Demandbase Connect

December 15, 2007

Steel Winds Project, Lackawanna, New York

Pages: 123

New “Wind Belt”

The developer and owner of Steel Winds is the team of UPC Wind (www.upcwind.com) and BQ Energy (www.bqenergy.com). Clipper Windpower (www.clipperwind.com), which manufactured the turbines in Cedar Rapids, Iowa, will continue to provide O&M support for the next five years—a common owner’s requirement with many wind projects.

The $40 million Steel Winds Project was kicked off with a “slag breaking” ceremony in September 2006. The turbines first pushed power to the grid in April of this year; a June 5 commissioning followed.

This project represents the debut commercial application of Clipper’s new 2.5-MW Liberty wind turbines (Figure 2). “We’re delighted to feature some of our first Liberty wind turbines as a part of this milestone wind energy project,” said James G.P. Dehlsen, Clipper’s chairman and CEO at the plant dedication. “Built in America’s heartland, the turbines will be helping to restore beauty and economic development to the local area as they bring new clean, sustainable energy to the people of New York.”

 


2. Steal the wind. Steel Winds was the first commercial application of the new 2.5-MW Liberty wind turbine. Courtesy: Clipper Windpower Inc.
 

 

Clipper’s 2.5-MW turbine is now the largest wind turbine built in the U.S. (Figure 3). The Liberty turbines have demonstrated full rated power generation with a wind speed of approximately 25 mph, as designed. This project will sell capacity and renewable energy certificates to Constellation NewEnergy through 2009.

 


3. Biggie-size it. The Clipper Windpower turbine is the largest wind turbine built in the U.S. Courtesy: Clipper Windpower Inc.

 

Seldom does a new generation project gain the universal support from the community and city hall that Steel Winds enjoys. From the mayor’s office to local university officials and residents, everyone perceives the project as an environmentally friendly addition to an otherwise unremarkable site. In fact, the city is promoting the area as a tourist destination. “People will come from far and near to look at these, to marvel at them,” Mayor Norman Polanski said.

Locals’ smiles may also be prompted by the additional property tax revenue the city is expecting. The phase one site is configured for a total of 13 turbines, eight of which are now installed and operating. The developers entered into an agreement with the city to pay $100,000 a year for 15 years in lieu of property taxes. However, by state law, renewables projects like Steel Winds are tax exempt unless the municipality has a law that doesn’t allow the tax exemption. The Lackawanna City Council decided such a law was more to their liking and it passed, although not unanimously, in mid-October. This means the last five turbines of phase one and the 13 turbines for a future phase two would be subject to property taxes rather than a negotiated “in lieu of” agreement.

Pages: 123

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