International Information Programs Energy

09 July 2001

Wind Farm in Wisconsin Wind generators in rural Wisconsin. (AP Wideworld Photo/Mike Roemer)
Enlargement

U.S. Experts Cite Rapid Growth of Wind Power

Tax credits, research are expected to boost output

By Jim Fuller
Washington File Science Writer

Washington -- Wind power in the United States was once confined to the state of California, but during the last three years wind farms have come online in more than a half dozen states -- and experts are projecting a staggering 60-percent growth in U.S. wind-generating capacity this year.

The industry expects to add about 1,500 megawatts of capacity this year, bringing total U.S. energy from wind power to more than 4,000 megawatts -- enough energy to supply about 1.2 million homes.

Wind power is generated by turbines driven by giant rotors or blades on towers 60 meters high. The turbines are often put on farms on space leased from farmers or ranchers in flat, windy regions. The technology is considered a clean, safe substitute to fossil fuels, without the environmental consequences of hydroelectric power.

Several large wind farms are either being developed or planned for development in the United States. The Bonneville Power Administration, a federal agency under the U.S. Department of Energy, recently signed agreements with private firms for the development of seven wind power projects that would provide an additional 830 megawatts of generating capacity in the electricity-short Western region of the country. The wind power installations, to be constructed along the border between the states of Washington and Oregon in the Pacific Northwest, will constitute an approximately 20-percent increase in the nation's wind power capacity, and together make up the world's largest current wind power project.

At the same time, more than 700 megawatts of generating capacity are under development in the state of Texas, and a 3,000-megawatt wind farm is in the early planning stages in South Dakota -- designed to feed power to the Midwestern region around the city of Chicago.

World wind power use has multiplied nearly fourfold over the last five years, a growth rate matched only by the computer industry. Total worldwide wind capacity today is about 17,300 megawatts, most of it generated in Europe. Denmark, the world leader in wind turbine technology, is currently getting 15 percent of its electricity from wind power.

Randall Swisher, executive director of the American Wind Energy Association, told a recent conference on renewable energy that the amount of wind power produced in the United States has been doubling every three years, and that he expects it to reach 100,000 megawatts -- or about 6 percent of all U.S. electricity -- by 2020. He said this could double to 12 percent by 2020 "if we have a really aggressive policy" of tax incentives and research funding.

David Garman, U.S. assistant secretary of energy for energy efficiency and renewable energy -- President Bush's spokesman on renewable energy -- told the same conference that wind provides an exciting opportunity for the country.

"A year and a half ago we had about 2,000 megawatts of wind in this country, and expect to get over 4,000 megawatts by the end of this year," he said. "That's tremendous and explosive growth. We're very excited about the opportunity that exists."

Last May, President Bush unveiled a National Energy Policy that, among other things, calls for greater reliance on alternative and renewable energy sources. Garman said the new policy is one of the first to provide a comprehensive and balanced view of the energy challenges faced by the country.

"There are challenges in infrastructure," he said. "There are environmental challenges. But there are also great opportunities for seeking new sources of supply, for seeking a broad mix of energy supplies, which includes, of course, wind and conservation."

While the administration's budget proposal for next year reduces the amount of funding for wind power, it asks Congress to renew the tax credit of 1.7 cents per kilowatt-hour for electricity generated by a wind plant during its first 10 years of operation. The credit is intended to "level the playing field" for wind, which must compete with other energy industries that receive thousands of millions of dollars in federal subsidies each year. The wind energy credit will expire at the end of 2001 unless it is extended by Congress.

The American Wind Energy Association says the tax credit needs to be extended for at least five years in order to get companies to commit to building wind power plants. The administration's National Energy Policy recommends that the U.S. Treasury Secretary work with Congress on legislation to both extend and expand the tax credits for electricity produced using wind.

The U.S. Department of Energy has just completed seven public meetings held across the country -- a first-of-its-kind initiative to review current funding and performance of the 31 federal renewable and alternative energy development programs. Garman said the public meetings, attended by industry representatives and energy experts among others, were an important strategic review "to make sure we have the right funding levels."

Advances in wind turbine technology, drawing heavily from the aerospace industry, have lowered the cost of wind power by more than 80 percent -- from 38 cents per kilowatt hour in the early 1980s to 3 to 6 cents today depending on the wind site (a kilowatt hour means 1,000 watts of electricity produced or consumed for one hour). Wind is already cheaper in some locations than oil or gas-fired power. And many analysts believe that, in the not-too-distant future, wind energy costs could fall below those of most conventional energy sources, reaching 2.5 cents per kilowatt-hour.

According to the American Wind Energy Association, a recent study found that electric utility customers in the Midwestern state of Iowa could save more than $300 million over a 25-year period if a proposal to meet 10 percent of the state's electricity demand through wind energy is adopted. The savings result because the cost of fossil fuels is expected to rise over time, while wind's costs decline. Savings in California, where energy prices have skyrocketed because of supply constraints, would be enormous, according to the study.

David Blittersdorf, chief executive officer of NRG Systems, the world's leading manufacturer of wind energy assessment equipment, says wind technology is improving, which will also help to lower the cost of wind energy.

"We will have higher and higher towers, getting them into the airstream where there's more wind," he said. "There were 18 to 24-meter towers at the first wind park in California in 1981. The norm today is 60 meters and going higher. Towers being built offshore are also getting larger to gain more wind. And lighter materials are being used for the blades. This lowers the cost of the product. It's important to keep the R&D going."

Lester Brown, president of the Earth Policy Institute, a non-profit organization, said in a recent report that once cheap electricity is available from wind it can be used to electrolyze water, producing hydrogen.

"Surplus wind power can be stored as hydrogen and used in fuel cells or gas turbines to generate electricity, leveling supply when winds are variable," he said. "Wind, once seen as a cornerstone of the new energy economy, may turn out to be its foundation."

Brown said hydrogen is the fuel of choice for the new, highly efficient fuel cell engine that every major automobile manufacturer is now working on. Daimler Chrysler plans to have fuel cell-powered cars on the market by 2003.

"With the advancing technologies for harnessing wind and powering motor vehicles with hydrogen, we can now see a future where farmers and ranchers can supply not only much of the country's electricity, but much of the hydrogen to fuel its fleet of automobiles," Brown said.

In June, U.S. Energy Secretary Spencer Abraham announced nearly $86 million in research awards to private organizations and universities for research and development on cutting-edge energy efficiency and clean energy technologies. Many of the projects will support development of technologies for use in vehicles and buildings, hydrogen production and fuel cell research.

"Enhancing energy efficiency is an important goal of the president's National Energy Policy," Abraham said. "Fuel cells, hydrogen technology and advanced combustion energy engines are among the most promising areas of the department's research and development work."



This site is produced and maintained by the U.S. Department of State's Office of International Information Programs (usinfo.state.gov). Links to other Internet sites should not be construed as an endorsement of the views contained therein.

Back To Top
blue rule
IIP Home | Index to This Site | Webmaster | Search This Site | Archives | U.S. Department of State