40% of Texas-New Mexico electricity supply could be wind powered by 2021

By Jonathan Dyble
Electricity supplier Xcel Energy has announced plans to increase the wind power supply at its Texas-New Mexico Service area, an undertaking that coul...

Electricity supplier Xcel Energy has announced plans to increase the wind power supply at its Texas-New Mexico Service area, an undertaking that could result in 40% of the region’s electricity supply being powered by the renewable energy source.

The company already supplies 20% of the regions annual energy using wind farms, however, the proposed additional contracts would double this, providing over 1000MW of wind energy.

Xcel’s plans have been announced at a time when many companies are investing into renewable energy, with capital costs falling and incentives such as tax benefits becoming ever-present.

See also:

“The new wind projects we are proposing will generate electricity as cheaply as our coal-fueled power plants without using precious groundwater or producing air emissions,” said David Hudson, President of Xcel Energy for the Texas-New Mexico region. 

“Because of these and other factors, we will save $2.8 billion on energy production costs over 30 years, and those savings will flow directly back to our customers through lower fuel costs.”

Further, the ability to add more wind power is much more feasible due to the significant investments that the company has made into the region’s high voltage transmission network.

“We have to invest wisely in our energy future, which means we may have to bear higher upfront costs to achieve long-term savings,” Hudson continues.

“Our wind energy expansion will pay for itself and return nearly 40 percent in savings over time, and that’s not something we’d want to pass up.”

If the regional utility regulators approve the projects, construction will begin on the 478MW Hale Wind Project and the 522MW Sagamore Wind Project, with expected completion dates of 2019 and 2020.

Share

Featured Articles

UK Government awards £54mn in heat network funding

Funding will support the development of schemes in London, Bedfordshire and Woking that use low-carbon heat sources

Shell posts $11.5bn second quarter profit

Shell's earnings fuelled by ongoing price rises and geopolitical instability as the energy major places greater focus on natural gas investments

bp opens first electric truck fast-charging facilities

Operated by bp’s Aral brand, the retail site at Schwegenheim in Rheinland-Pfalz has two 300kw chargers intended for electric trucks

Shell commits to developing Jackdaw gas field in North Sea

Oil & Gas

Prospex Energy raises £1.87m for Selva gas field development

Oil & Gas

Shanghai Electric Group launches low carbon business

Utilities