Visit windpowermonthlyevents.com for the latest on our upcoming conferences and webcasts

United States

United States

Deepwater Wind PPA gets second chance

US: Deepwater Wind's effort to build the first US offshore wind farm off Rhode Island has received a boost following a new power purchase agreement with Narragansett Electric.

This is the second agreement between the two companies after the Public Utilities Commission rejected the previous offer as being too expensive. The deal was 24.4 cents per KW/h for a 20MW wind farm at Block Island, a precursor to the final 350MW development.

Under the terms of the new deal, Narragansett will pay the same rate. However, the deal sets the price as an upper limit for the first year and leaves the possibility the price will be reduced the initial period.

The deal follows last month’s clearing of a law to enable the development to circumvent PUC objections. Rhode Island governor Donald Carcieri has signed a bill allowing the commission to take into account other factors besides price when making a decision on a PPA.

The law requires Deepwater Wind to disclose its construction and development costs. If the developer achieves any capital cost savings during development, this will translate into a lower power purchase price, Carcieri's office said.

 

 

 

 

 

Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus

Windpower Monthly Events

Search more than 4,500 companies in the Windpower Directory

Latest Jobs