Wind Energy

With oil prices still in triple-digit territory and many renewable resources (including wind power) still in their infancy, power generation isn’t coming cheap these days.

Those Americans willing to shell out $5,000 for a 300-pound, home-based wind turbine shouldn’t expect much return on their investment anytime soon. Because they’re so small, they don’t generate that much electricity. But if energy prices continue to rise (as seems likely), it could pay off over time, as technology advances.

The trend is catching on, too. New York mayor Michael Bloomberg has thrown his weight behind home and office-based wind power with a bold proposal to spread turbines across the city. Other cities like Boston (with 20 turbines at Logan Airport) and San Francisco have also shown their support for the efforts and San Francisco’s government is pondering whether to offer wind power incentives. In addition, Pickens has placed a $2 billion order with General Electric (NYSE: GE) for 667 of its wind turbines that can produce 1.5 megawatts of electricity - part of the $10 billion “Pickens Plan” for alternative energy and for wind power to make up 20% of U.S. energy needs. Eventually, that will rise to 1,000 megawatts - enough to power 300,000 homes. And Pickens plans to pump another $6 billion into GE’s coffers for turbines that will power the 4,000-megawatt Pampa Project.

As he recently stated: “We’re paying $700 billion a year for foreign oil. It’s breaking us as a nation, and I want to elevate that question to the presidential debate, to make it the No. 1 issue of the campaign this year.” He continues… “Neither presidential candidate is talking about solving the oil problem. So we’re going to make ‘em talk about it. Where do you think we’re going to be in 10 years when our economy is busted and we’re importing 80% of our oil?” He’s got a point. Previous presidents have boldly declared their intent to free America from the shackles of foreign oil, but it’s never happened. Pickens believes that wind power can compete favorably with electricity produced from natural gas.

Demand for renewable energy

In addition to providing alternative energy sources like wind turbines, GE is also a major player in boosting America’s wind power capabilities. The company will invest in 76 wind farms, which should pump out more than 4,000 megawatts of power.

Its GE Financial Services unit also recently announced that it will splash out $100 million on three wind farms in upstate New York. The farms are due to be completed during the fourth quarter and will take the state’s wind-producing capacity to 47% and generate enough power (330 megawatts) for 110,000 homes.

But in terms of home and office-based wind power generation, it’s a movement that is steadily gathering support - support that could grow further as technology improves and prices come down. Having a big dog like Pickens on board can only help.

Government support (e.g. tax support)

Most people can agree that wind farms are calm, pleasant, and relaxing - especially compared to say a coal plant. Aside from that, they take up less land area than most solar farms, leaving the land to be used for other purposes. Lastly, slower moving blades and towers made less attractive to roost in are reducing the potential environmental impact on foul.

Don't believe all the buzz around North New York State complaints or birds getting tangled in blades. Use your head, do your homework, and see for yourself. Windfarms are a no brainer on this front.