Presentation on theme: "Gail Windpower Project Manistee and Benzie Counties, Michigan Growing A Sustainable Community with Renewable Energy."— Presentation transcript:
Gail Windpower Project Manistee and Benzie Counties, Michigan Growing A Sustainable Community with Renewable Energy
About Duke Energy The Case for Wind Energy in Michigan Project Overview Landowner Benefits Community Benefits Respect for the Environment Safety Development and Construction Process Next Steps Agenda
Duke Energy… Is one of the largest electric power companies in the U.S. Is headquartered in Charlotte, North Carolina Has more than 18,000 employees Is a Fortune 500 company traded on the NYSE under the symbol DUK Supplies and delivers electricity to approximately 11 million people in the U.S.
Duke Energy… Outperformed peer utilities during the recession and is known for its consistently strong financial performance Was recognized again in 2010 as one of only 100 corporations to make the Ethisphere Institute’s list of the “World’s Most Ethical Companies” “The award is another reminder that ‘how’ we do business is as important as ‘what’ we achieve.” Jeff Browning Vice President-Audit Services Chief Ethics and Compliance Officer
At Duke Energy, we’re committed to sustainability – doing business in a way that’s good for people, the planet and profits. The Way We Do Business
Duke Energy’s Commitment to Renewable Power Duke Energy has nine wind power projects totaling 986 megawatts (MW) already in operation The 99-MW Campbell Hill wind farm near Casper, Wyo. Duke Energy has 5,500 MW of potential wind power projects under development in 15 states
Duke Energy’s Commitment to Renewable Power Duke Energy is also growing its solar power business $50 million program to install rooftop solar panels on select customers’ properties in N.C. Owns/operates the largest solar photovoltaic project in Texas, and several smaller solar farms Duke Energy has operated hydroelectric generation stations since 1904
The Case for Wind Energy in Michigan Michigan is almost totally dependent on imported fuels 70 cents of every dollar spent on energy goes over state lines 100% of the coal and uranium we use 97% of petroleum products 80% of the natural gas Source:
The Case for Wind Energy in Michigan Michigan ranks 14th in nation for wind Including off-shore wind moves Michigan to #3 rank in the nation One of only four states rated with sufficient industrial capacity to manufacture, innovate, and deploy wind technology.
Duke Energy will own and operate the Gail Windpower Project Duke Energy owns DEGS Wind I, LLC, which will develop, construct and operate the wind farm The full 200 MW project would consist of just over 100 wind turbines The final turbine has not yet been selected but is anticipated to produce between 1.8 and 2.3 MW Duke Energy will commit to build the project once a long- term power purchase agreement (PPA) is in place Project Overview
Landowner Benefits Participating landowners will enter into a contract with Duke Energy Generation Services (DEGS), a subsidiary of Duke Energy Corp. Contract length: 25 years DEGS pays Annual Fees to all landowners holding signed leases (the lessors) DEGS pays Wind Turbine Fees to landowners with turbines installed on property
Landowner Benefits What makes wind energy unique: leased land may be used for other purposes, including agriculture, recreation, etc. Landowner income generated from wind energy: Does not require an up front expenditure of capital Is not susceptible to drought, flooding, etc.
Community Benefits Approximately 150 construction jobs will be created plus several long-term positions Indirect economic benefits to hotels, gas stations, local suppliers and hardware companies, etc (anticipated $10 million in spending during construction and millions of dollars annually) Tax revenues for Manistee and Benzie counties and participating townships is estimated at $68 million over the life of the project Help control future millage increases A single 1 MW turbine displaces 1,800 tons of carbon dioxide each year (equivalent to 360,000 tons via Gail Windpower)
Community Benefits Payments to Landowners $1 Million per year County and Township Property Tax Revenues Over $1 Million/year Jobs Construction (150+ jobs) Operations (4-5 full-time) Direct Impacts Construction Phase (local suppliers, hotels, gas stations, etc.) additional positions Over $10 million in spending Operational Phase (housing, local suppliers, local schools) Estimated new jobs Estimated $5 million/year Indirect and Induced Impacts Total Economic Benefit = Over $200 million Total Employment Over 150 jobs during construction Estimated long term local jobs Totals (Construction and Operations)
Respect for the Environment Duke Energy is working with all appropriate state, county and local agencies to consider potential impacts of construction and wind power operations including: An evaluation of federal and state species and habitats A review for compliance with local ordinances and zoning Siting evaluation to limit impact to viewshed This information helps us develop impact avoidance and mitigation plans
Respect for the Environment Watching out for wildlife Wind farms are generally considered to have minimal impact on birds and other forms of wildlife The average wind turbine kills 1-2 birds per year – dramatically less than many other manmade structures such as buildings, bridges, billboards, cars, trains and planes* Of every 10,000 bird fatalities, only one is caused by a wind turbine* * Source: American Wind Energy Association
Safety Wind is one of the safest ways to produce electricity today Multiple safeguards for lightning, fire, and mechanical malfunctions are an integral part of design Automatically shut off in excessive wind conditions Zero greenhouse gas and other emissions No hazardous wastes Operations at Duke’s wind farms are monitored 24 hours a day, 7 days a week
Development and Construction Process First phase: project development Landowner discussions and leases Evaluation of wind data Second phase: permitting process, siting studies, power purchase agreements (PPAs) with utility companies
Development and Construction Process Third phase: construction Access roads and buildings Turbine foundations Tower erection Fourth phase: project commissioning
Development and Construction Process Fifth phase: commercial operation Clean energy production Sale of power to energy companies Revenue payments to landowners
Next Steps Schedule an appointment with Lindi Milner, Leasing Agent to review/sign the lease agreement Lindi Milner, Leasing Agent Gail Windpower Project Development Group Office: (231) Cell: (231) Visit for more information