Development of Wind Energy Resources for Midwest Energy
Midwest Energy's Role
- Midwest Energy is a potential buyer of wind generated power. The Cooperative's goal of securing up to 50 MW of wind generating capacity by 2010 has essentially been met via two contracts for wind energy from the Smoky Hills Wind Project near Ellsworth. When the second phase is complete, Midwest Energy customers will receive wind energy equal to 16% of peak demand, exceeding the Cooperative’s voluntary commitment to at least 10% by 2010.
- Midwest Energy is not a wind energy developer. It has neither the experience nor resources to develop wind projects. From time to time Midwest Energy will issue requests for proposals (RFP) from wind energy developers. A sample RFP is available that illustrates the information required when submitting a proposal.
- Small projects may not require a developer. But, even small projects must comply with interconnection requirements. The equipment seller should be familiar with the procedures. Technical requirements and wind energy purchase prices for small projects are discussed below.
Wind Energy Purchase Price
- All power supply costs are passed directly to Midwest Energy customers, regardless of the source. For our customers' benefit, Midwest Energy wants the lowest possible price.
- The formula for the price paid for energy from wind machines no larger than 25 kW (residential) and 200 kW (commercial) is established by Kansas law (enter 66-1,184 in “Quick Search” field) and is contained in a Parallel Service tariff approved by the Kansas Corporation Commission. In 2006 it resulted in an average "buy-back" rate of 4.243 cents per kWh; the 2007 buy-back rate was 4.023 cents per kWh. NOTE: The generator must be appropriately sized for the electric load.
- For wind generators or projects larger than 200 kW, Midwest Energy expects the developer to propose a price. Proposed prices will be compared to expected costs for other conventional and renewable energy sources. Midwest Energy will not enter into renewable energy contracts that may increase long term costs above other alternatives. The wind energy market is gaining many players, and some will be more efficient than others. Therefore, Midwest Energy has and will continue to use a competitive bidding process for wind energy purchases.
Technical Requirements
- Midwest Energy has a Distributed Resource Interconnection Tariff (Scroll to bottom.) that describes the interconnection requirements for generators that connect to Midwest Energy's distribution system. These generally include connections made on the customer's side of the meter at farms and homes. Click on the following links to obtain application forms and sample agreements.
- The Southwest Power Pool (SPP) establishes guidelines for very large projects connected to the high voltage transmission system. SPP procedures and requirements for transmission interconnections are in the Generation Interconnection Studies section of the SPP tariff. Look for links to “Large Generator” documents for projects larger than 20 MW. Use links to “Small Generator” documents for projects smaller than 20 MW.
