City of Fort CollinsWind Power Program

City of Fort CollinsWind Power Program

March 24, 2004John Phelan, PEEnergy Services

Engineer

City of Fort Collins City of 125,000 people at the foot of the Northern City of 125,000 people at the foot of the Northern

RockiesRockies Home to Colorado State UniversityHome to Colorado State University Highly educated, environmentally aware populationHighly educated, environmentally aware population Fort Collins Utilities provides electricity, water, Fort Collins Utilities provides electricity, water,

wastewater and stormwater serviceswastewater and stormwater services Fort Collins Utilities has provided wind energy options Fort Collins Utilities has provided wind energy options

to customers since 1998to customers since 1998

DistributionTransmissionEnergySupply

Fort CollinsUtilities

Platte RiverPower Authority

Customers

Fort Collins UtilitiesFort Collins Utilities

Medicine Bow Wind Site DevelopmentMedicine Bow Wind Site Development

Fort Collins Pilot Program launch - 1996

Two 600 kW turbines on-line - April 1998

Medicine Bow Wind Site DevelopmentMedicine Bow Wind Site Development

Site expansions

Six 660 kW turbines in 1999

Two 660 kW turbines in 2000

Total of 10 turbines with a capacity of 6 megawatts

Where is the voluntary wind program today?Where is the voluntary wind program today?

More than 900 residential subscribersMore than 900 residential subscribers More than 60 commercial subscribersMore than 60 commercial subscribers Customers pay 2.5Customers pay 2.5¢ per kWh premium¢ per kWh premium 40+ million kWh generated & sold to 40+ million kWh generated & sold to

datedate

2003 Electric Energy Supply Policy

Objectives: Reduce the Objectives: Reduce the environmental impact of electricity environmental impact of electricity generation through conservation, generation through conservation, energy efficiency, load management energy efficiency, load management and the increased use of renewable and the increased use of renewable energyenergy

2003 Electric Energy Supply Policy

Specific goals and targets include:Specific goals and targets include: Reduce per capita electric Reduce per capita electric consumptionconsumption

10% by 201210% by 2012 Reduce per capita peak electric Reduce per capita peak electric demanddemand

15% by 201215% by 2012 Increase Increase renewablerenewable energy fraction energy fraction

to 2% in 2004 and 15% by 2017to 2% in 2004 and 15% by 2017

2002 Customer SurveyCustomers show strong support for conservation and renewables

ELECT11-ELECT17: Please let me know whether you would support or oppose each of these,as a means to provide enough Electricity to meet future needs.

17%

82%

79%

19%

11%

15%

19% 35% 11%

1%

3%

2%

2%

2%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Building a New Coal PowerPlant

Developing RenewableEnergy Sources

Implementing ConservationPrograms

Support a lot Support a little Oppose a little Oppose a lot DK

Renewable Energy Policy Goals

Reduce environmental Reduce environmental impactsimpacts

Promote development of Promote development of renewable generationrenewable generation

Diversify sources of Diversify sources of regional generationregional generation

Optimize investment in Optimize investment in renewable energyrenewable energy

Renewable Energy Options

Near term, Near term, renewables = windrenewables = wind

Various options consideredVarious options considered Develop new wind plantDevelop new wind plant Add capacity to Medicine BowAdd capacity to Medicine Bow Buy into other wind projectsBuy into other wind projects Renewable Energy Certificates (green tags)Renewable Energy Certificates (green tags)

Regional transmission constraints, costs of Regional transmission constraints, costs of transmission and grid integrationtransmission and grid integration

New Renewable Energy Product from PRPA

PRPA has developed a new PRPA has developed a new green energy product based green energy product based on rebundling renewable on rebundling renewable energy certificates with energy certificates with traditional commodity energytraditional commodity energy

Renewable Energy Certificate

Equivalent Wind Energy Characteristics

Lower cost, avoid charges for Lower cost, avoid charges for integration and transmissionintegration and transmission

Promotes development of new wind Promotes development of new wind capacitycapacity

Flexible purchasing termsFlexible purchasing terms What is the VALUE of renewable What is the VALUE of renewable

energy?energy?

Fort Collins Wind Program Characteristics

Medicine BowPhase I Wind

PRPAEquivalent Wind

Fort CollinsRenewable Energy

Voluntary WindCustomers

Rate BasedWind Energy

Medicine BowPhase II Wind

0.5¢ premium ±

1.0¢ premium ±

0.1¢ premium

2.5¢ premium

Fort Collins Energy Future

Energy Policy Energy Policy demonstrates demonstrates environmental environmental leadership and leadership and provides direct provides direct economic and economic and environmental environmental benefits to Fort benefits to Fort Collins citizensCollins citizens

Questions?Questions?

More information:More information: 970-221-6700970-221-6700 www.fcgov.com/www.fcgov.com/

utilities/wind-power.phputilities/wind-power.php www.prpa.orgwww.prpa.org utilities@fcgov.comutilities@fcgov.com