated for construction in Cuyahoga County waters in 2013…[but] the revenue-sharing agreement sets a precedent for the project as it grows. According to Lorain County Commissioner Ted Kalo, the goal is to erect about 250 turbines…

"Initially, the Ohio Department of Natural Resources will receive half of the revenue from the leases for the underwater transmission lines, and the other half will be split across the four counties…"

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"The five-year contract establishes that the Cleveland-Cuyahoga County Port Authority would receive 40 percent of the revenue, or about $11,000, while Lorain, Lake and Ashtabula counties would receive 20 percent each, or about $5,500…"

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"Kalo estimates the first phase of the project would employ 600-800 people, but that it could ultimately employ up to 10,000-12,000 workers. [This suggests students in Lorain County Community College’s wind turbine technology program will have fantastic job security.]

"He described a race to install offshore wind turbines in the Great Lakes with competitors including Illinois, Michigan and New York…[The state that gets started first will have the best chance to grow] a local manufacturing industry creating everything from turbines, to boats to transport the equipment, in addition to gaining the research and design positions demanded by the expanding project…"