Thursday, October 04, 2007

Cape Cod Times article: Supporters try to keep turbine project alive

October 04, 2007

Supporters of wind turbines in the Orleans watershed pleaded with selectmen last night to keep the project alive.

The Committee to Save Our Wind had secured the offer of help from Gov. Deval Patrick to work with the town and the Massachusetts Technology Collaborative, spokeswoman Liz Argo said.

Instead the selectmen voted unanimously to move ahead and establish a five-member committee that will review and apply the project's four years of data to another alternative energy project.

Such a committee would expand its work beyond wind energy in the watershed. It could look at other types of alternative energy, other sites in Orleans, and the potential for a regional project to share costs and expenses. The selectmen asked for a draft charge, including a deadline, in the hopes of getting a new project going as soon as possible.

The watershed project stalled last month when water commissioners voted against it because of lingering concerns on costs and risks.

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Wednesday, September 26, 2007

Orleans Votes No on Wind Turbines; MTC Disappointed after 4+ Years of Collaboration with Town

After more than four years of considering a community wind energy project, the Orleans Board of Water Commissioners voted at their September 12, 2007 meeting against proceeding with a 3.3-megawatt wind project in the approximately 500-acre Orleans Watershed. The Water Commissioners cited concerns about the costs of monitoring and operating the project as well as environmental concerns related to the siting of the project in the Town’s watershed.

Since July 2003, the Massachusetts Technology Collaborative has been working closely with the Town of Orleans to help it identify, site, and build a wind energy project on municipal land. The project, which was to consist of two 1.65 megawatt wind turbines, would have been built, owned, and operated by a third-party developer on land leased from the Town within the watershed. The Town would have received lease payments from the developer, as well as free and discounted electric power to support operation of the Town’s wells and water treatment plant.

Over the past four years, MTC funded and managed a feasibility study, wind monitoring, avian studies, survey work, local permitting support, development support, and other technical and legal activities amounting to more than $800,000 (view complete list of MTC-funded activities).

In December 2005, after consulting with the Town’s Wind Energy Committee and Board of Selectmen on a fall 2006 timeline for the project, MTC purchased two Vestas V-82 1.65-megawatt wind turbines at a cost of $5.3 million. In early 2006, the Town identified a number of issues that it wished to have addressed prior to committing to a wind project in the watershed; to respond to these questions, MTC provided funding for environmental consultants, road design, surveys of the watershed, photo simulations, and other services. MTC held weekly conference calls with the Town to discuss progress in resolving the Town’s issues. At the Town’s request, MTC also reserved $3.72 million to help ensure the financial viability of the project by committing to purchase the renewable energy certificates (RECs) generated by the project after its completion (view timeline of major milestones in the Orleans project).

Starting in mid-2006 and continuing into 2007, MTC and its consultants worked closely with the Town, its staff, and lawyers specializing in wind energy development to draft a request for proposals seeking a wind project developer to develop the project, along with a form of lease to be signed by the wind developer and the Town. This group provided a complete draft RFP and form of lease, which had been developed over many months with extensive input from Counsel to the town, to the full Board of Water Commissioners on June 29, 2007. At that time, MTC gave the town a letter—again developed with extensive input from Town’s representatives—stating that the Town needed to issue the RFP by August 17 if it wished to use the MTC turbines and receive additional monetary support for the project. When the Town missed that deadline, MTC extended the deadline to September 17. The Board of Water Commissioners voted the project down several days before that revised deadline.

MTC’s Clean Energy Program Director, Diedre Matthews, has kept in close contact with the Town throughout the project development process, which has included weekly conference calls with Orleans representatives since January 2006 to coordinate project activities and discuss the project’s economic, environmental, and community-related implications. MTC has also responded to many requests from the town for services outside of the written agreements, and has committed hundreds of staff-hours towards the project.

The project has also enjoyed strong community support, with citizens and the Board of Selectmen repeatedly voting in favor of the project. The Orleans Site Plan Review Committee approved plans for the project on August 1, 2007.

The recent decision by the Town of Orleans to discontinue their pursuit of this project came as a disappointment to MTC, although the agency still hopes to work with the town on a future wind energy project. Throughout this process, MTC has remained committed to helping the town navigate the process of developing a project through frequent communications and a steady stream of funding and technical support.

For more information on this project, contact Chris Kealey at 508-870-0312 x240.

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MTC-Funded Activities for the Orleans Wind Energy Project Totaling More Than $800,000

Feasibility Study
Wind Monitoring
Sonic Detection and Ranging (SODAR) Studies
Avian Studies
Interconnection
Road Design
Geotechnical Studies
Photo Simulations
Massachusetts Environmental Policy Act filing
Survey work
Local Permitting Support
Request for Proposal for Wind Turbine Developer Selection
Lease Development

Plus Purchase of Two 1.65-Megawatt Wind Turbines for $5.3 Million, along with $3.72 Million Commitment to Purchase Project’s Renewable Energy Certificates after Completion

Timetable of Major Milestones in Orleans Wind Project

June 5, 2003: Orleans Wind Energy Committee Created

July 16, 2003: Site visit by Renewable Energy Research Laboratory (MTC-funded)

October 3, 2003: Meteorological tower installed (MTC-funded)

May 2004: Town Meeting adopts Wind Energy Bylaw

March 15, 2005: Feasibility Study completed (MTC-funded)

April 8, 2005: Supplemental Study of Two Turbines completed (MTC-funded)

May 2005: Phase 1 Avian Study completed (MTC-funded)

May 17, 2005: Town Meeting adopts amendments to Wind Energy Bylaw

Spring 2005: Spring avian radar study completed (MTC-funded)

Fall 2005: Fall avian radar study completed (MTC-funded)

December 2005: MTC purchases two Vestas V-82 wind turbines for delivery to the Orleans watershed in fall 2006.

Spring 2006: Board of Water Commissioners raises a series of questions regarding watershed protection and location of access roads within the watershed.  MTC consultants begin work on these issues.

May 2, 2006: FAA approves original sites proposed by Town of Orleans for wind turbines (MTC-funded)

May 8, 2006: Town Meeting approves alternate site within the watershed proposed by Town after reviewing environmental issues

May 11, 2006: MTC awards Town of Orleans $25,000 to fund the cost of a contract with Environmental Protection Group, Inc. on watershed protection issues

May 30, 2006: Orleans acknowledges that it cannot meet a schedule for a fall 2006 project, but expresses a strong interest in continuing with the project.

June 7, 2006: MTC agrees to continue to assist Orleans with the project on a timeline that makes sense for the Town.

July 2006: Board of Water Commissioners approves Protective Conditions for project, based on work conducted by Environmental Protection Group

October 17, 2006: Town consultant Ryder and Wilcox completes survey of base conditions in watershed (MTC-funded)

October 23, 2006: Town Meeting approves another alternate site within the watershed proposed by Town based on Ryder and Wilcox work

December 20, 2006: Board of Selectmen votes to request Article 97 legislation required to allow project to be built in watershed

Early January, 2007: Rep. Sarah Peake files Article 97 legislation on behalf of Town

January/February 2007: Town consultant Ryder and Wilcox develops road plans for project (MTC-funded)

February 28, 2007: Board of Water Commissioners approves final sites to be placed on Town Meeting warrant, based on Ryder and Wilcox work

March 15, 2007: MTC and Town file Environmental Notification Form with MEPA

April 30, 2007: Orleans files application with MTC for Standard Financial Offer

April 24, 2007: MEPA issues Certificate for Orleans Wind Project

May 7, 2007: Town Meeting approves lease of land within the Orleans Watershed for two wind turbines

May 17, 2007: MTC awards Town of Orleans $75,000 to fund Development Support

June 4, 2007: FAA Approval for final turbine configuration received

June 14, 2007: MTC-funded geotechnical studies completed

June 28, 2007: MTC Board of Directors reserves $3.72 million for a REC contract with the Orleans project developer under Standard Financial Offer

June 29, 2007: MTC completes draft RFP, including draft lease and all appendices, charts, maps, etc. and transmits to Orleans to prepare for issuance

August 1, 2007: Orleans Site Plan Review Committee approves project site plan (MTC-funded)

August 17, 2007: Scheduled date for issuance of RFP by Town of Orleans – extended until September 17 at request of Town

September 12, 2007: Orleans Board of Water Commissioners votes against recommending release of the RFP; Orleans Board of Selectmen accepts Board of Water Commissioners’ recommendation

September 19, 2007: Orleans Board of Selectmen votes to invite Orleans Board of Water Commissioners to meet to discuss issues related to wind development within the Town

September 25, 2007: Orleans Boards of Water Commissioners and Selectmen confirm that they will not proceed with the Orleans Wind Project at the current time, but leave the door open for wind projects in the future.

Thursday, September 13, 2007

Cape Cod Times reports on Orleans' decision

Unexpected news out of Orleans throws up another barrier. Read this article by the Cape Cod Times.

Thursday, August 23, 2007

The Challenges of Wind Development in Massachusetts

Right now Massachusetts has wind turbines up and spinning at the Massachusetts Maritime Academy, Jiminy Peak, the IBEW in Dorchester, and in Hull. There are also more than 50 cities, towns, businesses, and institutions currently working with MTC to explore wind projects. Businesses like Varian Semiconductor Equipment in Gloucester plan to install large wind turbines over the coming year. Holy Name High School is hoping to have its turbine up by the end of the year or early in 2008.

The myriad benefits of wind power include:

• Decreased reliance on polluting fossil fuels
• Increased energy independence
• Greater diversity of energy supply
• Financial benefits for communities
• Jobs for engineers, electricians, technicians, and other professionals

Below is an excerpt from an earlier post regarding the many challenges that wind projects face in this region.

Wind energy projects take time to develop and build. Nationally, successful wind projects have generally taken four to seven years from conception to completion. In New England, the timeframes have been longer because the barriers are often greater. The challenges facing projects are often site- or community-specific, but they frequently include:

• Wind turbine availability
• Limited land availability
• Wind monitoring requirements[dsm1] [dsm2]
• Project financial viability
• Public opposition
• Permitting/regulatory issues

Let’s look at these one at a time:

1. Wind Turbine Availability. During the past two years, wind turbines have been in short supply. Worldwide demand has been high and some manufacturers have been hesitant to invest in new factories in case demand slacks off because of the possible sunset of the Federal Production Tax Credit or other factors. The manufacturers have been able to sell almost all their turbines in large batches to major developers in the Midwest and elsewhere who are building large projects requiring scores of turbines. When the relatively smaller projects in New England try to secure turbines, they are often quoted high prices and delivery dates a year or two in the future.

2. Limited Land Availability. The most successful wind projects have generally been built in locations where land is plentiful and inexpensive. Not only does it cost less to buy or lease the land, but it’s easier to plan a large project with dozens of turbines. That’s an advantage, because it is almost as much work and money to develop, plan, and permit a large project as a small one.

Massachusetts has a long history of settlement and a relatively dense population. In many parts of the state—and particularly in coastal locations with good wind resources—it is difficult to secure large tracks of land. Wind projects therefore are smaller and more likely to be in close proximity to neighbors. Developers often have to negotiate for parcels from several land owners and they have to conduct additional studies to make sure that nearby landowners won’t be negatively impacted.

3. Wind Monitoring Requirements. Before a wind project can proceed to construction, it generally needs to monitor the wind at the proposed site for at least a year. Small differences in average wind speed can make a big difference in the economics—and financial viability—of a project. Because a turbine’s production varies with the cube of the wind speed, a location with an average wind speed of 17 miles per hour will generate considerably more than twice as much electricity as a site where the average speed is only 13 miles.

In addition, different wind patterns can require different models of wind turbines. A particular wind turbine model may be designed for locations with steady winds, relatively slow winds, or where there is significant turbulence and fluctuations in wind speed.

Compared to the relatively flat Great Plains, where winds may be similar in nearby locations, Massachusetts has a highly varied landscape in which wind patterns can be quite different in nearby locations. Even if the wind has been measured in a spot a few miles from a proposed wind project, it will likely still be necessary to measure the wind in the exact location of the proposed project.

4. Project Financial Viability. A wind project’s economic prospects depend, not just on wind speed, but the ability to sell the energy generated for a good price. Financiers may not be interested in investing in or loaning money to a project if it doesn’t have a guaranteed long-term contract with a party that will buy the electricity for a pre-determined price.

In most cases, wind projects also require significant revenue earned through Massachusetts’ Renewable Portfolio Standard in order to be financially viable. Unfortunately, a project cannot be assured of this important revenue stream, because its value varies from year to year, and it could be eliminated or substantially reduced at any time because of regulatory or legislative action. So, here too, financiers often want some certainty before investing. That’s why MTC established the Massachusetts Green Power Partnership (MGPP)—to provide a guarantee of the revenue stream for particular projects. This program set aside more than $42 million for four wind projects (99 MW).

5. Public Opposition. Wind projects, like all energy projects, can have negative impacts and disadvantages, as well as benefits. Public concerns about wind projects typically are related to the visual appearance of the turbines and the potential for noise in the immediate vicinity of the turbine. In a relatively densely populated region like Massachusetts, where many citizens value the preservation of the existing landscape, it is not surprising that some people view wind turbines as undesirable intrusions. And because there are few places where people can see working wind turbines, it can be difficult to envision what a proposed wind project with look like.

For this reason, it is important that a wind project undergo careful scrutiny to make sure that most of its neighbors will be comfortable with it. Unfortunately, in some cases where the vast majority of a town has supported a project, a relatively small group of opponents have been able to use legal mechanisms to delay a project for an extended period of time. In the worst cases, delay and litigation can burden an otherwise good project to the extent that the developer abandons the project.

6. Permitting/Regulatory Issues. All types of developments, not just wind projects, need to overcome many hurdles on the way to construction. Many policymakers and citizens have noted that the slow permitting process in Massachusetts can make business expansion difficult and costly. Because the developers of relatively small wind projects often have limited resources, they do not always have the ability to overcome permitting hurdles quickly or efficiently. That’s why MTC established the Predevelopment Financing Initiative—to help developers make it through the earliest, most risky stages of the development process

In addition, wind projects face some unique hurdles, such as securing approval from the Federal Aviation Administration (FAA). Several projects that initially seemed highly promising either died or need to undergo time-consuming reengineering because of objections from the FAA.

Even with all these challenges, the Renewable Energy Trust is doing everything possible to support projects across the state. The efforts by so many advocates and local leaders will pay off as more projects reach their goal of wind installations this year and beyond.

Tuesday, June 26, 2007

Wind blade test center to come to Mass

The Massachusetts Technology Collaborative will put up $7 million to finance the new building and issue an additional $6.2 million in loans to a new agency. Read articles from the Boston Globe, Associated Press, the State House News Service and a release from the Governor's office.

Monday, June 11, 2007

DOE reports on wind power

The U.S. Department of Energy’s Wind and Hydropower Technologies Program has released its first ever “Annual Report on U.S. Wind Power Installation, Cost, and Performance Trends: 2006.” This report provides a comprehensive overview of trends in the U.S. wind power market.

Monday, May 21, 2007

Boston Globe article on wind energy in Fairhaven

This article, "Fairhaven flap typifies wind farm obstacles," which ran on May 21, covers the problems facing Fairhaven as the town considers siting two wind turbines near the wastewater treatment plant.

Residents who oppose the turbines are concerned about noise and flickering shadows from the turbines.

A recent vote showed residents were in favor of the turbines 141-98.

The article details how the problems facing Fairhaven are typical of New England wind energy projects.