Tony's Newsletter
Tracking Activities of the Colorado Renewable Energy Forum
and the Development of Wind Projects
From Colorado Working Landscapes, October 15, 2004
Volume 1, Issue 12
The Colorado Renewable Energy Forum (CREF) is an organization of energy, financial and legal professionals, local communities, and advocate organizations committed to the development of wind and other renewable energy resources. To be added to or taken off the distribution list for Tony's Newsletter please send an email to frank@workinglandscapes.com.
Wind Developer and Landowners to Meet in Akron, Thursday, October 21, 7 p.m.
Numerous wind developers are preparing bids for portions of the 500 MW of renewable energy capacity PSCo is expected to purchase next year (bids are now due November 1, 2004). “Finding a way to piggyback smaller locally owned projects onto these larger projects is a CREF goal, something we have advocated to PSCo, the Public Utilities Commission and to developers” explained CREF Chair, Tracee Bentley. “We have a window of opportunity that is closing very quickly.”
One of these bidders, enXco, has all the elements in place for a sizable project and would like to explore establishing a relationship with a smaller locally owned project. CREF has agreed to sponsor a meeting for an exchange between enXco, landowners and producer groups interested in a locally owned project. Paul White from Minneapolis is preparing the PSCo bid and will participate in the meeting.
"enXco has 20 years experience building and operating wind plants, including experience tagging smaller locally owned projects onto larger, more conventional projects. In Colorado, enXco is hoping to rally participation by individual landowners or organized producer groups who have taken steps to develop small locally-owned projects" said Mr. White.
The meeting will be held at the Washington County Events Center in Akron at 7:00 p.m. on October 21. Meeting space is limited and RSVPs are requested. Please contact Tony Frank at frank@workinglandscapes.com if you plan to attend.
Colorado Producers Receive USDA Energy Grants
“Colorado does not measure up to the number of grants received by other states but we are beginning to make progress,” claimed CREF Chair, Tracee Bentley, “During the past month, USDA announced grants for three Colorado renewable energy projects from two grant programs.”
The Wray Farmer Owned Wind Farm Group was awarded a $128,000 Value-Added Producer Grant on October 13th to conduct technical studies that will hopefully lead to a 10 MW locally-owned project piggybacked onto a large industrial project. Early last spring, the Farm Group (four area landowners) forged an association with Invenergy, a Chicago-based wind developer. Five meteorological towers have been installed and power marketing and interconnection issues examined. “Feasibility, transmission, and interconnection studies are expensive,” explained Farm Group coordinator Brent Orr. “The grant will really help facilitate the relationship we seek with Invenergy. Full cooperation through a successful large development will greatly improve the financial performance of our locally-owned project.”
The Colorado Potato Administrative Committee (CPAC) was awarded a $41,375 Value-Added Producer Grant to study the feasibility of developing a canola crusher for the production of bio-diesel in the San Luis Valley. CPAC Executive Director Chris Voigt explains why potato growers are interested in canola: “Rotating canola and potato crops eliminates nemotose, a microscopic organism that disfigures the potato making is less valuable in the marketplace.” Voigt went on to explain that the Valley produces very high yields of canola but transportation costs make the raw product non-competitive. “We believe that a crusher will help potato growers, diversify our local economy and create a superior domestic source of energy.”
Blue Sun Bio-diesel was awarded a $500,000 Renewable Energy Systems grant on September 15 to help fund construction of a 3-million-gallon-per-year biodiesel production facility in Alamosa. A grand opening for the co-located blending terminal will be held on October 21 at 2 P.M. in Alamosa.
Blue Sun CEO Jeff Probst said, “By co-locating crop production and the biodiesel production facility with the blending terminal...Blue Sun Biodiesel can provide high-quality and cost-competitive fuel to our customers throughout the country.” The production facility will create 240 new jobs and inject $45 million of new income annually into the region, according to Probst.
Blue Sun was the first Colorado entity to apply for funding from Section 9006 of the new Energy Title to the 2002 Farm Bill. USDA has awarded 129 grants selected from 380 applications during the first two years of the program totaling $44 million. Congratulations to Blue Sun for producing Colorado’s one and only successful grant. Half of the $22.8 million awarded this year went to two states, Minnesota and Wisconsin. For more information on this grant program go to http://www.farmenergy.org/
The Rocky Mountain Farmers Union Cooperative Development Center receives USDA funding in recent years to help producers form cooperatives. The Center’s application that was approved on September 10th included $27,000 to help CREF develop a legal entity for the aggregation of small, “farmer owned’ community wind projects. The starting point for this project is SB-168, signed into law last May, authorizing the formation of renewable energy cooperatives.
Colorado Working Landscapes (CWL) is a landowner-driven public policy forum seeking to build communication bridges between divergent interest groups while striving for win-win solutions. Our goal is to keep Colorado's agricultural landscapes intact, both economically and ecologically, while respecting private property rights and local control.