Email

Print

  Wind News

Large power users offered ‘financially neutral’ green electricity

Large power users can directly support a community wind farm with their investments offsetting costs of buying green electricity

Large power users are being offered a new way to buy renewable electricity that would be “neutral” to their balance sheet.

Under a new program from community wind farm developer National Wind, companies can invest in a new wind farm in such a way that the return on their investment would offset costs of buying electricity generated by the facility.

The patent-pending Windfrastructure Partner Program, as it is called, offers an alternative to buying Renewable Energy Certificates or purchasing green power through a utility.

It would see National Wind developing a wind farm in the same region as the large power user, which would then buy power from the wind farm, then as an investor in the wind project, the power user would receive a form of repayment.

Different types of large power users can get involved in the program at various levels, allowing flexibility for organizations like universities, governments and hospitals.

Different options are also available depending on whether the large power user is located within a regulated or deregulated electricity market.

Repayment options could see a company receiving payment equivalent to the premium paid for the green electricity compared to regular fossil fuel based energy, or could involve the power user securing up to a 50% equity interest in the wind proejct.

“Companies want to become more sustainable,” explained Leon Steinberg, CEO of National Wind. “But given the economic climate, many corporations are unwilling to recognize the additional expense for renewable energy. Windfrastructure is a creative solution that will allow companies to achieve and perhaps surpass their greenhouse gas emission reduction goals in a manner that will not affect their profit and loss statement.”

“Brandable”

Minneapolis-based National Wind said the program allowed for “traceable, brandable and financially neutral” green electricity for larger power users.

Companies investing in the program would be directly supporting the development of new community wind farms, would be able to trace the source of their electricity and brand it.

Participating partners would also be reducing their carbon footprints, National Wind said.

Gregg Stedronsky, Vice President of Engineering at General Mills, one company that has invested in National Wind community projects, said: “Investing in a National Wind community wind project was a great opportunity for General Mills. We are partnering with local landowners to increase the amount of electricity generated from renewable power.”

• More information on the Windfrastructure program is available at a free online seminar being held on July 29, 2010, from 1pm to 2.15pm Eastern Standard Time, hosted by the US Environmental Protection Agency’s Green Power Partnership. Details on the seminar can be found at the EPA website: http://www.epa.gov/greenpower