TABLE OF CONTENTS

 

 

EXECUTIVE SUMMARY ....................... i

I.       INTRODUCTION ....................... 1

         A.     Report Process ....................... 1

 

         B.     Desirability of Wind Power ....................... 2

 

II.      WIND POWER POTENTIAL ....................... 4

 

         A.     Development Considerations ....................... 4

 

         B.     Wind Potential Estimates ....................... 5

 

         C.     Wind Development Experience ....................... 7

 

                  1.     Mars Hill ....................... 8

 

                  2.     Redington ....................... 8

 

                  3.     Fox Island ....................... 8

 

                  4.     Boundary Mountains ....................... 9

 

III.      COST OF WIND POWER ....................... 10

 

IV.     AVAILABLE MARKETS ....................... 14

 

          A.     State Renewable Requirements ....................... 14

 

          B.       Canadian Markets ....................... 15

 

          C.       Green Market....................... 16

 

V.      SYSTEM IMPLICATIONS ....................... 17

 

          A.       Overview ....................... 17

 

          B.       Wind Power Characteristics ....................... 18

 

                     1.     Reliability ....................... 18

 

                     2.     Energy Market Implications ....................... 19

                     3.     Resource Mix Implications ....................... 20

 

                     4.     Emissions Impacts ....................... 21

 

                     5.     Impacts On Existing Facilities ....................... 22

 

VI.       OBSTACLES TO WIND POWER DEVELOPMENT ....................... 24

 

           A.     Project Financing and Long-Term Power Contracts ....................... 24

 

           B.     Public Opposition ....................... 25

 

           C.     Environmental Permitting ....................... 26

 

           D.     Grid Interconnection Procedures ....................... 26

 

           E.     Market Prices in Maine ....................... 27

 

VII.      SITIING OF WIND POWER ON TRIBAL LANDS ....................... 28

 

VIII.     ALTERNATIVE APPROACHES TO PROMOTING WIND POWER IN

            MAINE: CONSIDERATIONS AND RECOMMENDATIONS ....................... 30

 

           A.     Renewable Portfolio Standards ....................... 30

 

                    1.     General Description ....................... 30

 

                    2.     Appropriate Design ....................... 30

 

                    3.      Mitigation of RPS Costs ....................... 31

 

                    4.     Considerations ....................... 32

 

                    5.     Recommendations ....................... 33

 

           B.     System Benefit Charge ....................... 33

 

                    1.     General Description ....................... 33

 

                    2.     Considerations ....................... 33

 

                    3.     Recommendations ....................... 34

 

           C.     FAME Financing ....................... 34

 

                    1.     General Description ....................... 34

 

                    2.     Considerations ....................... 35

 

                    3.     Recommendations ....................... 37

 

           D.     Tax Incentives ....................... 37

 

                    1.     General Description ....................... 37

 

                    2.     Considerations ....................... 37

 

                    3.     Recommendations ....................... 38

 

           E.     State or State-Mandated Purchases ....................... 38

 

                    1.     General Description ....................... 38

 

                    2.     Considerations ....................... 39

 

                    3.     Recommendations ....................... 40

 

           F.     Environmental Permitting ....................... 40

 

                    1.     General Description ....................... 40

 

                    2.     Considerations ....................... 40

 

                    3.     Recommendations ....................... 41

 

           G.     Public Acceptance ....................... 43..................

 

                    1.     General Description ....................... 43

 

                    2.     Considerations ....................... 43

 

                    3.     Recommendations ....................... 43

 

IX.       CONCLUSION ....................... 44

 

 

TABLE OF APPENDICES

 

Entitles Interviewed or Provided Comment on Report ...  A

 

Classes of Wind Power .......................  B

 

Wind Energy Resource Map ..............  C

 

Physical Wind Potential In Twenty States ..........  D

 

Refined Physical Wind Potential in Northeast States ..........  E

 

Location of Tribal Land  F