Energy: Wind (Softcover and ebook)
The History of Wind Energy, Electricity Generation from the Wind, Types of Wind Turbines, Wind Energy Potential, Offshore Wind Technology, Wind Power on Federal Land, Small Wind Turbines, Economic and Policy Issues, Tax Policy

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Since early recorded history, people have been harnessing the energy of the wind. In the United States in the late 19th century, settlers began using windmills to pump water for farms and ranches, and later, to generate electricity for homes and industry. Industrialism led to a gradual decline in the use of windmills. The steam engine replaced European water-pumping windmills, and in the 1930s, the Rural Electrification Administration's programs brought inexpensive electric power to most rural areas in the United States. However, industrialization also sparked the development of larger windmills, wind turbines, to generate electricity.

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2010, 812 pages Softcover, $35 ISBN: 1587331888   ISBN 13: 978-1-58733-188-6 Ebook: $9.95 (free preview below) EISBN 13: 9781587332333 Available from your bookseller or online

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After experiencing strong growth in the mid-1980s, the U.S. wind industry hit a plateau during the electricity restructuring period in the 1990s and then regained momentum in 1999. Industry growth has since responded positively to policy incentives. Today, the U.S. wind industry is growing rapidly, driven by sustained production tax credits (PTCs), rising concerns about climate change, and renewable portfolio standards (RPS) or goals in roughly 50% of the states.

Although wind power currently provides only about 1% of U.S. electricity needs, it is growing more rapidly than any other energy source. In 2007, over 5,000 megawatts of new wind generating capacity were installed in the United States, second only to new natural gas-fired generating capacity.

Wind power has negligible fuel costs, but a high capital cost. The estimated average cost per unit incorporates the cost of construction of the turbine and transmission facilities, borrowed funds, return to investors (including cost of risk), estimated annual production, and other components, averaged over the projected useful life of the equipment, which may be in excess of twenty years. Energy cost estimates are highly dependent on these assumptions so published cost figures can differ substantially.

Modern wind turbines fall into two basic groups: the horizontal-axis variety (the blades circle around a horizontal axis) and the vertical-axis design (the blades circle around a vertical axis). Utility-scale turbines range in size from 100 kilowatts to as large as several megawatts. Larger turbines are grouped together into wind farms which provide bulk power to the electrical grid. Single small turbines (below 100 kilowatts) are used for homes, telecommunications dishes, or water pumping. Small turbines are sometimes used in connection with diesel generators, batteries, and photovoltaic systems. These systems are called hybrid wind systems and are typically used in remote, off-grid locations where a connection to the utility grid is not available.

A key challenge for wind energy is that electricity production depends on when winds blow rather than when consumers need power. Wind's variability can create added expenses and complexity in balancing supply and demand on the grid. Recent studies imply that these integration costs do not become significant (5%-10% of wholesale prices) until wind turbines account for 15%-30% of the capacity in a given control area.

Another concern is that new transmission infrastructure will be required to send the wind-generated power to demand centers. Building new lines can be expensive and time-consuming, and there are debates over how construction costs should be allocated among end-users and which pricing methodologies are best.

Opposition to wind power arises for environmental, aesthetic, or aviation security reasons. New public-private partnerships have been established to address more comprehensively problems with avian (bird and bat) deaths resulting from wind farms. Some stakeholders oppose the construction of wind plants for visual reasons, especially in pristine or highly-valued areas. A debate over the potential for wind turbines to interfere with aviation radar emerged in 2006, but most experts believe any possible problems are economically and technically manageable.

Wind power has become "mainstream" in many regions of the country. Wind technology has improved significantly over the past two decades, and wind energy has become increasingly competitive with other power generation options. Federal wind power policy has centered primarily on the production tax credit (PTC), a business incentive to operate wind facilities. The PTC was extended through 2013. Analysts and wind industry representatives argue that the on-again off-again nature of the PTC is inefficient and leads to higher costs for the industry. While wind energy still depends on federal tax incentives to compete, key uncertainties like climate policy, fossil fuel prices, and technology progress could dominate future cost competitiveness.
 

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Table of Contents

1.  "History of Wind Energy," U.S. Department of Energy (DOE) - Energy Efficiency and Renewable Energy, Wind and Water Power Program  . . . . . . . . . . . . . . . 1

2.  "Electricity Generation from Wind - Basics - How Wind Turbines Work," U.S. Energy Information Administration (EIA). . . . . . 3

3.  "How Wind Turbines Work," U.S. Department of Energy - Energy Efficiency and Renewable Energy, Wind and Water Power Program . . . . . . 7

4.  "Types of Wind Turbines - Basics," U.S. Energy Information Administration . . . . . . 13

5.  "Where Wind Power Is Harnessed - Basics," U.S. Energy Information Administration (EIA) . . . . . . 17

6.  "Wind Power Today - Building a New Energy Future," U.S. Department of Energy-Energy Efficiency & Renewable Energy . . . . . . . 21

- Building a New Energy Future
- Boosting U.S. Manufacturing
- Advancing Large Wind Turbine Technology
- Growing the Market For Distributed Wind
- Enhancing Wind Integration
- Increasing Wind Energy Deployment
- Ensuring Long-Term Industry Growth

7.  "Wind Power in the United States: Technology, Economic, and Policy Issues," by Stan Mark Kaplan, CRS Report for Congress RL34546, October 21, 2008 . . . . . . 45

- Introduction
- Background
- The Rise of Wind
- Benefits and Drawbacks of Wind Power
- Wind Resources and Technology
- Wind Power Fundamentals
- Physical Relationships
- Wind Resources
- Offshore Wind
- Wind Power Technology
- Types of Wind Turbines
- Capacity Factor
- Wind Research and Development Emphasis
- Wind Industry Composition and Trends
- Wind Turbine Manufacturers and Wind Plant Developers
- International Comparisons
- Wind Power Economics
- Cost and Operating Characteristics of Wind Power
- Wind Operation and System Integration Issues
- Levelized Cost Comparison
- Wind Policy Issues
- Siting and Permitting Issues
- Transmission Constraints
- Federal Renewable Transmission Initiatives
- Renewable Production Tax Credit
- PTC Eligibility: IOUs vs. IPPs
- Specific PTC Legislative Options
- Carbon Constraints and the PTC
- Alternatives to the PTC
- Renewable Portfolio Standards
- Federal RPS Debate
- Conclusions
- Figure 1. Cumulative Installed U.S. Wind Capacity
- Figure 2. Wind Power Aerodynamics
- Figure 3. U.S. Wind Resources Potential
- Figure 4. Evolution of U.S. Commercial Wind Technology
- Figure 5. Components in a Simplified Wind Turbine
- Figure 6. Installed Wind Capacity By State in 2007
- Figure 7. Existing and Planned North American Wind Plants by Size
- Figure 8. U.S. Wind Turbine Market Share by Manufacturer in 2007
- Figure 9. Global Installed Wind Capacity By Country
- Figure 10. Component Costs for Typical Wind Plants
- Table 1. Wind Energy Penetration Rates by Country
- Table 2. Assumptions for Generating Technologies
- Table 3. Economic Comparison of Wind Power with Alternatives
- Table 4. Selected Wind Power Tax Incentive Bills Compared
- Table A-1. Base Case Financial Factors
- Table A-2. Base Case Fuel and Allowance Price Forecasts
- Table A-3. Power Plant Technology Assumptions
- Appendix. Financial Analysis Methodology and Assumptions

8.  Estimates of Windy Land Area and Wind Energy Potential by State for Areas >=30% Capacity Factor at 80m, National Renewable Energy Laboratory, February 4, 2010 . . . . . . . 95

9.  "Distributed Wind Market Applications," by T. Forsyth and I. Baring-Gould, Technical Report NREL/TP-500-39851, November 2007 . . . . . .  99

- Chapter 1. Executive Summary
- Chapter 2. Small-Scale Remote Or Off-Grid Power
- Chapter 3. Residential Power
- Chapter 4. Farm, Industry, and Small Business
- Chapter 5. "Small-Scale" Community Wind Power

10.  "U.S. Energy: Overview and Key Statistics," by Carl E. Behrens and Carol Glover, CRS Report for Congress R40187, October 28, 2009 . . . . . . 205

- Introduction
- Oil
- Petroleum Consumption, Supply, and Imports
- Petroleum and Transportation
- Petroleum Prices: Historical Trends
- Petroleum Prices: The 2004-2008 Bubble
- Gasoline Taxes
- Electricity
- Other Conventional Energy Resources
- Natural Gas
- Coal
- Renewables
- Conservation and Energy Efficiency
- Vehicle Fuel Economy
- Energy Consumption and GDP
- Major Statistical Resources
- Energy Information Administration (EIA)
- Other Sources
- Figure 1. Per Capita Energy Consumption in Transportation and Residential Sectors, 1949-2008
- Figure 2. Electricity Intensity: Commercial, Residential, and Industrial Sectors, 1949-2008
- Figure 3. U.S. Energy Consumption, 1950-2005 and 2008
- Figure 4. World Crude Oil Reserves, 1973, 1991, and 2008
- Figure 5. U.S. Consumption of Imported Petroleum, 1960-2008 and Year-to-Date Average for 2009
- Figure 6. Transportation Use of Petroleum, 1950-2008
- Figure 7. Nominal and Real Cost of Crude Oil to Refiners, 1968-2008
- Figure 8. Nominal and Real Price of Gasoline, 1950-2008 and August 2009
- Figure 9. Consumer Spending on Oil as a Percentage of GDP, 1970-2006
- Figure 10. Crude Oil Futures Prices, January 2000 to September 2009
- Figure 11. Average Daily Nationwide Price of Unleaded Gasoline, January 2002-October 2009
- Figure 12. U.S. Gasoline Consumption, January 2000-September 2009
- Figure 13. Electricity Generation by Source, Selected Years, 1950-2007
- Figure 14. Changes in Generating Capacity, 1995-2007
- Figure 15. Price of Retail Residential Electricity, 1960-2007
- Figure 16. Natural Gas Prices to Electricity Generators, 1978-2007
- Figure 17. Monthly and Annual Residential Natural Gas Prices, 2000-June 2009
- Figure 18. Annual Residential Natural Gas Prices, 1973-2008
- Figure 19. U.S. Ethanol Production, 1990-2008
- Figure 20. Wind Electricity Net Generation, 1989-2008
- Figure 21. Motor Vehicle Efficiency Rates, 1973-2007
- Figure 22. Oil and Natural Gas Consumption per Dollar of GDP, 1973-2008
- Figure 23. Change in Oil and Natural Gas Consumption and Growth in GDP, 1973-2008
- Table 1. U.S. Energy Consumption, 1950-2008
- Table 2. Energy Consumption in British Thermal Units (BTU) and as a Percentage of Total, 1950-2008
- Table 3. Petroleum Consumption by Sector, 1950-2008
- Table 4. U.S. Petroleum Production, 1950-2008
- Table 5. Transportation Use of Petroleum, 1950-2008
- Table 6. Electricity Generation by Region and Fuel, 2008
- Table 7. Natural Gas Consumption by Sector, 1950-2008
- Table 8. Coal Consumption by Sector, 1950-2008

11.  Testimony of Dr. Howard Gruenspecht, Acting Administrator, Energy Information Administration, U.S. Department of Energy before the Subcommittee on Energy and Environment of the Committee on Energy and Commerce, U.S. House of Representatives, February 26, 2009 . . . . . . 243
 

12.  Testimony of Ralph Izzo, President, Chairman and CEO, Public Service Enterprise Group Incorporated before the House Committee on Energy and Commerce, Subcommittee on Energy and Environment, February 26, 2009 . . . . . 261
 

13.  "Written Testimony of Edward C. Lowe, General Manager, Market Development, Renewables, GE Energy Infrastructure before the House Committee on Energy and Commerce, Subcommittee on Energy and Environment. Hearing on "Renewable Energy: Complementary Policies for Climate Legislation," February 26, 2009 . . . . . . . 269

14.  "Wind and Water Power Program - Wind Powering America" . . . . . . . 285

15.  "Wind and Water Power Program - About the Program," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 289

16.  "Wind and Water Power Program - Related Wind Links," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 291
 

17.  "Wind and Water Power Program - Wind Energy Resource Potential," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 295

18.  "Wind and Water Power Program - Wind Power Outreach and Education," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 297
 

19.  "Wind and Water Power Program - Environmental Impacts and Siting of Wind Projects," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 299
 

20.  "Wind and Water Power Program - Wind Energy for Hydrogen Production," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 301
 

21.  "Wind and Water Power Program - Wind Energy for Hydropower Applications," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 303

22.  "Wind and Water Power Program - Distributed (Small) Wind Technology," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 305

23.  "Wind and Water Power Program - Large Wind Technology," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 309

24.  "Wind and Water Power Program - Supporting Wind Turbine Manufacturing," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 315

25.  "Wind and Water Power Program - Jobs and Economic Development Impact Models," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 317

26.  "Wind and Water Power Program - Wind Economic Development," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 321

27.  Wind and Water Power Program - Offshore Wind Technology," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 325

28.  "Wind Energy: Offshore Permitting," by Adam Vann, CRS Report for Congress R40175, September 3, 2009 . . . . . . . 329

- Jurisdiction Over the Ocean
- State Permitting
- Federal Permitting
- Early Regulation and Litigation
- The Energy Policy Act of 2005
- EPAct Exemptions
- Additional Regulation Under Existing Law
- Conclusion

29.  "Wind and Water Power Program - Renewable Systems Interconnection," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 347

30.  "Wind and Water Power Program - Advantages and Disadvantages of Wind Energy," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 351

31.  "Assessing the Potential for Renewable Energy on National Forest System Lands," U.S. Department of Energy, National Renewable Energy Laboratory . . . . . . . 355

32.  "Energy Projects on Federal Lands: Leasing and Authorization," by Adam Vann, CRS Report for Congress R40806, September 8, 2009 . . . . . . . 479

- Introduction
- Oil and Natural Gas Exploration and Production on Federal Lands
- History and Background
- Public Lands Subject to Oil and Natural Gas Leasing
- Development of Resource Management Plans
- Bureau of Land Management
- U.S. Forest Service
- The Competitive Leasing Process
- The Noncompetitive Leasing Process
- Lease Terms and Conditions
- General Statutory Restrictions
- Payment Terms: Rental Fees and Royalties
- Lease Terms, Extensions, and Cancellations
- Applications for Permits to Drill
- Bureau of Land Management
- U.S. Forest Service
- Renewable Energy Projects on Federal Lands
- Background
- Geothermal Project Leasing
- Background
- The Leasing Process
- Exploration and Production Under Geothermal Leases
- Authorizations for Wind and Solar Energy Projects
- Background
- Title V of the Federal Land Policy and Management Act

33.  U.S. Senate Committee on Energy and Natural Resources Hearing on Energy Development on Public Lands and the Outer Continental Shelf, March 17, 2009 . . . . . . . 501

34.  U.S. Senate Committee on Energy and Natural Resources Hearing to Consider Renewable Energy Production, Strategies, and Technologies with Regard to Rural Communities, Chena Hot Springs, AK, August 22, 2009 . . . . . . . 611

35.  "20% Wind Energy by 2030 - Increasing Wind Energy's Contribution to U.S. Electricity Supply, Executive Summary," December 2008 . . . . . . . 685
 

36.  "Wind Research - Department of Energy Releases New Estimates of Nation's Wind Energy Potential," National Renewable Energy Laboratory, February 26, 2010 . . . . . . . 713

37.  "Visiting NREL - National Wind Technology Center," National Renewable Energy Laboratory . . . . . . . 715
 

38.  "Wind Research - Large Wind Turbine Research," National Renewable Energy Laboratory . . . . . .. 717

39.  "Wind and Water Power Program - Frequently Asked Questions on Small Wind Systems," U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 721
 

40.  "Wind Research - Small Wind Turbine Independent Testing," National Renewable Energy Laboratory . . . . . . . 729

41.  "Wind Research -Small Wind Turbine Research," National Renewable Energy Laboratory . . . . . . . 731

42.  "Wind and Water Power Program - Wind Powering America - Small Wind for Homeowners, Ranchers, and Small Businesses" U.S. Department of Energy - Energy Efficiency and Renewable Energy . . . . . . . 733
 

43.  "Wind Research - Midsize Wind Turbine Research," National Renewable Energy Laboratory . . . . . . . 737
 

44.  "Wind Research - Accredited Testing," National Renewable Energy Laboratory . . . . . . . 739
 

45.  "Wind Research - Software Development, Modeling, and Analysis," National Renewable Energy Laboratory . . . . . . . 741
 

46.  "Wind Research - Working with Us," National Renewable Energy Laboratory . . . . . . . 745
 

47.  "Energy Tax Policy: Issues in the 111th Congress," by Donald J. Marples and Molly F. Sherlock, CRS Report for Congress R40999, March 8, 2010 . . . . . . . 747

- Introduction
- Economic Rationale for Intervention in Energy Markets
- Rationale for Intervention in Energy Markets
- Externalities
- Principal-Agent and Informational Inefficiencies
- National Security
- Potential Interventions in Energy Markets
- Taxes as a User Charge
- Current Status of U.S. Energy Tax Policy
- Fossil Fuel Production
- Renewable Energy Production
- Energy Conservation
- Alternative Technology Vehicle Credits
- Other Energy Tax Provisions
- Energy Tax Legislation in the 111th Congress
- The American Recovery and Reinvestment Act of 2009 (P.L. 111-5)
- The President's Fiscal Year 2010 and 2011 Budget Proposals
- American Energy Production and Price Reduction Act (H.R. 3505)
- Carbon Tax / Climate Change
- The Tax Extenders Act of 2009
- Enacted Legislation in the 110th Congress
- Energy Independence and Security Act of 2007 (P.L. 110-140
- Energy Tax Provisions in the Food, Conservation, and Energy Act of 2008 (P.L. 110-234)
- The Emergency Economic Stabilization Act of 2008 (P.L. 110-343)
- Table 1. Energy Tax Expenditures
- Table 2. Energy Tax Provisions Enacted Under American Recovery and Reinvestment Act of 2009
- Appendix. Energy Tax Legislation Prior to the 110th Congress

48.  "Renewable Energy and Energy Efficiency Tax Incentive Resources," by Lynn J. Cunningham and Beth A. Roberts, CRS Report for Congress R40455, March 23, 2009 . . . . . . . 777

- Full Text of Tax Incentive Legislation
- Federal Incentives
- State and Local Incentives
- Incentives by Technology Type Biomass
- Geothermal
- Solar
- Wind
- CRS Reports on Federal Incentives
- Recent Legislation
- General
- Vehicles and Fuels
- Wave, Tidal, In-Stream
- Wind Power
- Popular Incentives Tables
- Grants Information
- CRS Reports on Grants
- Table 1. U.S. Code Citations and Expiration Dates for Popular Renewable Energy an Energy Efficiency Tax Incentives/Credits
- Table 2. Alternative Motor Vehicle Credit

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