March 21, 2011

Baltimore Sun looks at O'Malley's Wind Power proposal

Gov. Martin O'Malley's plan to promote offshore wind power in Maryland got a skeptical reception from a state senate committee this week, and that's understandable. There are an array of issues to give anyone pause, particularly the project's potential cost.

But on balance, the wind farm envisioned by the legislation would represent too great a benefit to the residents of this state to be ignored. And the $1.5 billion price tag is largely a matter of perspective: The benefits are most evident in future years as global energy prices and the need to reduce greenhouse gas emissions becomes all the more urgent.

In 2004, the General Assembly wisely made a commitment to renewable energy. By 2022, Maryland-based power companies are expected to buy 20 percent of their electricity from renewable sources such as wind and solar.

But so far, there's not been much investment in such facilities in Maryland, and that's a problem. The governor's proposal would require the Public Service Commission to order local electric companies to enter long-term power purchase agreements from a qualified offshore wind generator.

A surcharge on ratepayers' accounts would cover the additional cost of wind power over the next two decades or more. Estimates are that for average residential customers, this may add anywhere from 92 cents to $3 per month on their bills.

With the guarantee of two decades of power purchases, it's likely a private company would develop the envisioned 600 megawatt wind farm, capable of supplying 3 percent of the state's overall power needs or enough to serve 79 percent of all the homes on the Eastern Shore, a huge boost toward the state's 2022 goal.

Critics of the proposal have pointed out that one of the possible developers employs Michael R. Enright, Mr. O'Malley's former chief of staff. But while it is unfortunate that someone so close to the administration is involved in such a high-profile, government-supported project so soon after leaving office, the decision on what company might get the job (and there are at least a half-dozen potential bidders) rests solely with federal authorities, not the governor or the state legislature. SOURCE: Baltimore Sun


Anonymous said...

From what I hear, alternative energy bill doesn't even estimate the additional transmission costs. Those will be huge!

Daniel Vovak said...

It sounds like a massive government spending program that could be rubber-stamped through due to connections.