Despite objections, Indiana regulators OK Nipsco's first-ever wind energy purchase

摘要

Over the objections of the state's utility consumer advocate and a group of large industrials, the Indiana Utility Regulatory Commission last week approved Northern Indiana Public Service's first major wind energy purchase. The NiSource subsidiary has agreed to buy about 50 MW each from Barton Windpower and Buffalo Ridge wind farms in Iowa and South Dakota, respectively. Both are owned by Iberdrola Renewable Energies USA. Its parent company, Iberdrola, is the largest owner/operator of wind farms in the world. Frank Shambo, Nipsco vice president of legislative and regulatory affairs, told the commission that US utilities "cannot ignore the increasing demand" for greenhouse gas regulation and must develop an emission strategy that anticipates such regulation will be enacted by Congress. Coal currently accounts for most of Nipsco's approximately 3,000 MW of generating capacity. The wind-power purchase agreements are identical except with respect to pricing and duration. The Buffalo Ridge transaction provides for a fixed price over a 15-year term while the Barton PPA has an escalating price over its 20-year period. There was unusually strong opposition to the PPAs from the Indiana Office of Utility Consumer Counselor and the Nipsco Industrial Group.