This week in Columbus the Ohio House of Representatives is holding hearings to revise Governor Strickland's comprehensive energy bill. The outcome of this process--and the eventual legislation that is passed--is likely to have a huge impact on the wind industry in Ohio and perhaps the future of your business. If you haven't done so already, now is the time for you to get involved in this debate. Here's why.
The future for the wind industry is very bright, with double-digit annual growth forecasted for years, a sold-out supply chain, and as many as ten foreign Original Equipment Manufacturers (OEMs) looking to expand assembly operations in the U.S. Ohio, with its great universities, infrastructure, natural resources, and especially its manufacturing capabilities, is well-positioned to capitalize on this red-hot market and growth opportunity.
The biggest missing element is an Advanced Energy Portfolio Standard (AEPS) that will require utilities to generate a gradually increasing portion of their electricity from renewable energy sources, starting now and building in the future. AEPS legislation has become law in 25 other states, including Iowa, Pennsylvania, and Texas--all of which have attracted new European wind turbine assembly plants. Where this has happened, industrial activity in support of these new factories has blossomed.
Ohio's Senate has passed an energy bill, Senate Bill 221, which includes an AEPS of 25% by the year 2025. That's the good news. What's missing, unfortunately, are interim milestones and an enforcement process that would mandate progress by the utilities along the way. Ohio cannot afford to wait until 2025 to see whether the utilities have complied with the AEPS targets. Benchmarks will assure that wind turbine orders to supply Ohio's energy needs are booked and deliveries occur starting immediately-in support of companies like yours that are investing in our nation's energy future.
With hearings occurring now in Columbus, now is the time to urge your representative to support an energy legislation that includes an AEPS with strong benchmarks. The message is simple: this is Ohio's moment. If we are to benefit from the broad international momentum for wind power and other advanced energies, we must begin creating our marketplace now.
Also, consider asking your employees to contact their Ohio Senator and Representative, as reports from individual citizen constituents about their economic concerns/interests often carry significant weight with legislators. If you have any questions, or if you would like additional resource information, please contact us.
Announcement: Supply Chain Forum with GE Energy
Mark your calendars for Tuesday, March 11, 2008. That's the tentative date for the Great Lakes Wind Network's next Supply Chain Forum. Joining us will be GE Energy, the nation's largest manufacturer of wind turbine generators.
In 2007 GE Energy produced over 2.3 gigawatts of new wind capacity. That's an increase of more than 100% for them over the prior year, nearly matching the total installed by the entire U.S. wind industry in 2006. Worldwide, GE expects its 2007 wind business revenue to exceed $4 billion, an eight-fold increase since 2002, the year the company entered the wind business. Since 2004, GE's wind turbine production has increased by 500%.
This Supply Chain Forum with GE Energy will provide Great Lakes Wind Network companies an opportunity to learn more about this market, to meet representatives from GE Energy, and to hear what they are looking for from suppliers.
Details including location and time will be announced soon.
PowerPoint Slides from Clipper Windpower
Because of intense industry competition, wind energy manufacturers closely guard proprietary information. It is for this reason that Clipper Windpower has declined the invitation to make available the slides from their presentation entitled "Insight for Suppliers," delivered at the Great Lake Wind Network's Supply Chain Forum in November. Company officials report that an updated presentation is now being prepared, and that copies can be made available when it has been completed.
For more information about industry growth in general, the Great Lakes Wind Network has provided Projections for the U.S. Market, a presentation based on data from the U.S. Department of Energy and BTM Consulting, a leading expert on the global wind industry.
For more information about the Great Lakes Wind Network, contact
Ed Weston, Director
216.588.1440, ext 125
An initiative launched by WIRE-Net, funded in part by grants from Kent H. Smith Charitable Trust and The Cleveland Foundation