Wind Power Potential in Pennsylvania Opportunities and Issues

1. Wind Power Potential in PennsylvaniaOpportunities and Issues Gary L. Sheppard Penn State Cooperative Extension

2. Somerset, PA.

3. Why Wind Energy?

4. Income to Landowners • Rural Economic Development • Reduction of Greenhouse Gases • Value Added Product • Jobs

5. FPL Energy • Production Cost - Wind-generated electricity from 30 cents per kilowatt-hour to 4 to 7 cents •  Cost per megawatt of capacity Wind$1.5 million to $2 million vs. Natural Gas $700,000 • Financial incentives Federal Wind Production Tax Credit (PTC). enacted in 1994, has changed the economics of wind production through a tax incentive to develop and operate wind generation

6. PA Alternative Energy Portfolio Standard Retail Electric Sales Targets • Tier 1 – 1.5% 2006 8% 2020 • Tier 2 – 4.2% 2006 10% 2020

7. PA Alternative Energy Portfolio Standard Tier 1 – Solar photovoltaic & solar thermal Wind power Low-impact hydropower Geothermal energy Biologically derived methane gas Fuel cells Biomass energy Coal mine methane.

8. PA Alternative Energy Portfolio Standard • Tier 2 - Waste Coal Distributed Generation Systems Demand Side management Large scale hydropower Municipal solid waste Byproducts of pulping/wood chipping Integrated Coal gasification technology

9. Renewable Energy Certificates • created when a renewable energy facility generates electricity. Each unique certificate represents all of the environmental attributes or benefits of a specific quantity of renewable generation, namely the benefits that everyone receives when conventional fuels, such as coal, nuclear, oil, or gas, are displaced. What you pay for when you buy renewable energy certificates is the benefit of displacing other non-renewable sources from the electric grid.

15. What’s this mean for PA? • Developers look for Class 3 or higher • No urban or environmentally sensitive • Other conflicts • Forest (50%) Farm (30%) Rangeland (10%) • 4% of PA has potential but actual land use would be .4% • Utility scale potential = 38,000,000 megawatt-hours or 30% of needs

18. Community Concerns • Aesthetics • Habitat Fragmentation • Migrating Birds/ Bat mortality • Water Quality • Noise • Shadow Flicker • Public Safety • Other (electronic interference, etc.)

19. Small Wind

21. Small Wind • 50 KW or less • It’s still all about location • Wind Resource • Value of Power • Green Incentives • Public Funding • Ordinances • Neighbors

22. Small Wind Economics • Value of Water Pumping • Value of Electricity • Net Metering • Renewable Energy Credits • Estimated Production • Wind Resource • Equipment Performance • Net Present Value Analysis

23. Small Wind

24. Small Wind Certification Corporation IREC is facilitating the development and launch of the Small Wind Certification Corporation (SWCC).  SWCC will work with the small wind industry, governments, and other stakeholders to develop and implement quality certification programs for small wind turbines.  Certification is expected to commence in 2008.

26. Questions?