United States

United States

Utility Excel's winning bids not so big at 129 MW

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The two winning bids in Xcel Energy's request for proposals (RFP) to add 400 MW of wind to its Colorado portfolio total only 129 MW. Xcel says one of three finalists withdrew from negotiations and another had to downsize its proposal due to transmission constraints. Xcel awarded contracts to Prairie Wind Energy for a 69 MW project near Lamar and to Invenergy for a 60 MW project near Peetz, in Logan County. Xcel's Margarita Alarcon declines to identify the developer who withdrew from the process. Xcel wants to add up to 500 MW of wind power by 2006. The 400 MW RFP was issued, in large part, to allow the company to take advantage of the federal production tax credit (PTC), which expires December 31. David Eves, Xcel's vice president of resource planning and acquisition, says the company could acquire more wind generation to begin operation in 2006 if the federal PTC is extended. The development of the two wind facilities will increase Xcel's Colorado wind generation by more than 50% to 351 MW, which represents about 4.5% of the company's generating capacity. Xcel Energy supplies electricity and natural gas in ten western and midwestern states.

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