Transmission and the Growth of Wind Energy November 2011

1 The central United States has some of the world’s best wind resources Average 80 m wind speed. Source: NREL, AWS

2 The potential energy from the region is effectively unlimited 1.Based on windy land area in Lower-48 states with a gross capacity factor (without losses) of 40%+ at 80-m height, and the wind energy potential from development of the “available” windy land area (excludes areas such as wilderness areas, parks, urban areas and water features) StatePotential Installed Capacity 1 (GW) Current Installed Capacity (GW) 1) Texas ) Nebraska ) S. Dakota ) Kansas ) N. Dakota ) Montana ) Iowa ) Wyoming )Oklahoma ) New Mexico TOTAL5, Source: NREL; AWS Truewind; AWEA Top States in Terms of Wind Resource Potential Top ten states have 5,239 GW of high capacity factor wind potential, compared to 2009 average US electricity load of 425 GW

3 Source: Lazard Wind energy from the best resources is less expensive than any other new power plant Levelized Cost of Energy 1 $ / MWh 1.Mid-point of Lazard’s LCOE estimates, except for lower-end for coal (no carbon capture). Wind uses lower-end LCOE estimate (for best quality wind)

4 The big challenge is transmission Existing High Voltage Transmission Lines (500–999kV AC and HVDC)

5 CA Rock Island Grain Belt Express Plains & Eastern Centennial West Clean Line’s projects connect the regions where wind power is most abundant; existing extra- high voltage transmission lines do not Existing High Voltage Transmission Lines (500–999kV AC and HVDC) Clean Line projects Clean Line has four projects that can help solve the challenge…

6 …but we need a lot of help to make the projects happen STATE POLITICAL SUPPORT LEVEL PLAYING FIELD FOR INDEPENDENTS STATE SITING WHERE POSSIBLE FEDERAL SITING AS A BACKSTOP LONG TERM CONTRACTS FROM UTILITIES IN-STATE AND OUT OF STATE PROJECTS