Harvesting the Harvesting the WindWind

                      

May 29, 2004May 29, 2004

Presented by:Presented by:

Toronto Renewable Energy Co-operativeToronto Renewable Energy Co-operative

WindShareWindShare

OverviewOverview

Wind Industry At Home & Abroad

Large Scale Wind Projects

Individual Applications

Community Power

The Wind IndustryThe Wind Industry

At Home & AbroadAt Home & Abroad

Wind Energy Quick Facts

• Wind power is the world's fastest growing energy source with sustained growth rates in excess of 30% per year.

• Today's cost ranges between 8¢ to 12¢ per kWh.

• The technology has matured rapidly with typical reliability rates greater than 98%, making them on par with the reliability of a present-day farm tractor.

Wind Energy Quick Facts

• Currently, Canada has approx. 300 MW of installed capacity - enough to supply about 56,000 homes.

• The Canadian Wind Energy Association estimates that 20% of Canada’s energy could be supplied by wind.

• The Ontario wind industry could contribute at least 2,000-3,000 MW.

Canada lags the world in wind

Installed Capacity Worlwide (2002)

0

2000

4000

6000

8000

10000

12000

14000

Germany Spain USA Denmark India Canada

Country

Inst

alle

d C

apac

ity,

MW

And Ontario lags other provinces…

Installed Capacity in Canada (2003)

0

50

100

150

200

250

300

350

Canada Alberta Quebec Sask Ontario Atlantic

Province

Inst

alle

d C

apac

ity

MW

Total Canada: 317 MW

14.6 MW

…In Spite of Great Potential

• 2,000-6,000 MW • 5,000-16,000 GWh

• 3.5-11% of total demand

• 3,000 MW by 2010

• Ontario Gov’t RFP for 300 MW of Green Power

Types of Wind Energy Systems

Small-Scale Individual

Large Utility Scale

• Common, proven technology• Large number of blades for high torque

• Remote communities, small businesses• 10 kW – 200 kW• Typically not cost-competitive with grid-connection

• grid-connected • 660 kW – 3 MW• Competitive with traditional sources

Mechanical/ Water pumping systems

TechnologyMost common technology - horizontal axis, 3 bladeMost common technology - horizontal axis, 3 blade

Horizontal Axis vs. Vertical Axis

Large Scale ProjectsLarge Scale Projects

The Technology Has Come of Age

1970’s - 22 kW 2000’s – 1.8 MW

Grid-Connected Wind Turbines

30 m

(100 ft)

car Economies of scale heavily favour VERY large machines.

1.8 MW Ontario Power turbine can supply enough power for 600 homes every year.

Wind Farms

• Utility-sized machines are typically placed in arrays of 5-50 machines; “Wind Farms”

• Wind farms need large areas and need to be close to roads for construction and maintenance.

• Wind farms are therefore frequently built on farmers fields.

Steps in Wind Farm Development• Wind, topographic maps• Land option/lease agreements• Wind Resource Assessment• Environmental Assessment• Permits• Interconnect Study• Power Purchase Contract• Equipment Selection• Financing• Construction• Operation –20-25 years• Decommissioning

Issues in Ontario

• Market • Transmission System• Financial Incentives• Planning Policy

Individual ApplicationsIndividual Applications

Wind Power applications• Remote site (no grid)

• Back up Power – battery charging

• Water Pumping (large amounts)

• Hybrid systems – solar/diesel

Small-Scale Wind Energy

• Large Range of Options– 10 kW – 200 kW – Varying performance, reliability– Buyer Beware

• Higher Cost– May be attractive if cost savings are not primary driver,

as capital costs typically start at $40,000– Rule of Thumb: small wind power is cost effective

when you pay more than $.12-.16/kWh on your electric bill

Considerations

• Siting:– Minimum 30ft above anything within 1/4 mile– Not on a building– Neighbours? Bylaws?

• Equipment:– Right turbine for your resource and needs– Tilt up or guyed towers

• Maintenance• Some noise

Wind Solar HybridOff grid

• Complimentary technologies

• Design system to demand/load

• Cost per watt high currently

• Good alternative when:– Remote area– High cost to bring line in

Grid Tied

• Wind Turbine puts power into control system, matches power with grid

• CSA approved inverter/controls• Approval of utility• No Batteries, less costly• When grid goes down, so does your power

Net Metering• Reduces the amount paid for

electricity, but not service charges and debt charges

• Net metering permitted up to consumption level, not beyond

• Few grid tied systems in Ontario– High capital costs, regulations

• Changes required to make grid tied systems economical – policy announcement?

Community PowerCommunity Power

What is Community Wind?

• Wind turbines locally-owned: – individually, co-operatively or collectively through a number of

mechanisms

• Key is for the community to identify the turbines as their own

• Community has a sense of control and stake in their future

Why Community Wind?

Wind Power Co-operatives Comprise a significant portion of energy

generation markets in Europe and US

Are emerging in Ontario in several communities

Have potential to be significant part of Ontario’s emerging sustainable energy economy

Why do Community Wind?Why do Community Wind?

Successful model: Denmark, Germany

Denmark – 20% power from wind, 80% in 1995 owned by co-ops and individuals

Local ownership = greater acceptance

UK 90% utility owned; higher rejection rate on planning approvals

Existing WPCs - Denmark

Middelgrunden

– 20 x 2 MW offshore turbines– 8500 members in the co-op own half the turbines (JV

Copenhagen utility)– 40,500 shares sold for 570 Euros each

($805 Cnd = $32,602,500)– Co-ops sells power to utility

Existing WPCs - US

Minnesota – MinWind I & II

– Farmer initiative– Motivation: need for extra income, preserving their farms

and communities– 2 partnerships with 2 turbines each– Open membership to folks from the community who are

not farmers– Farmers raised $3.5 million in 12 days

WindShare ModelWindShare Model – – Investment Co-opInvestment Co-op Joint Venture with THESI for 2 wind turbines

Partners invest in cost of turbine Power sold to THESI Members receive annual dividends

Share Offering: $800K in shares for 1st turbine $300K raised in escrow for second turbine

Almost 600 members to date

CO2 offsets of up to 2.8 million tonnes/yr

94 metres

25 storeys

Production commenced Jan 21, 2003

Lagerwey 750 kWLagerwey 750 kW

Kick in speed of 2.8 Kick in speed of 2.8 m/s m/s (11km/h)(11km/h)

Turbine output= ~1,400,000 kWh

Equivalent Equivalent power for power for 250 homes250 homes

Other Emerging Co-opsOther Emerging Co-ops

Ontario Projects in development: TradeWinds - Kingston Picton County/Visionquest Positive Power - Hamilton LakeWind

“Co-op of co-ops” Potential sites across ON 10-20 MW wind farms

Wind Power Workshops & Tours• The Toronto Renewable Energy Co-op is

developing workshops for schools and classes which highlight the power of wind and renewables as they relate to the Ontario curriculum

• Tours of the Ex Place turbine are also available through TREC

Resources

• Workshops– OSEA (www.ontario-sea.org)– Kortright Centre (www.kortright.org)

• Internet– www.windshare.ca– www.trec.on.ca– www.canwea.ca– www.wind-works.org

• Distributors and Dealers – CanSIA, CanWEA• Books – Paul Gipe

ContactContact

David Timm

Toronto Renewable Energy Co-operative

401 Richmond Street West, Suite 401

Toronto, ON

M5V 3A8

416-977-5093

dtimm@trec.on.ca