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Jun 1, 2009

AEP Issues for 1,100 Megawatts of Renewable Energy Resources

American Electric Power (NYSE: AEP) today issued a request for proposals (RFP) seeking long-term purchases of up to 1,100 megawatts (MW) of renewable energy resources.

Proposals must include commercially proven renewable energy technologies such as wind, certified low-impact hydro, commercial-scale solar, geothermal, biologically derived methane gas and certain biomass and biofuels energy projects. The generation must be interconnected to PJM Interconnection (PJM) or Southwest Power Pool (SPP) and be operational no later than Dec. 31, 2011.

Pre-bid webinars for potential bidders will be conducted June 16 for bidders in PJM and June 18 for bidders in SPP. RFP information can be found at http://www.AEP.com/go/rfp.

The renewable RFP is part of AEP’s goal to add 2,000 MW of new wind or other renewable energy by the end of 2011 as part of the company’s strategy to reduce its greenhouse gas emissions.

“Continuing to diversify our fuel mix with additional renewable generation resources allows us to support expanded development of renewable energy resources, meet our customers’ energy needs and reduce our environmental impact,” said Michael G. Morris, AEP chairman, president and chief executive officer. AEP is advancing a less carbon-intensive energy future by increasing deployment of renewable resources where they are most viable, driving the development of extra-high voltage transmission to most efficiently deliver energy, and developing advanced clean-coal technologies, including carbon capture and storage.

“Expansion of renewable power will require significant investment in transmission infrastructure to transport renewable energy from where it can be viably produced to population centers. On a national level, we must move forward with legislation that will support construction of a national extra-high voltage transmission system. Without significant extra-high voltage transmission investment, our national renewable aspirations cannot be achieved,” Morris said.

AEP’s wind energy portfolio currently is 1,783 MW, including 310 MW of wind generation owned and operated by AEP in Texas and 1,473 MW of wind energy acquired through long-term power purchase agreements.
American Electric Power is one of the largest electric utilities in the United States, delivering electricity to more than 5 million customers in 11 states. AEP ranks among the nation’s largest generators of electricity, owning nearly 38,000 megawatts of generating capacity in the U.S. AEP also owns the nation’s largest electricity transmission system, a nearly 39,000-mile network that includes more 765-kilovolt extra-high voltage transmission lines than all other U.S. transmission systems combined. AEP’s transmission system directly or indirectly serves about 10 percent of the electricity demand in the Eastern Interconnection, the interconnected transmission system that covers 38 eastern and central U.S. states and eastern Canada, and approximately 11 percent of the electricity demand in ERCOT, the transmission system that covers much of Texas. AEP’s utility units operate as AEP Ohio, AEP Texas, Appalachian Power (in Virginia and West Virginia), AEP Appalachian Power (in Tennessee), Indiana Michigan Power, Kentucky Power, Public Service Company of Oklahoma, and Southwestern Electric Power Company (in Arkansas, Louisiana and east Texas). AEP’s headquarters are in Columbus, Ohio.

MEDIA CONTACT:
Melissa McHenry
Sr. Manager, Corporate Media Relations and Policy Communications
614/716-1120


Comments

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I think one of the biggest challenges is just getting enough renewable energy to replace a good portion of energy generated by fossil fuels. Right now I think renewable energy accounts for only about 1-2% of the total energy produced. Sources like solar and wind power are good at adding capacity to the grid during peak usage, but they’re not good base load power generators.
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      Thanks

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But I think It’s not bad to invest on renewable energy. What do you think?

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Some renewable-energy technologies are criticized for being intermittent or unsightly, yet the renewable-energy market continues to grow.

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Entrepreneurs will always find a way to turn the noblest of causes into something profitable smile But I have to say that it’s really refreshing to see the move towards renewable energy resources. As reported by Reuters, the average price of electricity in the United States was 9.44 cents per kilowatt-hour (kWh) as of April 1, 2008 compared with 9.08 cents per kWh in April 2007. The rise in figures is concerning, so it’s about time, before we have depleted all our other resources.

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