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East River joins in $250 million wind farm project
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By CHUCK CLEMENT, Staff Reporter
| 09/10/2009 |
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Basin Electric Power Cooperative and NextEra Energy Resources have signed a partnership agreement to develop a new $250 million wind farm in northeastern South Dakota that will use some of East River Electric Power Cooperative's transmission infrastructure to transmit the renewable energy.
Officials from Basin Electric, a Bismarck, N.D.-based cooperative, and NextEra Energy, a Florida company, announced Wednesday that they would partner to construct a 66-turbine wind farm east of Groton in the western portion of Day County.
East River Electric of Madison will provide the transmission connections for the project, which will move up to 99 megawatts of electricity produced at the Day County wind farm to rural cooperatives across the Upper Great Plains.
Industry officials connected to the project predicted that the new wind farm would start commercial operations in mid-2010.
"As I understand it, NextEra has already purchased the windmills and generators," said Scott Parsley, assistant general manager with East River Electric. "That's how they're ready to start generation so quickly."
According to Parsley, East River Electric will provide the transmission lines that will move the wind-generated electricity from a substation at the wind farm to another substation for distribution to consumers.
East River had developed its transmission infrastructure in the area to distribute electricity generated at two natural-gas peaking plants south of Groton. Basin Electric had started operating the peaking plants in 2006 and 2008.
"As part of the cooperative delivery system, we look forward to adding new sources of renewable energy to our portfolio," said Jeff Nelson, East River Electric general manager. "Just as we provided transmission delivery for the Hyde County Wind Farm, East River will construct the necessary facilities to deliver power from this wind project."
The partnership created the fifth agreement between Basin Electric and NextEra Energy (formerly known as FPL Energy) with NextEra constructing, owning and operating a large wind project and Basin Electric purchasing the electricity. The other four wind projects are located near Highmore, S.D., and Wilton (in two phases) and Edgeley, both in North Dakota.
The 99-megawatt capacity Day County wind farm will feature 66 1.5-megawatt wind turbines that are almost identical to the windmills operating near Highmore. Construction will start on the wind farm as soon as all permits and approvals are received.
Ron Harper, Basin Electric CEO and general manager, said, "Back in 2005, our members directed us to provide 10 percent of their electricity needs from renewable forms of energy. Since then, we've been working hard to accomplish that goal."
For the first three years of commercial operation, Basin Electric has agreed to sell the output of the Day County project to the Western Area Power Administration, a federal agency. WAPA annually markets and transmits more than 10,000 megawatts of renewable power from hydroelectric power plants in 15 western and central states.
"The reservoir levels on the Missouri River are improving; however, (WAPA) continues to expect less than normal generation for the next few years," said Tim Meeks, WAPA administrator. "This short-term purchase from Basin Electric fits our strategic goals for purchasing replacement power, and we are excited that this purchase is from a renewable resource."
According to John DiDonato, vice president of wind development for NextEra Energy, the Day County project will employ about 250 workers during the peak of the construction period and about 10 full-time workers after the wind farm is operational.
Basin Electric is also constructing the nation's largest cooperative-owned wind farm near Minot, N.D., which is scheduled for completion in early 2010 and will have a generating capacity of 115.5 megawatts.
Basin Electric is planning another cooperative-owned 151.5-megawatt wind farm near Crow Lake, S.D., which is scheduled for completion in late 2010 or early 2011.
With the addition of the Day County wind farm, the total wind energy produced in South Dakota will reach 387 megawatts.
Basin Electric generates and transmits electricity to 136 member rural electric systems in nine states: Colorado, Iowa, Minnesota, Montana, Nebraska, New Mexico, North Dakota, South Dakota and Wyoming.
East River Electric Co-op distributes power to 25 member systems throughout eastern South Dakota and western Minnesota. The cooperative operates as a wholesale supplier of electric power that serves 24 rural electric cooperatives and one municipally-owned electric utility.
NextEra Energy Resources is one of the largest competitive energy suppliers in North America. The company operates as a subsidiary of Juno Beach, Fla.-based FPL Group and is the largest generator in North America of renewable energy from the wind and sun. It also operates clean, emissions-free nuclear power generation facilities in New Hampshire, Iowa and Wisconsin.
The FPL Group had 2008 revenues of more than $16 billion, has about 39,000 megawatts of generating capacity, and more than 15,000 employees in 27 states and Canada.
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©Madison Daily Leader 2009
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