“Smart energy, clean energy, today´s energy”
The
Mariah
wind power project
The Mariah wind power project
The Mariah project – at a glance • • •
The Mariah Project is developed by Scandia Wind Southwest LLC, a joint venture company owned by Havgul Clean Energy AS, Alpha Wind Energy Aps and Premium Wind Coalition (PWC). The Mariah Project is a large scale wind power development project in Texas, with a planned capacity of 2 200 MW in phase 1, an additional potential capacity of up to 2 800 MW in phase 2 and 5 000 MW in phase 3. Scandia Wind Southwest LLC has signed land to accommodate 5 000 MW in Sherman, Dallam and Parmer counties. and the target is to sign an additional 5 000 MW.
Key figures • Km2/acres (fully developed)
approx 2 800/700 000
• Installed capacity
2 250 - 10 000 MW*
• Estimated construction costs (phase 1+2)
USD 4.5 - 12 billions (USD 2.0 - 2.5 m/MW installed
* aims for 2 200 MW i phase 1, an additional 2 800 MW in phase 2 and up to 5 000 MW in phase 3. Final size of project depends on grid solutions
Phase 1 Connecting 1 200 MW into ERCOT and 1 000 MW into Eastern Intreconnection. This will support the initial development of 2 200 MW some of which is expected to be ready for sale mid 2011 depending on development of grid capacity and timing for access to this. Phase 2 An additional 2 800 MW capacity of which 1 800 MW in Parmer county and 1 000 MW in Sherman county. This phase of the Mariah Project can only be developed if the TASS project is materialized and the interconnections are connected with sufficient capacity. This phase could require some additional investments in grid access. Phase 3 This phase is dependant on further transmission improvements west and north-east resolving significant bottleneck in the transmission systems. This opens up for an additional installed capacity of up to 5 000 MW in Sherman and Dallam counties.
Turbines will be located in the corners of the quarter sections
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The Mariah wind power project
Building for a future America: Major grid capacity projects in the pipeline Location
Sherman County Dallam County
Parmer County
10 • • • • •
000 MW: Over 600 land owners Approximately 700 000 acres USD 20 - 25 billion investment Deliver power to 3 million US homes More than 40 000 jobs
Tres Amigas •
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The TresAmigas SuperStation (TASS) will act as a power market hub, enabling the buying and selling of electricity between three of North America's largest interconnection areas, which is not possible today. This could potentially become the largest power convertor in the world. It enables the Mariah project to be built much bigger. The Mariah project alone would increase wind power production in Texas by near 50%. Tres Amigas will enable Texas to continue creating thousands of jobs by opening up for further wind power build outs. It will deliver baseload to ERCOT. Allows the Mariah Project to send power from Texas to the major load centers in the US.
Map shows which part of the Mariah Parmer County wind farm that is planned to be interconnected with ERCOT and TresAmigas
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The Mariah wind power project
The Tallgrass Line, Eastern Interconnection • •
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The Tallgrass Transmission line is located in the Eastern Interconnection Area and the Southwest Power Pool (SPP) region The project is part of the visionary SPP extra high-voltage overlay plan released in early 2008 and will have the highest capacity, most technically advanced transmission line ever built in Oklahoma Decision to build the high-voltage lines will depend on feed-back from potentially affected land owners and communities The owners of the Tallgrass Transmission line are American Electric Power (AEP), one of the largest electric utilities in the United States, and Mid American Energy Holdings Company, a global leader in the production of energy from diversified fuel sources
Sherman county connection to the Tallgrass Line •
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Phase 1 of the Mariah Project plans to connect up to 1 000 MW wind power in Sherman county into the Hitchland sub-station located near the city of Guymon on the Tallgrass Line The Mariah project in Sherman county is located approximately 40 miles from the Hitchland sub-station
This map superimposes 3 proposed HVDC projects: Santa Fe 500 kV HVDC line from Clovis NM to markets west in AZ, NV and CA, the Tres Amigas Super Substation outside Clovis NM, and the Central and Eastern Clean Line dual 500 kV HVDC lines from western SPP to TVA. These HVDC projects are only viable with robust EHV networks.
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The Mariah wind power project
The CREZ Line, ERCOT •
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A Competitive Renewable Energy Zone (CREZ) is an area where wind generation facilities will be installed and from which transmission facilities will be built to various other areas of the state to deliver renewable power to enduser consumers in the most cost effective manner The CREZ project is the Public Utility Commission (PUC) of Texas’ response to a public mandate to increase renewable energy in Texas to serve the electric needs in the state The CREZ effort will significantly increase Texas’ current level of wind generation capacity to 18 456 MW The Mariah project has applied up to 1 200 MW in the CREZ Line connected to ERCOT Interconnection Area Decision regarding CREZ interconnection is expected in first half 2011
Parmer county connection to the CREZ Line •
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Phase 1 of the Mariah Project plans to connect up to 1 200 MW wind power in Parmer county into the Hereford and / or Nazareth sub-stations The Mariah project in Parmer county is located approximately 20 miles from the Nazareth sub-station
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The Mariah wind power project
The progress
Mariah, the economy and jobs creation A large wind power project like Mariah will create thousands of jobs, both during construction as well as during operation. A study carried out based on the Job and Economic Development Impact (JEDI) model, concludes that a wind park of 5 000 MW (ie Mariah phase one and two) would create more than 20 000 jobs during construction, and 1 500 permanent jobs during operation. This is confirmed by a 2008 study carried out on the economic impact of the 2 500 MW of wind energy capacity in Nolan County, Texas. The study showed that Nolan County would reap nearly a third of a billion dollars in
2008 from the direct and indirect effects of the wind energy industry centered in the county. Some findings of the study: 1 124 direct wind jobs, totaling $45 million in payroll, not including additional employees hired to staff hotels, motels and restaurants, or employees of law firms that spend much of their time on legal work related to the industry. Landowner royalties totaled $12.264 million. Total taxpayer property values increased from $500 million in 1999 before the advent of wind to $2.4 billion in 2008.
TX USA Renewable 42 - 52 USD/MWh (2004-2005)
The Mariah project will sell power to the high priced markets in the US and Canada. In addition to the avbove indicated PPAs, the project also sell REC and PTC/ITC/Tax Grants.
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The Mariah wind power project
Local Economic Impacts - Summary Results Phase 1 and 2 No of jobs During construction period Project Development and Onsite Labor Impacts Construction and Interconnection Labor Construction Related Services Turbine and Supply Chain Impacts Induced Impacts Total Impacts
2 507 2 179 327 15 061 5 473 23 040
During operating years (annual) Onsite Labor Impacts Local Revenue and Supply Chain Impacts Induced Impacts Total Impacts
233 680 564 1 478
Estimated job creation for the Mariah project.
Summary the Mariah project •
The best wind conditions in Texas making it one of the most production efficient renewable energy projects in the State
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The Maria project phase 1 and 2 creates: – Up to over 20 000 jobs in the construction phase – Approximately 1 500 jobs in the operational phase
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If ERCOT connects to TresAmigas, Mariah can deliver guaranteed peak load and auxillary sevices to ERCOT
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TresAmigas allows the Mariah project to reach other high paying US energy markets: – making the Mariah project more profitable – reducing the need for public support scemes – saving millions of taxpayers money
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Will create fantastic opportunities for the Panhandle to diversify into the renewable industry
"The Mariah project will generate thousands of jobs”
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The Mariah wind power project
TresAmigas - Texas at a cross roads • • • • •
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Enables Texas to build wind power beyond its own energy need strengthening Texas as the no 1 energy exporter in the USA Enables Texas to continue being pioneers within the renewable industry Through continuing developing a large home market, enables Texas to continue creating thousands of new jobs within the renewable industry Will lower power prices for millions of Texas consumers Increases grid reliability and security by delivering: – reactive effect – frequency support – low cost electricity from off peak markets to Texas peak load hours – huge start up support by grid fall outs Lowering costs and increases revenues for all new renewable projects Texas: – Lower need for reactive effect support per project, ref ERCOT new regulations – opens up other high paying US energy markets when the Texas market is constrained Making wind power projects more profitable reducing the need for public support scemes for renewable energy saving taxpayers millions of dollars Enables the CREZ Line to be better utilized and used more efficiently
Jim Swafford, CEO P.O. Box 783 1000 8th Street Bovina TX, 79009 Office: (806) 251-1015 Mobile: (806) 789-4989 e-mail:
[email protected] www.scandiawind.com www.mariahproject.com