in News Departments > New & Noteworthy
print the content item

Even with the wind energy production tax credit (PTC) extended, only 3 GW to 4 GW of new wind power is likely to enter commercial operation by the end of 2013, compared to the approximately 12 GW that came online in 2012, analysts at research firm Industrial Info Resources predict.

In fact, between 8 GW and 8.8 GW of new wind energy generation could reach the construction stage this year, with construction and operations extending into 2014, says Shane Mullins, the firm's vice president of product development for the power industry.

"An extended PTC puts the onus on wind power developers to quickly revisit and reactivate the project pipeline, which has been on hold for a while as companies focused on completing projects by year-end 2012," Mullins says. "Projects that could not be completed by year-end 2012 were placed on hold. Now, those projects need to be revived and reviewed for viability."

According to Mullins, there are many factors that will likely prevent a repeat of last year's record level of wind project development.

For one, he says, many utilities are ahead of the curve on meeting their state renewable portfolio standards. In addition, many bankable projects that were being developed for a 2013 kickoff were moved into 2012 in order to take advantage of the PTC.

Another challenge is that due to policy uncertainty, many developers and equipment manufacturers slashed staff and placed projects on hold.

"Developers and manufacturers need time to gear up, so the new PTC extension will be largely felt in the second half of 2013 and will not repeat what happened in 2012, when new development dropped sharply in favor of finishing projects that could operate commercially by Dec. 31, 2012,” Mullins explains.




Trachte Inc._id1770
Latest Top Stories

Yahoo Inks Contract To Buy Kansas Wind Power

The Internet company plans to log in to the Alexander wind project, which is being built by community developer OwnEnergy.


Could Initial Offshore Wind Projects Crash New England's REC Market?

Some are concerned that the first offshore wind projects could negatively impact pricing of renewable energy credits (RECs) in New England.


Catching Up With The DOE's Down-Select Offshore Winners

The three recipients of key U.S. Department of Energy (DOE) funding provide updates on their offshore wind demonstration projects.


Texas Comptroller Attacks Wind Power, And Industry Fights Back

Texas Comptroller Susan Combs recently released a report calling for an end to wind power subsidies. The Wind Coalition has responded, saying the report is riddled with misinformation.


How To Mitigate Blade Issues And Costly Downtime

Routinely inspecting your turbine's blades can help identify problems early on, ultimately cutting down unscheduled maintenance costs.

Canwea_id1984
Renewable NRG_id1934