Wind farms are certainly not a new phenomenon. Particularly in Europe, with Denmark being the clear leader, wind farms have been producing electricity for many years. So why is it that the developers didn't arrive here back in 1980 or 1990? What took them so long to discover our hilltops? And why have they been so aggressively persistent in the face of so much opposition?
The reason the developers need us so badly today was explained in a Wall Street Journal article several months ago (2-9-06). This article tells the story of Denmark's national commitment to renewable energy, and its rather sudden demise.
In the late 1990's the Danish government mandated that utility companies sign 10 year agreements with suppliers of wind-based electricity. These agreements required the utilities to buy wind-based power at above market rates, sometimes double the market price. These mandated subsidies made wind-based power popular and profitable - for the people who owned the state-subsidized turbines. The general public did not profit from this arrangement, as they were forced to pay much higher prices for their electricity.
In 2005 though, things began to change. A more market-friendly and citizen-friendly government was voted in. According to the Journal, this resulted in "a shift in philosophy, a belief that the market will give more cost-effective solutions." The new government immediately began to reduce the subsidies for renewable energy and will end them completely in 2009.
"The result was a collapse of the overall domestic market for wind turbines. Although the market is small and saturated it had been a laboratory for Danish turbine makers like Vestas Wind Systems A/S to hone their technology. Now Vestas is depending on China, the U.S. and other markets for growth."
So the reason that Vestas is so desperate for sales here is because their own government recognized the folly of propping up a non-competitive business. Today, without subsidies, wind power is not viable in Denmark. The only reason it is even being considered here is because of our own government subsidies (courtesy of corrupt politicians who have accepted contributions from the turbine manufacturers and the developers). Your tax dollars provide the sole profit opportunity for the developers. No subsidies means no wind farms.
The existing federal subsidy is a temporary one, requiring Congressional re-approval every two years. Given massive federal deficits and the impending Social Security collapse, our lawmakers are scrambling to find money to pay the bills. Isn't it likely that subsidies for non-competitive technology will be high on their list of cuts? Isn't it possible that our lawmakers are at least as smart as the Danes?
Without subsidies, there is no market for wind power. Without subsidies, there is no money for turbine maintenance and repair. Without subsidies the developers cannot make any money. Without subsidies there will be a lot of very large, very useless, but well-lit towers sitting idly on our hilltops.
We encourage elected officials in neighboring towns to take their fiduciary responsibilities seriously, to educate themselves about the factual economics of wind power, and to act in the best long-term interests of all citizens of our region. And although it should go without saying, they must exercise full disclosure to demonstrate that there is not even a hint of personal profit influencing their deliberations. Perhaps the Naples Record would do us all a favor and interview town board members on the full disclosure question.
One final comment on wind-based electricity. There are some good-hearted citizens who believe that the proposed wind farms will reduce our reliance on foreign oil. The truth is that the proposed developments are so small that they will make no difference whatsoever. We have in this country over 963,000 MW of electrical generating capacity, 92% of which comes from coal, natural gas, nuclear, and hydro. Petroleum contributes a mere 3.5%, and much of that is sourced domestically. Adding 100 MW of unreliable intermittent wind capacity in Prattsburgh and Cohocton will do nothing to reduce our reliance on foreign oil. It is important that we look at facts, not the fiction handed out by the wind farm developers.
Linda and Brad Jones
Parish Hill
Published in The Naples Record, 7-18-06
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