Powering Wolverine’s Renewable Future Presented to Great Lakes Regional Wind Institute Detroit, Michigan by John P. Miceli, Energy Market Analyst March.

Slides:



Advertisements
Similar presentations
The three most important considerations for development of wind farms are: LAND with good to excellent wind resource CONTRACT to sell electricity produced.
Advertisements

Dr. Bader Eddin Al-Majali
Traci L. Bender Nebraska Public Power District APPA Business & Financial Conference September 15, 2009 Risk Analysis.
EverPower Eastern Projects Buckeye Wind Project Champaign & Logan Counties, Ohio 100 MW Highland Wind Project Krayn, Pennsylvania 115 MW The Allegany.
Wind Energy Update October 6, OG&E’s Commitment to Wind Energy (2007) Make Oklahoma a national leader in renewable energy Mission Accomplished!
LESSONS LEARNED ON GOING GREEN Kevin Meikle, Architect Airports Planning Manager 4995 E. Clinton Way Fresno, Ca (559)
Integrated Assessment of Off-shore Wind A Research Partnership between: Grand Valley State University Michigan Alternative and Renewable Energy Center.
South Carolina Finance Workshop for Small Water Systems June 4, 2013 Water Partnerships: Financial Advantages and Challenges SC Case Study: Lowcountry.
Making the Right Wind Power Investment University of Toronto Wind Workshop October 12th, 2005 Mike Crawley, President/CEO AIM PowerGen Corporation.
SOLAR IMPACT ON FYI Kevin Meikle, Architect Airports Planning Manager 4995 E. Clinton Way Fresno, Ca (559)
Errol Close Decarbonisation Policy and Co-ordination IWFA May Conference.
Adding to the Fleet Ensuring SRP’s Long Term Generation Reliability May Millies, Manager - Power Generation Services.
Wind energy in NZ 20% wind by 2030 Eric Pyle, Chief Executive, NZ Wind Energy Association.
Alternativenergy Flat Ridge Wind Facility Ted Hofbauer – Asset Manager.
1 | Program Name or Ancillary Texteere.energy.gov Offshore Wind Energy Overview Patrick Gilman Environmental & Siting Specialist Wind and Water Power Program.
The future shape of business is being redefined through outsourcing.
Small Farm Profitability: Is Wind Energy the Answer? 1
Western Governors Association Renewable Energy Certificates Initiative for the West WRAP Board Meeting October 15, 2003 Salt Lake City, Utah.
Saving With Solar: LESSONS FROM THE MORRIS HYBRID Power Purchase Agreements MODEL April 18, 2013 ASES ANNUAL CONFERENCE BALTIMORE, MARYLAND.
1 Utility Ownership of Wind Power: Why it makes sense now American Wind Energy Association May 17, 2005 Eric Markell Senior Vice President Energy Resources.
Portsmouth RI Town Wind Turbine Generator EBC RI Chapter Program RI Energy Programs – Federal Stimulus, RGGI and Renewable Energy Fund Presented by PEDC.
1 Transmission Development at Ameren and in the Midwest ISO Mid-America Regulatory Conference Maureen A. Borkowski June 8, 2010.
Results of Geothermal Power Survey of Electric G&T Cooperatives Robert Putnam, CH2M HILL Bob Gibson, NRECA Steve Lindenberg, Lindenberg Consulting.
North Eastham Wind Feasibility Study Results Brian Eastman Eastham Energy Committee Kristen Burke Massachusetts Technology Collaborative Ric O’Connell.
PJM© PJM Confidential PJM Generation Interconnection Overview Virginia Offshore Wind Conference Virginia Beach June 22, 2011 Paul McGlynn General.
Warren Lasher Director, System Planning October 4, 2014 Our Energy Future.
DTE Energy Commercial & Industrial Energy Optimization Program Energy Efficient, Sustainable Detroit DTE Energy Headquarters December 9, 2010.
Twin Groves Wind Farm Bloomington Moraine McLean County, Illinois A Strong Beginning for Illinois Wind Robert Nagel
Developing and Integrated Energy Conservation and Renewable Strategy Renewable Energy Leadership Summit June 7, 2005 Lenox, MA.
NASHVILLE ELECTRIC SERVICE | Association for Financial Professionals March 2012.
Town Of Douglas A Review of the Town’s Proposed Tax Incentive Financing (TIF) Agreement With American Pro Wind, LLC Presented To The Douglas Finance Committee.
September 5,  Mission - To provide Excellent Service to Our Distribution Members by creating opportunities, cultivating cooperation, and navigating.
1 TRANSMISSION SYSTEM OVERVIEW NETWORK OPERATING COMMITTEE April 17, 2007 New Mexico Transmission System Overview.
DALLAS BAR ASSOCIATION ENERGY LAW SECTION REVIEW OF OIL & GAS LAW XXIII SEPTEMBER 11-12, 2008 Lisa Chavarria Stahl, Bernal & Davies, LLP Austin, Texas.
Town of Orleans Wind Energy Project Berkshire Renewable Energy Summit June, 2005 Kevin Galligan
Cooperative Opportunity for Wind Development. State of Union speech  “it’s possible we could generate up to 20 percent of our electricity needs through.
1 Kansas Wind Energy A Municipal Utility Perspective KANSAS CITY BOARD OF PUBLIC UTILITIES Blake Elliott – Director Electric Supply Planning September.
Discussion Forum 2004 APPA National Conference June 19 – 23, 2004 Seattle, Washington Issues for Green Power Programs Designing Marketing and Pricing.
2007 Kansas Renewable Energy & Energy Efficiency Conference September 26, 2007 Tim Wilson, Planning and Operations Analyst.
CIPCO Central Iowa Power Cooperative Iowa Industrial Energy Group April 9, 2013.
Bandera Electric Cooperative.  Members – 23,865  Meters – 31,678  Miles of line – 4,385  Serve Bandera, Bexar, Kendall, Kerr, Medina, Real and Uvalde.
Colorado Harvesting Energy Network Jonathan Moore Director, Renewable Energy Development
March 30, 2012 Wholesale Generation Interconnection Process Photovoltaic Program Power Purchase Agreements Request for Offers.
Dale Osborn Midwest ISO October 13, 2008 EE 590 Transmission Planning with Significant Energy Resources.
Wind Energy in Denmark Industry and framework Camilla Holbech, Senior Policy Adviser Danish Wind Industry Association.
1 Invenergy. Harnessing the Wind Transmission System Typical Wind Park Electrical Transmission System.
VIIP Proposal Preparation Workshop November 3, 2015.
TRANSMISSION INFRASTRUCTURE IMPROVEMENTS — Current Projects — The Center for the New West “ The Sun Valley Energy Roundtables 2006” November 30 – December.
Lessons Learned from Existing RTOs John Moore January WCEA Meeting January 7 th, 2016.
Strategic Planning Deanna Herwald Vice President-Quality Management Systems.
Energy and Environmental Policy Renewable Energy: Wind Presented by: Adam Smith Damien Hammond Veera Kondapi Jeff Gruppo.
Wind Prospect Experience and Practicalities of Wind Energy International Cooperation Forum for Energy Service Companies (ESCO’s) - Opportunities in China.
Welcome to Cedar Ridge Wind Farm Alliant Energy’s first fully owned-and-operated wind facility.
Berkshire Wind: Joint Action By Communities with Common Goals Presented by: David Tuohey, Director of Communications & External Affairs Massachusetts Municipal.
BUSINESS STRATEGY AND PLAN 2010 Emerging Energy Solutions 1.
Management 11e John Schermerhorn Chapter 4 Environment, Sustainability and Innovation.
Michigan Public Power Agency Wind Energy Supply Agreement
Wind Project Ownership - An Investor Owned Utility Perspective John R
Who Is Southern Power? Stephen Gowland Business Development Manager
Wind Project Ownership - An Investor Owned Utility Perspective John R
The Coastal Energy Project
Today’s Agenda Introduce ourselves
Arizona Public Service Company 2012 Renewable Energy Standard Implementation Plan Arizona Corporation Commission Open Meeting August 17, 2011.
Wind Development & Policy Options
Tennessee Valley Authority – Energy Initiatives and Challenges
Annual Attachment O Stakeholder Meeting
How Small Developers and EPC Contractors Can Add PPA Financing to their Arsenals John Langhus, VP Business Development Midwest Solar Expo 2019 New Energy.
U.S./European Cost Comparison Study Preliminary Results
Annual Attachment O Stakeholder Meeting
Annual Attachment O Stakeholder Meeting
Presentation transcript:

Powering Wolverine’s Renewable Future Presented to Great Lakes Regional Wind Institute Detroit, Michigan by John P. Miceli, Energy Market Analyst March 17, 2008

Presentation Overview The Coop Story Who is Wolverine? Wolverine’s involvement in project Michigan’s proposed RPS legislation Project/Business synergies Project challenges Lessons learned Project photos

Co-op Story: The Early Years

Rural Goes Electric

Cooperative Service Area Today

Michigan Co-ops Get Started

Distribution Cooperatives Create Wolverine – The “G&T”

Who is Wolverine?

Wolverine Key Facts Not-for-profit 501(c)(12) corporation Mission: –To provide outstanding service to our members by delivering reliable, competitive power supply Core values: –Member service –Integrity –Environmental stewardship –Commitment to employees 2007 Statistics: Number of employees –107 Total revenue –$ 240 million

Service Area Generation: –240 MW –Primarily peaking Transmission: –1600 miles –High voltage –35 counties –36 stations Distribution: –35 counties –130 stations

Energy Control Center State of the art Operational “nerve center” Market participation 7x24 Follows risk management policies and guidelines Maintains emergency electric resource plan Transacts with pre-approved energy partners (EEI master agreements) Monitors Wolverine’s transmission system 7x24 Coordinates routine outages for maintenance and construction Directs restoration of transmission service during unplanned outages

Why is Wolverine Involved in Harvest Project? Proactive renewable energy position : –Michigan RPS is likely –Commitment to thoughtful use of environmental resources –First mover advantage –Competitively-priced renewable resource for our members

Project Location

Harvest Wind Farm Timeline Date Activity October 2005Renewables identified as strategic corporate objective March 2006Renewable RFP process initiated November 2006Deere and Wolverine negotiating team meet in Cadillac February 2007Purchase Power Agreement executed June 2007Initial construction began September 2007Last wind turbine erected December 2007Delivery of energy from facility began April 2008Commercial Operation

Project Facts DeveloperJohn Deere Wind Energy Facility NameHarvest WindFarm L.L.C. LocationBetween Elkton and Pigeon in Huron County, Michigan SizeOver 3,200 acres Equipment Thirty-two 1.65 MW Vestas V-82 (52.8 MW nameplate) Turbine Specifics 80 meter hub height (262 feet) 40 meter blade length (131 feet) 120 meter overall height (393 feet) 283 tons total weight Operational Data Cut-in wind speed – 7.9 mph Cut-out wind speed (10 minutes) – 44.7 mph Cut-out wind speed (1 minute) – 53.7 mph Cut-out wind speed (1 second) – 71.6 mph

Project/Business Synergies Wolverine and John Deere are similar: –Rural customer base –Strong community focus –Core values include quality, integrity, innovation and commitment John Deere had favorable wind turbine queue position with a narrow window of opportunity Wolverine desired to move quickly and had Board support

Company Contributions WOLVERINEJOHN DEERE 1.Readiness to sign long- term PPA 2.Strong Board support 3.Understanding of interconnection issues 4.Knowledge of MISO Market 5.Relationships with Detroit Edison, ITC and METC 1.Supply chain position with Vestas 2.Project rights 3.Land leases and strong community support 4.Capital for construction 5.Construction experienc e

Project Challenges Justifying higher cost of wind energy to Wolverine members RFP and PPA process MISO queue process: –Generation Interconnection Agreement Transmission and distribution upgrade requirements Determining “right” size of wind farm

Justifying Higher Cost of Wind Power Problem: –Purchasing renewable energy at a price higher than current market prices Answers: –Expectation that renewable energy will become a requirement –Develop a willingness to pay a little more now, to gain advantage in renewable energy –Provides for supply portfolio diversity –Provides price certainty –Will provide for competively priced power in the future –Learn by doing

RFP and PPA Efforts RFP: –What questions should be asked? –What limitations or requirements should be attached? –How do we verify financial viability? –How do we verify experience and capabilities? PPA: –What time period should the PPA cover? –What terms and conditions should be included? –What guarantees could or should be attached? –How does Wolverine assure protection against project?

Study Assumptions & Interconnection MW needed ? Queued Requests? Transmission Upgrade Requirements & Timing? Total Generation Project Scheduling & Economics? Managing the MISO Queue Process

What is Appropriate Size for Wind Farm? Wolverine initially desired a minimum of 25 MW of wind energy to limit risk and cost John Deere desired a bigger farm (60 MW) to facilitate economies of scale Solution –John Deere scaled size back to 52.8 MW to minimize upgrade costs and keep project within budget –Wolverine agreed to purchase the full output

Lessons Learned Goal of “learning by doing” paid off Gave us a real way to assess RPS direction Gained confidence to do the next project Created supply portfolio diversity Increased interest for renewable resources: –Transmission Members –Wolverine Power Marketing Cooperative –Spartan Renewable Energy

Thank you. Questions?

Tower Base

Poured Tower Base

The Hub

End View of the Base

Crane Assembly

The Crane

Tower Assembly

The Base

Setting the Base

Lower Tower Section with Hub and Blades

Setting the Nacelle

Setting the Hub & Blades

Finished Products

Integration

Harvest WindFarm Aerial Photo