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Renewable Energy Markets Conference 2012 U.S. Wind Industry Update Elizabeth Salerno American Wind Energy Association September 25, 2012
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Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Oct 14, 2020

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Page 1: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Renewable Energy Markets Conference 2012

U.S. Wind Industry Update

Elizabeth Salerno

American Wind Energy Association

September 25, 2012

Page 2: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

U.S. Wind Capacity Installations

2 Source: AWEA U.S. Wind Industry Second Quarter Market Report

• Total U.S. wind capacity

installations stand at 49,802 MW at the end of 2Q 2012 – and 50,000 MW as of August

12.8 million homes 82 million tons of

CO2 or 14 million cars

30 billion gallons of water

• Average annual growth of 35% for the U.S. wind industry over the past five years

Page 3: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Wind has captured 35% of all new generating capacity in America since 2007

Data Source: AWEA, EIA, SEIA, SNL

Percent of New Installed Capacity (in MW), 2007-2011

• New wind capacity represented 31% of all new capacity installed in 2011.

• All new renewable capacity

combined represented nearly 40% during 2011.

• Over the past 5 years combined, wind represented 35% of all new generating capacity installed.

Page 4: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Wind Project Locations

4 Source: AWEA U.S. Wind Industry Second Quarter Market Report

Page 5: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Wind Turbines Installed Each Year, by Manufacturer

Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2011 Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2011

Page 6: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Rotor Diameter and Hub Height of Turbines Installed in 2011

Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2011

Page 7: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Turbine Design Advancement Leads To Enormous Increase in Capacity Factors

2002-03

Standard Technology

2009-10 Standard Technology

Current: 2012-13 Standard Technology

15%

20%

25%

30%

35%

40%

45%

50%

5.5 6.0 6.5 7.0 7.5 8.0 8.5

Cap

acit

y Fa

cto

r

50m Wind-speed (m/s) air density = 1.225 kg/m3

Current: 2012-13 Low Wind-speed (100m Tower)

Current: 2012-13 Low Wind-speed (80m Tower)

Class 2 Class 3 Class 4 Class 5 Class 6

Source: LBNL and NREL. Recent Developments in the Levelized Cost of Energy from U.S. Wind Power Projects

50m Wind-speed

Page 8: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Turbine Design Advancement Leads To Enormous Increase in Capacity Factors

2002-03

Standard Technology

2009-10 Standard Technology

Current: 2012-13 Standard Technology

15%

20%

25%

30%

35%

40%

45%

50%

5.5 6.0 6.5 7.0 7.5 8.0 8.5

Cap

acit

y Fa

cto

r

50m Wind-speed (m/s) air density = 1.225 kg/m3

Current: 2012-13 Low Wind-speed (100m Tower)

Current: 2012-13 Low Wind-speed (80m Tower)

Class 2 Class 3 Class 4 Class 5 Class 6

Source: LBNL and NREL. Recent Developments in the Levelized Cost of Energy from U.S. Wind Power Projects

50m Wind-speed

Page 9: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Turbine Design Advancement Leads To Enormous Increase in Capacity Factors

2002-03

Standard Technology

2009-10 Standard Technology

Current: 2012-13 Standard Technology

15%

20%

25%

30%

35%

40%

45%

50%

5.5 6.0 6.5 7.0 7.5 8.0 8.5

Cap

acit

y Fa

cto

r

50m Wind-speed (m/s) air density = 1.225 kg/m3

Current: 2012-13 Low Wind-speed (100m Tower)

Current: 2012-13 Low Wind-speed (80m Tower)

Class 2 Class 3 Class 4 Class 5 Class 6

Source: LBNL and NREL. Recent Developments in the Levelized Cost of Energy from U.S. Wind Power Projects

50m Wind-speed

Page 10: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Turbine Design Advancement Leads To Enormous Increase in Capacity Factors

2002-03

Standard Technology

2009-10 Standard Technology

Current: 2012-13 Standard Technology

15%

20%

25%

30%

35%

40%

45%

50%

5.5 6.0 6.5 7.0 7.5 8.0 8.5

Cap

acit

y Fa

cto

r

50m Wind-speed (m/s) air density = 1.225 kg/m3

Current: 2012-13 Low Wind-speed (100m Tower)

Current: 2012-13 Low Wind-speed (80m Tower)

Class 2 Class 3 Class 4 Class 5 Class 6

Source: LBNL and NREL. Recent Developments in the Levelized Cost of Energy from U.S. Wind Power Projects

50m Wind-speed

Page 11: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Wind Project Activity, by Region

11 Source: AWEA U.S. Wind Industry Second Quarter Market Report

At the end of 2Q 2012, the U.S. had over

10,300 MW under construction

Page 12: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Status of Power Offtake for New Wind Projects

12 Source: AWEA U.S. Wind Industry Second Quarter Market Report

Page 13: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

Improved Wind Technology Opens New Regions for Wind Development

Data Source: Energy Information Administration Chart Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2011

Southeast is now receiving low-cost

wind power through power

contracts in Louisiana &

Alabama

With improved wind technology

(taller towers, longer blades) there is project development activity now

occurring in new regions

During 2011, wind energy produced roughly 20% of the

Electricity generation in Iowa & South Dakota

Page 14: Renewable Energy Markets Conference 2012 U.S. Wind ...resource-solutions.org/images/events/rem/presentations/2012/SOM... · Source: AWEA U.S. Wind Industry Second Quarter Market Report

• The Production Tax Credit (PTC) for wind energy is set to expire at the end of 2012

• On August 2, 2012, the Senate Finance Committee passed a tax extenders package that included an extension of the renewable energy production tax credit (PTC) and investment tax credit (ITC) by a bipartisan margin of 19 – 5.

14

Policy Update – Prodcution Tax Credit (PTC)