AEP-PSO agrees to buy wind energy, citing ‘substantial savings’

October 11, 2013 by  
Filed under Green Energy News


Posted: Friday, October 11, 2013 12:00 am


AEP-PSO agrees to buy wind energy, citing ‘substantial savings’

By SUSAN HYLTON World Business Writer

TulsaWorld.com

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AEP-PSO has signed agreements to purchase nearly 600 megawatts of wind energy from facilities being developed in northwestern Oklahoma and the state’s Panhandle, the electric utility announced Thursday.


The purchase will provide AEP-PSO’s customers with energy from wind farms near Seiling, Balko and Goodwell starting Jan. 1, 2016. The 20-year agreements are subject to approval of the Oklahoma Corporation Commission.

American Electric Power-Public Service Co. of Oklahoma said it originally planned to purchase up to 200 megawatts of wind energy but contracted for an additional 400 megawatts after seeing extraordinary pricing opportunities that will lower utility costs by an estimated $53 million in the first year and even more thereafter.

“With these long-term power purchase agreements, we’re adding a significant amount of Oklahoma wind energy, bringing more diversity to our fuel mix, and doing so at a price that will provide substantial savings for our customers,” said Stuart Solomon, AEP-PSO president and chief operating officer, in a statement.

The sellers are Apex Clean Energy Holdings LLC, Next Era Energy Resources LLC and TradeWind Energy.

According to TradeWind Energy, the purchase of 20 megawatts from the Goodwell Wind Project will power 60,000 homes. It will be constructed across about 20,000 acres in Texas County and involve about 30 land owners.

“Oklahoma’s natural resources and the leadership of lawmakers have made it an ideal state for wind-energy investment,” TradeWind CEO Rob Freeman said. “Oklahoma’s thoughtful policies have helped encourage development of a resource that is mutually beneficial to ratepayers, local communities and the environment.”

TradeWind said the deal shows how utility companies recognize the value of wind power to their portfolios.

Susan Hylton 918-581-8381

susan.hylton@tulsaworld.com

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Friday, October 11, 2013 12:00 am.


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