(Delmarva) Electric customers to pay 24¢ on bill for (land based) wind projects

[OKIsItJustMe]

http://www.delawareonline.com/apps/pbcs.dll/article?AID=/20080816/BUSINESS/808160307/1003

Electric customers to pay 24¢ on bill for wind projects

Delmarva submits financial report to state's Public Service Commission

By AARON NATHANS • The News Journal • August 16, 2008

A Delmarva Power consultant estimates that three land-based wind contracts will cost residential customers the equivalent of 24 cents more a month over the life of the contracts.

The estimate was part of a package of financial information Delmarva has submitted to the Public Service Commission, which will consider approval of the company's land-based wind power contracts in the coming months. The PSC review starts at its meeting Tuesday in Dover.

Utility officials are hoping to see fast approval of the projects, proposed by developers Synergics of Maryland and AES of Virginia. Synergics signed a 20-year deal with Delmarva for a maximum of 100 megawatts of wind power from a farm in western Maryland. AES signed a 15-year contract for a maximum of 70 megawatts of wind power from a project in north-central Pennsylvania.

…

"I don't know how many utilities in the region can say that they have met their state's aggressive renewable energy goals for the foreseeable decade. I'd really almost put that challenge out there. Delmarva's got a lot to be proud of," said Delmarva spokeswoman Bridget Shelton.

…

[seasat]

1. We're getting an about $9/Mo increase to cover a nuclear plant.

Progress Energy here in the Tampa Bay region has tacked a $9 per bill increase on us with approvals for further increases down the road. While I'm not anti-nuke, it seems to me that the cost of wind power is going down while the cost of nuclear power has substantially increased. Wind farms just off shore would provide us with some increases in clean power generation at a much lower cost.

[Massacure]

3. Steel and concrete are getting expensive.

Nuclear plants use a lot of steel and concrete so when steel prices increase so does the price of building a new plant. Nuclear plants costs are all up front so they are hit particularly hard by this. Coal plans also are affected by high steel and concrete prices. Wind has the advantage of not requiring all the building materials as a traditional power plant, so it is less affected by rising prices.

[catnhatnh]

2. Why are Customers expected,,,

to prepay on a utilities capital investment? The sell is "24 cents per month" with no explanation why each customer should subsidize the utility to the tune of $0.24 x 12 x 15 years = $43.20 over that period...Why on Earth should the customers pre- pay to meet "their States aggressive energy goals"...If I read this right the customer will pay to increase production and reduce utility costs while the utility reaps the benefits of expected savings on future production costs.

Apparently the answer is because they only intend to F**k you for less than 50 bucks each, and then slowly....