BP Plans US$800 Million Wind Farm in Kansas

BP Plc has announced plans to build a US$800 million wind farm in Kansas by the end of next year as the US wind power industry continues to struggle in the face of expiring federal tax credits.

The 66,000-acre project, named the Flat Ridge Wind Farm 2, will span across 4 counties – Barber, Harper, Kingman and Sumner – and will become the largest installation of its type for both the state of Kansas as well for BP Wind Energy.

BP Plc has announced plans to build a US$800 million wind farm in Kansas by the end of next year as the US wind power industry continues to struggle in the face of expiring federal tax credits.

The 66,000-acre project, named the Flat Ridge Wind Farm 2, will span across 4 counties – Barber, Harper, Kingman and Sumner – and will become the largest installation of its type for both the state of Kansas as well for BP Wind Energy.

The company is currently awaiting permits to begin construction on the project, which could employ as many 500 people at the peak of its construction with a further 30 employees needed to run the farm once the project is completed.

“The time has certainly arrived for Kansas to lead the way in exporting clean, renewable and affordable energy to the rest of the nation,” said Kansas Governor Sam Brownback in a press conference held with BP Wind Energy officials at the Wichita State University on Monday.

[quote]”We have enjoyed working closely with BP Wind Energy to create jobs and grow the economy in our state.” said Brownback. “Kansans have a proud history of meeting the needs of the world. We export wheat to feed the hungry and will now be exporting our latest crop – clean, reliable and affordable wind energy to power the needs of our nation.”[/quote]

Three-quarters of the power produced by the farm will be sent out of the state, with the Associated Electric Cooperative signing a power purchase agreement that will distribute the energy to other states such as Missouri, Oklahoma, and Iowa.

According to BP Wind Energy officials, the company will be actively marketing the remaining capacity produced by the farm to other customers in the Midwest.

BP Wind Energy CEO and President John Graham added that the about 200 landowners will also receive royalties for the right to use their property. 

[quote]”We’ll be paying the land owner group where we’ll actually be sitting our turbines, which is more than 200 people, more than a million dollars a year in royalties,” said Graham, as quoted by Kake. “And that will be for the next 20 years or more.”[/quote]

Flat Ridge Wind Farm 2 will be the 14^th, and the largest, wind farm by BP Wind Energy in the US. The 13 existing farms, including Flat Ridge Wind Farm 1, presently produce around 1,600 megawatts of energy – enough for about 500,000 US Homes. Flat Ridge Wind Farm 2’s capacity is expected to be around 419 megawatts.

The news came in the wake of a report by wind energy specialist MAKE Consulting that cut estimates for turbine demand, particularly in China and the US, as uncertainty continues to loom over production tax credits for the industry that are due to expire next year.

The recent trouble surrounding the federal loan-backed solar company Solyndra has also called the feasibility of renewable energy into question.