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Carcieri legacy tied to wind farm

THE SUCCESS OR FAILURE of the Deepwater Wind offshore wind energy facility will play a large part in how Gov. Donald L. Carcieri is viewed in the future. /
THE SUCCESS OR FAILURE of the Deepwater Wind offshore wind energy facility will play a large part in how Gov. Donald L. Carcieri is viewed in the future. /

While in office, Gov. Bruce Sundlun helped transform T.F. Green Airport. His successor, Gov. Lincoln Almond, has the University of Rhode Island’s Ryan Center on his resume. Will Gov. Donald L. Carcieri find his legacy tied to wind turbines spinning off the coast?
The potential for an offshore wind farm has dominated the Republican governor’s agenda for much of the last two years. In 2008, a team of his advisers met behind closed doors and announced the state would support efforts by New Jersey-based developer Deepwater Wind to construct two wind farms off the coast of Rhode Island.
The governor called the farms a way to spark economic development by creating a new industry. In his 2010 State of the State address he promised “thousands of additional jobs” to support the farm and others like it envisioned along the East Coast.
He’s pledged the turbines would produce clean energy and help Rhode Island meet his goal of drawing 20 percent of its electricity from renewable energy sources by 2016.
But before any of that happens, the governor and other supporters must gain key approvals for the first wind farm. And Carcieri, now in his eighth and final year of office, is running out of time to affect that often contentious process.
“Certainly the wind farm is connected in Rhode Island’s mind with Carcieri, and if he were to get this through, it would be a feather in his cap,” University of Rhode Island political science professor Maureen Moakley said.
Key approvals for a wind farm off the coast of Block Island could still be buttoned up by the time Carcieri leaves office in January. For the second time, The R.I. Public Utilities Commission is mulling approval of a contact between wind farm developer Deepwater Wind and the state’s largest utility, National Grid, after rejecting it once on account of price. And last week the commission rejected a request by an environmental group to delay the case.
Political observers say if the wind farm moves forward, Carcieri’s name would surely be tied to it. On the other hand, a rejection would deliver a blow to a governor preparing to exit office.
“To get this thing through would be part of his legacy,” Moakley said. “I think he sees it that way and … I think he genuinely believes in that project.” The first phase of the project would place eight turbines about three miles off the coast of Block Island for an estimated price tag of about $200 million. Deepwater wants the turbines spinning by the end of 2012 before federal development tax credits expire. Another, larger farm would come years later in waters 15 miles off the mainland.
The Block Island farm appears to be running neck-and-neck with a much larger farm proposed off Cape Cod to become the first farm in the nation. Rhode Island officials have continually said the Ocean State must deliver the first offshore wind farm to attract the ancillary businesses necessary to form a new industry.
And that drives the timeline rather than the day the governor leaves office, insists Carcieri spokeswoman Amy Kempe.
“The governor doesn’t think in terms of legacy,” Kempe said.
Carcieri has sought to capitalize on pledged economic benefits of a wind farm, linking its creation to the emergence of an industry that would spring up around it. Moakley said the promised economic benefits of the farm enticed the Democrat-dominated General Assembly to work with the Republican governor and pass legislation critical to the farm’s development. Lawmakers, she noted, are also keen on their legacy in an election season.
The legislature may have come on board, but the PUC rebuffed the argument. In rejecting a contract between National Grid and Deepwater in March, the commission called the wholesale price of electricity too high. The price would start at 24.4 cents a kilowatt-hour and escalate 3.5 percent each year of the 20-year contract. Commissioners said it feared a contract would lead to higher electricity prices and hurt – not help – the economy.
The commission also criticized the R.I. Economic Development Corporation for failing to undertake studies or present a persuasive case that a wind farm in Rhode Island waters would create a new industry in the state.
After the commission rejected the contract, Carcieri and lawmakers passed a bill ordering the PUC to take a second look. National Grid and Deepwater returned with essentially the same contract. But this time the PUC needs to give more weight to the economic impact and by law, the EDC must deliver an advisory report about the economic development facet of a wind farm. The EDC expects to deliver that report July 20. The report, to be undertaken by Boston-based Levitan & Associates, will cost the state up to $73,250, said Fred S. Hashway Jr., the EDC’s director of government affairs and policy.
Levitan will also undertake a separate study relating to the cost of the electricity from the proposed Block Island wind farm. By law, Deepwater will reimburse the state for the $127,450 report, also expected on July 20.
And while the mantra of economic development dominates the speech of officials, a wind farm would also become part of Carcieri’s record on the environment. Moakley and the Conservation Law Foundation said Carcieri leaves a mixed bag. The governor promotes renewable energy at every turn and created the R.I. Office of Energy Resources. In 2006, Carcieri called for the state to draw 20 percent of its electricity from renewable sources by 2016, including 15 percent from wind. The R.I. Office of Energy Resources last week did not immediately respond to messages seeking information about how close the state is to meeting that goal.
But in moves disappointing for environmental groups, Carcieri supported efforts in Congress that would strip the U.S. Environmental Protection Agency of its ability to limit greenhouse gas emissions. And while Rhode Island joined the Regional Greenhouse Gas Initiative, Carcieri was one of the last governors to sign on.
Conservation Law Foundation Rhode Island chapter Director Tricia Jedele said the emphasis on the offshore wind farm threatened to divert attention from other initiatives, such as installations of small renewable energy systems on homes and businesses.
Jedele attributed the wind farm’s march toward approval to an appetite by officials to be seen as promoting economic growth and responding to climate change.
“The stage has been set by a collision of all those issues, and I don’t know I would credit this governor or any one individual with single-handedly setting that stage,” Jedele said.
In the end, Moakley says a wind farm will be approved because “this is the wave of the future.
“It’s not a question of if [in Rhode Island], it’s a question of when,” she said. •

3 COMMENTS

  1. Offshore wind energy is presently unreliable and cost prohibitive. This legacy is fuel poverty.
    Kudos to the P.U.C. and RI Attorney General Lynch for challenging DeepWater Wind cost, if all goes well…triple current. This is not an instance in which it paye from citizens’ perspectives to be the first to deplloy offshore wind energy in the U.S.

    Dow Jones & Company, Inc. – Jul 14, 2010

    “…BP is reviewing options to build two wind-power projects totaling 400 megawatts, either by expanding existing wind farms or by going to new locations, possibly in California, Colorado, Indiana or Wyoming.

    “We are not going offshore,” Graham said when asked whether the company was interested in developing wind power along the East Coast. “We have not seen anything that would attract us to go offshore. Too risky.” Such risks include the cost of building solid undersea foundations for turbines, unpredictable weather and other issues.”

    The Independent
    Fresh blow for wind farms as possible flaw is scrutinised
    Industry investigates design error as offshore turbines hit by ‘conditions’
    By Sarah Arnott

    Monday, 12 April 2010

    Hundreds of offshore wind farms are being checked for a construction fault after a flaw was discovered in one of the Europe-wide industry standards.

    The problem that has emerged is over the turbines’ “monopile” foundations.

    “Everybody in the industry has this problem so all of us are interested in solving it,” a spokesman for Dong Energy said. “This shows this is a young industry and there are experiences to learn from.”

    http://www.allvoices.com/s/event-5587102/aHR0cDovL3d3dy5pbmRlcGVuZGVudC
    5jby51ay9pbmNvbWluZy9mcmVzaC1ibG93LWZvci13aW5kLWZhcm1zLWFzLXBvc
    3NpYmxlLWZsYXctaXMtc2NydXRpbmlzZWQtMTk0MjI3Ni5odG1s

    I don’t find benefits delivered historically by these vendors in negotiation, directly or indirectly.

    ‘Who are these guys, Cape Wind, EMI, UPC, First Wind, DeepWater Wind, IVPC?”

    http://bjdurk.newsvine.com/_news/2010/02/23/3941508-who-are-these-guys-cape-wind-emi-upc-first-wind-ivpc

    Wind energy industry specious claim “Green Jobs” (studies and reports):

    http://bjdurk.newsvine.com/_news/2010/02/26/3954003-green-jobs-santa-claus-and-unicorn-land-

  2. “Legacy?” “Legacy?” Surely you jest?

    Don Carcieri may well be the most incompetent, insipid, least-talented individual to hold the governor’s office in the modern era.

    He has a ridiculously naive view of economic development. In part, he cannot be blamed for having grown up in the 1950’s and early 60’s, having been enmeshed in that era’s pre-technological business climate.

    But he is at fault for his failure to understand the evolution of economic development in the decades that followed, and his lack of sophistication in understanding that taxes alone do not dictate the private sector’s economic policies.

    He is strongly rooted in the mantra that “all taxes are evil,” but his blindness to the nuances of tax policy are part and parcel as to why RI’s executive branch has been so enfeebled these past eight years — and, before that, under a similarly unsophisticated Lincoln Almond — in creating a vision of fiscal and economic growth.

    Tax policies can either help or retard business investment. But tax concessions and giveaways of taxpayer dollars should never be undertaken without a strict vetting — is the company seeking the money capable of evolving in a competitive economy; will it create jobs: how many and at what salary; will it stoke further ancillary economic development spin-offs; will it result in additional tax revenues being reaped by the state and the cities andn towns in which these businesses decide to site their facility; is there a codicil that, in return for RI taxpayer funding, the company shall not just manufacture its product in RI, but that it shall purchase its items necessary to manufacture those products from RI businesses.

    I think back to the Bank of America debacle in East Providence, where Gov. Carcieri championed the state buying a building for $12 million, giving it to BoA, and awarding some tax concessions to the mega-bank in return for BoA situating a call-center at the building. RI taxpayers underwrote the entire project. It was a typical Carcieri giveaway. Over 50% of the employees at the call center ended up being MA residents who were simply transferred from other sites to that facility, and many of the RI employees there were also already employed at other BoA facilities.

    It was a disgrace — and RI taxpayers paid for it.

  3. Barbara, none of what you posted proves your claim of offshore wind enery as being unreliable or expensive. Not one thing. It’s all opinion pieces with no established facts to back them up. How’s that deep water oil drillng thing going for ya? No lessons learned there from a long established polluting industry? None, sweetie? I guess the oil will just clean itself up. No cost there. And, of course, those people who have lost their livelihoods don’t cost nobody nothing again, right? How we doin’ keeping our enemies economies going? Seems like the good ole USA is doing more than its fair share keeping Saudi Arabia (who gave us 9/11), Venezuela (we hate Chaves, right?), Iran, Nigeria and Mexico (damn those illegals) running strong. The true cost of oil is way more expensive than wind, but you didn’t post a link for that. Why, honey? Please, educate me on that.

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