D. McKay: If only we'd known then

The Maine Public Utilities Commission (overseers of electricity rates in Maine ) must be having one of those "If we only knew then what we know now"  moments.

In 2009, the PUC mandated a contract between a wind turbine project owner in Lincoln and Central Maine Power and Bangor-Hydro. An article from the Sun Journal appearing in April 2010 stated “The 20-year contract between Rollins’ owner, First Wind, and CMP and Bangor Hydro Electric Co. was hammered out by the Maine Public Utilities Commission. It's a technical, 11-page document that contains a broad range between the highest price ($110 per megawatt-hour) and lowest ($55 per megawatt-hour to start).”

The first quarter report from ISO-NE (the nonprofit regulatory agency that oversees electricity flow for six states in New England, and that declares, on its website, it has the “ mission of ensuring the constant availability of reasonably-priced electricity for New England's residents and businesses) reveals an overall price of electricity supply at an average of $32.59 per megawatt-hour. Compare this to the first quarter overall average price in 2011 at $57.53 per megawatt-hour.

The reduction is mainly attributable to a 41 percent reduction in the cost of natural gas. Natural gas-fired plants account for nearly 50 percent of the electricity used in New England.

The PUC assumed gas prices would increase and make wind seem less costly. If they only knew then what we know now.

Dan McKay Dixfield

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Comments

censorship

I phoned Quantum Utility Generation of TX. which is intent on putting turbines on Passadumkeag Mountain, one of the special view-sheds in Maine. I was referred to two representatives located in Conn. Tom Slake (sp?) (860) 339-5655, and Mike Berkner (860) 339-5886. I spoke with Mr. Slake about my opposition to the project and that was willing to anything legal to stop it. Incidentally, this wind farm proposal has not been mentioned in PPH, BDN or Sun Journal. What’s that all about? Please call these representatives and the papers and express your concern.

Jonathan Albrecht's picture

Wind is not the answer

Wind power on a state-wide scale benefits only the carpetbaggers.
Our state, its people, and wildlife suffer. When that becomes apparently, we will look back on a lot of bad analysis, false assumptions, and false hopes.

Alice Barnett's picture

poor ratepayers

If WIND had not come along they could save money.

Jay Cashman sells WIND to Mass for $99.00 MW.

PUC mandates a price.

All renewables get $22.00 MW for Production Tax Credits.
All renewables sell Renewable Energy Credits at about $20-30.00 MW.

all this mandating drives the cost of electricty up.

MARK GRAVE's picture

This is a good teaching

This is a good teaching moment to show what happens when government gets involved in the private sector – prices go up.
Wait, prices go up when government gets in involved with anything business related. Just look at what ObamaCare is doing to healthcare cost; its driving them up.

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