WORLD WIND ENERGY NET

Offshore wind turbines: Photo by Morten Mitchell Larød (CC)

Opposes Recent House Bills
May 6, 2008 -- The American Wind Energy Association (AWEA) and seven of its members, including the world’s largest manufacturer of wind energy equipment, sent letters today to Gov. Jennifer Granholm (D) and Senate Energy and Technology Committee Chairman Bruce Patterson (R) saying that recent Michigan House legislation would fail to attract manufacturing jobs and would jeopardize at least $2 billion of new investment in wind energy projects under development in the state.

The letter to Granholm asked her to veto the legislation if it reaches her desk in its current form.

In the letters, the industry expressed appreciation to the two leaders for their efforts on behalf of renewable energy legislation so far, but sought support for a “fresh start” with annual renewable energy requirements of 5% by 2010, ramping up 1% per year to 10% by 2015, and said such legislation would create a “nationally significant” market.

According to the wind representatives, the bills recently passed by the Michigan House (House Bills 5548 and 5549) require less than one-half of one percent of additional renewable energy by 2014, while containing toothless enforcement provisions as well as other provisions that potentially undermine cost-effective procurement. The House legislation purports to create a renewable market but actually does not do so.

“The House legislation, as a package, cannot accurately be described as a renewable energy standard, and the public should not expect economic benefits to result from the package. To avoid unwarranted market and public confusion created by opaque legislation, our industry asks for your assurance of a veto should such legislation reach your desk,” the letter to Granholm stated.

AWEA, joined by seven members including Babcock & Brown, BP Alternative Energy, IBERDROLA RENEWABLES, Mackinaw Power, Noble Environmental Power, TradeWind Energy, and Vestas American Wind Technology stated that because the House bills fail to create a market of any significant size, they also fail to provide any incentive for manufacturers to establish production facilities or create jobs in the state. Vestas is the largest producer of wind turbines in the world.

In 2007, nearly 35% of all new electric generating capacity (amounting to more than $9 billion in investment) installed across America was wind generation. Wind energy trailed only natural gas as the leading source of new generating capacity nationwide, and placed first among all energy sources in new capital investment. Wind manufacturers also announced new facilities creating about 6,000 new jobs. In Michigan, however, no new wind energy projects were completed in 2007, and no major new wind manufacturing facilities were announced.

“Last week Ohio Gov. Ted Strickland signed legislation creating a real market for renewable energy in Ohio and aggressively positioning Ohio manufacturers to compete in the growing wind energy market. It is not too late for Michigan to do the same,” said Hans Detweiler, AWEA Manager of State Legislation.