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Cheap, Renewable Energy In The Making

Tommywonk, WGMD, and the News Journal all have stories regarding the Blue Waster Wind deal. There are positive notes.

Based on the term sheet
we can expect the following.

300 MW each hour, enough to power all the homes in Delaware.

No increase , for the next 25 years, over what we are now paying for electricity. By the way oil hit $ 80 a barrel today, pushing up coal and gas! But will it affect Delaware’s electricity rates? Not with wind power, it won’t!

Wind power guaranteed to be on line in either 6 3/4 or 7 years.

Construction costs of 1.5 billion directly infused into the local economy.

Increased aesthetics and fishing habitats to the Rehoboth/Dewey Beach area.

Transmission upgrades included in cost. No additional charges for Delaware consumers.

Finally. A business dedicated to full compliance with Federal, State, and Local environmental requirements.

But there are storm clouds of doubt and uncertainty surrounding both Delmarva’s and Connectiv’s commitment to this grand project, completion of which would elevate Delaware to be the “First State” in renewable energy.

They are focused on the lack of transparency of Delmarva’s calculations. Delmarva wishes to make up stuff, and not have to show how it came about with the figures it did. Can you imagine if Bush last night had said: ” No American has died in Iraq, and not one dollar of taxpayer money has been spent in Iraq. Therefore we will continue on plan.” That is exactly what Delmarva wants to be allowed to do……….
make stuff up……….

Furthermore, Delmarva wants to charge penalties to Blue Water Wind based solely on the stuff it makes up. Both Blue Water Wind and NRG have consulted among themselves and independently determined that penalties will not be necessary. They can perform well within the criteria. But Delmarva wants to charge them anyway should it ever arbitrarily decide it needs some extra cash………Likewise,

while Bluewater attempted to have similar dialog with Connectiv on this and other issues related to the proper coordination between the wind park and the back up facility, Connectiv declined to enter into a confidentiality agreement related to any such discussions and no dialog was possible.

As has often been my experience in business, when someone gets antsy about poking through their records, it usually means they are stealing. In government, when public officials get antsy about the opening of committees and hearings to public scrutiny, it usually means they are stealing. So why, might we ask, should Connectiv pattern the same behavior and not enter a confidentiality agreement Blue Water Wind, unless they have some dark secret they cannot afford to see the light or day? This should send up a red flag of outrage for all citizens. Is another Enron brewing at Connectiv?

Outstanding issues that may or may not block the forward momentum.

1) The first issue is the consequence of the delay caused by the impending lawsuits sponsored by Delmarva and Connectiv.

Delmarva has taken the position that it must retain its appeal rights ( and therefore it would not discontinue its appeal of the State Agencies prior order authorizing these negotiations), and that it does not control its affiliated company Connectiv and should therefore retain the right to terminate and/or collect delay damages.

In other word if Delmarva/Connectiv purposefully slows down the process, it is entitled to receive the delay penalties owed to it on behalf of the BlueWater Wind investors. As was dryly noted: “such a provision presents a serious concern to Blue Water investors..”

2) Delmarva seeks termination rights in the event of a consolidation triggered by accounting rules FASB Interpretation #46. Under these rules, if Delmarva is the primary beneficiary of Blue Water Wind, Delmarva may be required to consolidate Blue Water Wind. To prevent this, Blue Water has offered to modify the agreement so as to eliminate the consolidation, in lieu of termination rights. So far Delmarva has refused. Again, as is dryly noted, Delmarva’s termination could again cost Blue Water’s investors millions of dollars.

3) Finally Delmarva has adamantly insisted upon the right to veto any change of control (not to be unreasonably withheld) at Bluewater , for any time over the next 25 years, regardless of the level of ownership at which the change of control takes place. This of course gives Delmarva the option to block deals resulting in tens of Billions of dollars which may not have any relationship to the wind farm. (Delmarva has adamantly refused to accept the same restrictions upon itself). Obviously the Blue Water Investors are uneasy about this clause as well. Bluewater has proposed several compromise solutions, all of which have been rejected by Delmarva.

Obviously Delmarva is unhappy to find itself in the position of supplying Delaware with cheap energy. They would much rather see households paying $8oo a month for electricity, than say $80.

But with proper public pressure these deals could still go forward. It is reassuring that great strides have already been taken…………….

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Was watching NOAA website when this information popped up. In days, we will find out how Blue Water Wind made out in its negotiations with Delmarva.

But here is more fuel to add to the fire to ban our carbon sourced energy needs.

From NOAA:

The June-August 2007 summer season ended with a long-lasting heatwave that set more than 2,000 new daily high temperature records across the southern and central U.S., according to scientists at NOAA’s National Climatic Data Center in Asheville, N.C. The record heat helped make this the second warmest August and the sixth warmest summer on record for the contiguous U.S., based on preliminary data. At the end of August, drought affected almost half of the continental U.S. The global surface temperature was seventh warmest on record for the June-August period.

Courtsey of NOAA

Recently I was privileged to sit in on a financial review session for a business here in Delaware.  Here is how the conversation went.

Q:  Your “utilities” are out the roof.  What the hell are you doing?

A:  Our rates increased 60% last May when Delmarva Power was deregulated.

Q:  Bullshit.  Why didn’t the other Delaware units show the same increase.

A: Both of them receive power through municipal coops.  Those rates were settled by separate deals.  We deal with Delmarva directly, and have no buffer.

Q: That’s crap.  You are spending and not controlling energy costs.  This summer, your costs are almost 40% higher than than anyone else in the company.  We paid you to control this!

A. We have. Here is the proof.  These are the bills from other stores. Here is ours.  We use less kilowatt hours over each month than those other units.  We have stretched our efficiency to  as close to the theoretical, as is possible.  You can see our price is higher, much higher, we have no control over that. But even though we use less energy than any other unit, we have to pay what we have to pay.

Q:  Well if that’s the case then you need to find another $5,000 a month from somewhere else, to make up for pissing away good money.

A:  The only option I have left is to NOT pay Delmarva the amount they ask, in other words, short the bill  That option buys only 4 months until they shut us down. And then you will have to take the entire hit at one time.  I say “you”, because if that is the move you ask me to make, then I won’t be here.

Q:  You are damn right you won’t.

A:  Be forewarned, it will cost you three times as much to find a replacement willing to deal with this kind of  bullshit…….”

With that, the financial review was over.

This microcosm is currently taking place throughout every chain unit that pays Delmarva directly.  There are two takeaways that come out of these experiences.

Businesses:  if you are thinking of moving into Delaware……..don’t.  You can’t afford it.  Do not be misled by our state’s economic office.  Look at the rates and do the math and see how much of your margin you give up!  There are better places to invest than here in Delaware.

Others:  You need to get off your asses and get this wind farm started now.  The only way Delaware can remain competitive with any state, is to build the 600MW wind farm and use that 2.3 cent kilowatt hour to drive our energy prices down.

Even the tiniest amount of foot-dragging, will push this state over the edge.

It is so frustrating to live in these times. So many things need commented upon. They need researched. They need exposed. They need discussion.

It is in times like these that one discovers exactly what one’s priorities are.

I woke up feeling the need to comment on Delaware’s wind power. It has been awhile for me and I needed, particularly with the cancer clusters in the news today, to find outwhether any other coal fired power plants had cancer clusters popping out around them.

Then I received some economic news that set me off.   New insights of a Stock Crash that makes 1929 look puny.

I then got a call from someone who had no health care and wanted my advice on how to go about getting a cyst removed…..Another topic that needed addressed.

Later today I got fired up over watching a panel discussion describing the so called union of Canada, the US, and Mexico. Although the presentation was just on trade barriers only, during the questioning, the public conversation turned to covering a union of the three countries. The most telling of the answers was that this type of wild speculation was prevalent only because every negotiation was being done in secret. No one really knows what is going on on the larger scale because each splinter group is meeting with its counterpart without disclosing any information to the other splinter groups.

What was needed was full disclosure with one negotiation held around one table done in the open for all to see………

Sort of a metaphor for Delaware’s State legislature………

Next, while listening to WDEL I got fired up over my children’s education. Ideas popped out of the conversations and I needed to flush them out and post them.

But by the time I got back to post, it was time to check on the court case in San Francisco. Like a kid opening a present, I frantically searched for any comment from that telling exchange. I finally found one just minutes after it was posted.

So as I look back and reflect upon my day, I see I value the environment, cheap energy, open disclosure, improvements in education, and a fierce protection of our privacy. But at the core of my being, I will drop all these to protect the Constitution. The Constitution is really worth giving up ones life over.

And right now, after last weeks vote on the Protect America Act, our Constitution is in danger. Great danger. Of course each of our elected officials can decide NOT to be Julius Caesar and NOT take the reins of a dictatorship that have been handed to them, but they would be bucking the trend of human history, if they did so………

I am struggling to understand how and why any Democrat would or could have voted to allow this travesty to happen. The more I find about the turn surveillance has taken since 9/11, the more apparent it seems that everything was staged to allow the reins of power to be handed to a choice few. For once done, no one can take them away. I am struggling to figure how rational, thinking human beings, could be so unaware of the potental of wrong doing and yet so trusting of those who have proven they cannot be trusted.

After all that is why History is there. In 2002 when protesters were chanting “No Blood For Oil” I smiled and thought that made a nice chant, but that slogan was so far fetched that it never could have seriously been possible. My research into whatever files I could find leading up to the invasion of Iraq, have proved otherwise. Apparently, we did invade Iraq for oil……..

So even though the idea of a “shadow” government that could quietly become the acting government also seems like a nice chant, but is still a bit too far-fetched and could never be possible,……. I have, no choice, but to act like it is, based on the past actions of this administration.

Yes, of course I hope I’m wrong……I hope it with all my heart. But had a greater number of Americans seen the light in 02, and frozen this nation in its tracks, we would not be where we are today, looking over casualty lists……

This stuff is not out in the open. The main stream media neither can or will investigate deeply enough. Even then, the stories are getting buried when and if they are reported.

I can only hope that more citizens become concerned that their right to privacy has gone with their ability to challenge this administration.

With spy satellites now focusing cameras on our backyards with a resolution of 4.54 inches, we need to be very careful about who is looking. Men, it would be a smart idea to keep your clothes on. Women, watch out for those cleavage shots………

Ladies and Gentlemen: the Constitution is in grave danger. You need to hold your Congress accountable: they have made a decision worse than the Dred Scott Decision. Don’t just phone or email……That becomes a statistic. Show up at one of his meetings in Georgetown, Dover, Wilmington, or Newark……Ask him in front of everyone why he decided to sell your freedoms down the river……….Only public scrutiny and/or embarrassment can and will make the difference. For if our public officials  defray from defending the Constitution, then it is up to us to ensure that this document, and the freedoms that come with it, are still around for our grandkids and great-grandkids…………..

Even if just to stall for time, bite up several of the six months, distract the administration from carrying out their mysterious plans,  impeachment procedures need to begin.  Had such fortitude been present in Rome, as Caesar crossed the Rubicon, history could have turned out much differently………….

I

Delaware Wind can possibly Save our Troops
Should the unthinkable happen, and we find ourselves in another war, whether or not its commencement comes from a WWII or WWI scenario, we will still need energy to win it. And lots of it.

Most of our military data is satellite based with the servers here in the US at an undisclosed locations. Should our troops be fighting in a major engagement, those servers must stay running and on line. Imagine, being on the battlefield, facing incoming RPG’s and your information and communication systems do down and all screens go black………….fact was Aunt Mary Elizabeth, visiting relatives during the fair in Harrington, had just plugged her curling iron into the grid, and down the whole thing went……..

This is just one more reason why we need to get new energy sources on line, and wind is source with he fastest startup time.

We have covered the environmentally and cost effective benefits that wind provides. But now, with impending doom about to descend upon us, we need to create an energy source immediately.

Wind can start producing some electricity which can be added to the grid, the second the first offshore tower is completed. A coal gasification plant would have to wait until the entire structure was completed and inspected before beginning to create output.,…

Therefore even our National Security requires Delmarva power to stop dragging their feet and sign the contracts that get wind power started………Otherwise, there may not be an America to enjoy the clean cost of wind.

A deadline should be set soon: if Delmarva cannot come to an agreement within that time, the state through its PSC needs to step in and dictate the terms………

It could determine whether our troops live or die……..

The recalcitrance of Delmarva Power brings up an interesting conclusion. We need a counterbalancing force to maintain balance when one entity leans too far in the wrong direction.

What is a State Power Authority? (No, it’s not a Sen. Adams) New York state has had an active and successful power authority for many years. Proposals are being actively debated in state legislatures in Connecticut, Indiana, Illinois, and Rhode Island.

New York State provides a great example. That state’s Power Authority, was created to build the massive Niagara Falls (Mike, got pictures?) Power station which, would provide cheap, efficient, hydroelectric power for the entire western half of the state.

Like Delaware, it was the initial investment in the infrastructure that provide the major portion of the cost. Like wind, water going over the falls, is free. The state took over its portion of the risk for the right to control prices for its constituents.

With cheap power, came great jobs, as anyone who has driven across Western New York can attest, just from reading the logos of major company headquarters along the route. From Albany to Buffalo, all along the old Erie Canal route, good jobs are available because many companies decided to take advantage of reliable, cheap power.

Other famous power authorities include the Tennessee Valley Authority, and the Bonneville Power Authority. Again many jobs followed cheap power into these previously economic barren areas….

Delaware could benefit from its own Power Authority. Here is how it could work.

A. Delaware’s General Assembly responds to the fact that Delmarva will not comply, and establishes the Delaware Power Authority.

B. The Delaware Power Authority, or DPA, could issue bonds backed by the “full faith and credit of the state.” Currently it would have little difficulty raising the funds necessary to assist in the building of a 600 MW wind-farm off the coast of Sussex County.

C. The State Power Authority could then sell directly to customers, along the lines of the municipal power authorities today, or it could sell at cost to Delmarva Power (or a corporate rival for those who like “market economics”), thereby driving DOWN the price of electrical energy for the benefit of all who choose to reside within this state’s boundaries. The lowest bid would be chosen.

D. The DPA (Delaware Power Authority) could step in and fill reliability needs that could not met by reasonable proposals being dictated by marketing conditions. The New York Power Authority in 2001 built 10 power generators around New York City, which are credited with staving off a major blackout in 2001. The NYPA was able to act quickly because of its emergency siting powers, far faster than a corporate entity could.

E. Using its state authority status, the DPA could empower the state Attorney General to arrest and charge any future Stockbridge-ian type of delay caused by petty intransigence.

Conclusion: A state base power authority can offer its citizens, a cost-based alternative to a single service utility which absence of strong regulation, has strong internal incentives to raise its prices.

Real life American examples:

The federal Tennessee Valley Authority was founded to fund the initial creation and testing of nuclear power

The federal Bonneville Power Administration was founded to fund the series of giant dams up and down the Columbia River.

The state run New York Power Authority was founded to fund the development of the massive Niagra Falls power station.

The Delaware Power Authority should soon be founded to fund the building of America’s first offshore wind farm just east off our southern coast.

Doing so would provide us all with cheap power and a solid economic future.

The Delaware Power Authority: It is a great idea that just needs to happen.


I would like you to try this experiment

Some of you have kids; the rest have nieces and nephews. Try this out.

Click on this website, make sure the mute is off, turn up the volume, and watch what happens.

I have tried it out on kids under 5, and the results were consistent. With out coloring the test results, I would like to know if your experiments left the same results.

I think it says a lot about our human nature…………………….

Tremendous Economic Advantages to Using Wind

Delaware’s PSC trimmed high hopes for a 600 MW wind farm off Delaware’s coast, by recommending a 200-300 MW one instead. This was to be backed up by a gas turbine which would fire whenever wind stopped blowing…..

Though disappointed, I understand their point. One, afraid of rushing into a new area of development, they are putting their toes in the water first, before jumping in. Two, dealing with a recalcitrant power utility, they are trying to minimize the taste of the medicine, by using half the dose. And adding a ton of sugar. (Hey Honey, come out in the garage and check out my new gas turbine….)

We understand,………. but we have to realize what we are dealing with. That is, simply put, the economic future of Delaware.

So what is at stake. Every new wind turbine creates a new job. 600 turbines, as opposed to 200 turbines means 400 less jobs or at 100,000 apiece, 40,000,000 pumped into our states economy. At a low 4% tax rate, this is 1.6 million that could be in our treasury but isn’t.

The jobs would land on both ends of the state. Assembly of the turbines at dockside in Wilmington, benefiting the hard strung Port of Wilmington, and off Lewes where boats would ship out to fix the foundations. Now is not the time to laugh off 40,000,000 dollars pumped into our states economy.
Assemblage of wind turbines is a BIG job

We recently had a bill in the General Assembly that offered a tax rebate to any company bringing in a hundred jobs over 100,000. And we are passing up 400 of those jobs to please Delmarva?

There is fear and trepidation among General Assembly members about crossing Delmarva Power. Their money is nice during election time. But it is countered with the fear and loathing individual voters have for their personification of evil in this small state of ours: the electric utility company………and those voters are needed to stay elected.

Therefore pressure can be maintained by all citizens who wish to pay less, not more for their electricity. They can call on each individual legislator over the break. If every member of General Assembly heard from just 5 constituents, who voiced their anger at 600 MW not moving forward at full power, the next General Assembly would be held in a changed environment. The new owners (the voters) would be in charge………(it’s an election year, you know.)

As has been mentioned before, 600 MW of wind power will drop costs of providing power from 5.6 cents per kilowatt hour, down to 2.3 cents. As everyone else knows, coal with carbon attachments, may soon cost over 15 cents per kilowatt hour. Any company worth its corporate stock would want to manufacture in a state where energy costs were cheapest. One has only to look to the Buffalo-Albany corridor to see what cheap electricity from the Niagra River Power Plant did for jobs in that state………

Delaware has the chance to do so. Waiting until other states have built their wind-farms, and stolen the manufacturers who would have come to us, is an option Delaware can ill afford.
wind farm capacity by state

Building a full capacity wind farm would give our state’s economy a huge boost. It would fill the coffers of the State treasury without costing any lost revenues, as other such incentives have been known to do.

To sum up, Big Wind will bring cheap power to Delawareans currently paying more than Pennsylvanians and Marylanders for their electricity. It will bring high paying jobs specifically to Delaware to build the turbines and foundations. It will bring employers who are pulling out their hair to meet margins on current high utility costs. Imagine Chrysler saying ‘No” to 2.3 cents per kilowatt hour? And move somewhere else and pay up to 25 cents later? They would have to be nuts……………..

We cannot go half assed. We need to go forward.

Every time I stuck my toes in the water, it was always too cold. I never went in. But every time I said “what the hell” and dived right in,…. after 45 seconds, the water was fine……………………………

This Made the Tea Unfit for Drinking, even for Americans

In 1775 a shipment of tea sailed into Boston Harbor. Due to an imposed tax levied by King George of England, it was considered by the natives to cost far more than it was worth. After a long stalemate, a band of English speaking Indians suddenly materialized on the dock, (no doubt drunk, being from Massachusetts) and proceeded to gather the chests of tea and throw them all overboard. This, unfortunately made the tea rather unfit for drinking, even for Americans………………..

Perhaps those at Delmarva Power think they are the new king here in Delaware?

Thanks to Tommywonk for reviving this story. Today’s News Journal informs us that Delmarva Power has now joined its sister company Connectiv and has filed suit to postpone its negotiations with Bluewater Wind.

This affects every Delawarean, far more than did the rate increase last May. This tactic of delay on behalf of Delmarva, may raise our utility rates up another 100% above and beyond the 60% increase we took last year. This perfunctory delay is an attempt to stall the Bluewater Wind farm as long as possible, buying time so that Delmarva can capitalize on anticipated high market rates expected to slam us over the next 5 years. Coal costs are expected to triple, and natural gas costs are estimated to expand 100% by most insider trade magazines. But if negotiations with Bluewater Wind accelerate as planned, then Delmarva will be stuck selling energy to Delawareans entering it’s grid a little more than 2 cents per kilowatt cost, instead those amounts way over 25 cents per kilowatt that their competitors can expect to receive by generating with expensive coal and gas.

The downside for us is that we, the Delaware consumers, will be paying our 7 cents surcharge to Delmarva on the back of market costs of 25 cents, as opposed to wind’s potential rate of 2 cents. Bottom line, the longer Delmarva delays, the longer we are forced to pay at least 18 cents per kilowatt hour, an amount we should rightfully have no reason to pay, except for the delaying action caused by the two said parties. This delay tactic could cost most homes up to an additional 100 dollars per month. These are the stakes.

Delmarva and Connectiv are filing suit on the weak basis that no state regulatory commission has the right to tell them what to do. If one uses and twists their same argument, then it stands to reason that the citizens of the Delmarva peninsula, who are in true Soprano fashion being exhorted to pay far more than they normally should under natural market circumstances, should also file suit in Superior Court against Delmarva and Connectiv and in an open class action lawsuit, file for future estimated damages.

As with any form of litigation, the monies in question should be held in escrow. It is my recommendation that in payment of all future utility bills after July 1, 2007 that 50% be paid to Delmarva and the remaining 50% be held in trust by one of Delaware’s banks, which should be determined by the courts or General Assembly. In all fairness to the bank, considering the large amount of cash flowing in due to this decision, they should be allowed to collect 1% and with successful settling of the case, turn over the remaining 99% of the funds to Delmarva Power.

Delmarva will clamor that this is not fair. But let us look at the question of fair to whom. The wisdom of following this course of action may prove to ultimately benefit Delmarva as well as all Delawareans.

Should 50% of their future monthly income remain frozen as they await their case in Superior court, Delmarva will be forced to negotiate quickly. Pending a successful negotiation with Bluewater Wind, Delmarva’s customers will no longer have to worry about paying more monies solely due Delmarva’s delaying action. The monies could be freed up and released to Delmarva. But if the company takes the other tack, and insists on dragging its feet and postponing the negotiations with Bluewater Wind, then the escrowed amount might be used to augment those individual citizens having difficulty paying their electric bills when they began peaking over $300 per month per household.

This provides very solid ground for a citizen’s group to sue Delmarva.

1) Tactics of delay will cost future Delawareans tremendous amounts of money. This willful act on the part of Delmarva, is an attempt to collect money that is not theirs to grab.

2) As a corporation within this state, Delmarva is bound to those laws, enacted by the General Assembly, and enforced by those regulatory commissions enacted as overseer. Delmarva, by refusing to negotiate in good faith with Bluewater Wind as is required by 7199, has willfully acted in defiance of the General Assembly’s EURCSA and HB6 2006.

3) Due to the gross amounts of money at stake, this matter should be moved forward on the docket, to be expedited as quickly as can be done. On behalf of all of Delaware’s citizens, until this decision has been put to test, a substantial portion (50%) of money currently owed Delmarva should be withheld and placed by each citizen if they choose, into an escrow monitored by the court where it will be held until the completed court processes can determine to whom the money should belong: to Delmarva company for successfully completing its good faith negotiations, or to be returned to the people for their future damages that result from their being victims of this tactic of delay.

This filing can be done tomorrow.

Should this challenge fail, then Delawarean’s could simply choose to drag out and not pay their bills until a good faith deal was done. This is actually more American of an idea than you might think. If organized, and sponsored wholeheartedly by 94 % of those Delawareans who want the wind deal to go through, enforcement of payment could and would not take place.

Having crowned itself king, Delmarva has turned a deaf ear to public politics. Let’s see if they notice us when they stop getting money…………………..

Wind, Cheap and Clean
The other day I was thinking about Blue Water Wind, and wondering just how the negotiations were going, and I begin to become curious on what other states were currently paying for their electricity.

I wondered if there was any information that could be gleaned from comparing all the states together on a chart showing each state’s electric rates.

Thanks to the state of Kansas, I was able to access this link from the Official Energy Statistics from the US government, and there before all our eyes to see, are the rates broken down by state. Most states had the wisdom to hide this site from the public, but fortunately for us, Kansas wanted to brag a little. And well they should.

In todays world, were I to build a plant requiring the use of massive amounts of electricity, I would build in either Kansas, North Dakota, or other west north central states. Were I to choose to live in a state based on its low cost of electricity, I would choose the same.

Most curious readers have already looked at Delaware to see where it stands. They noticed, no doubt, that a huge jump occurred this past year, one no other state suffered.

Delaware jumped from 8.7 cents per kilowatt hour in 2006, to a current 11.96 cents per kilowatt hour this past February. We are all aware of the deregulation spike in electrical costs.

In real terms, what does this mean to us? First off, it means that electricity costs half as much in North Dakota, as it does in Delaware. So if I moved my imaginary industrial plant and all the jobs that went with it to North Dakota, I would pocket the difference between what I was paying here for energy and what I would pay there for electricity.

Looking at this chart causes one to shake his head: why would anyone in their right mind, want to invest in our state and bring jobs to Delaware?

There are several more interesting tidbits gleaned from this chart. Residents of this state pay 3.34 cents more per kilowatt hour than does a Delawarean industrial site. Surely Delmarva does not sell below cost to these large buyers. Basically there is then 3.34 cents per kilowatt hour that can be reduced by regulation if the PSC and the Delaware legislature so decree.

It is legal. Price limits can be set by this state. The federal government has done so several times during a national emergency. A small state like Delaware could easily turn on a dime and mandate forced regulation, if just a small, adequate amount of voter pressure was applied to just a handful of participants. Vote a few out, vote a few in.

But we may not have to come to this. To understand why, let us look at why those states in the north central plains can produce electricity at bargain rates compared to the other areas of the country.

Wind.

In 1991 a study revealed that three states, North Dakota, Kansas, and Texas, could with wind turbines supply most of our national energy needs. Now, with new advances in turbines that produce even more electricity with less wind, those same three states could supply all the energy needs for the entire United States!

These new large wind turbines produce energy at a cost of 3 cents per kilowatt hour. The newest turbines are touted to bring that cost down to 2 cents per kilowatt hour, making it the cheapest form of energy available on the planet.

This calls into question two things. One, why is Delmarva currently charging us more through deregulation, than either our neighbors pay in Pennsylvania or Maryland, (which brings up the unspoken question of where is Delmarva pocketing the difference)? And two, why are we acquiescing to only build a 250 MW facility off Delaware’s coast instead of a 600 MW one? Obviously the more electricity we have at 2 cents per kilowatt hour, the lower the cost will be for all. Not just for Delawareans, but for our neighbors in the Northeast as well. If we do not do it first, then someone else will.

It stands to reason that Delaware should go forward with the largest Wind Farm possible. Anyone arguing otherwise, on WDEL or elsewhere, must either be insulated from reality, or have someone else paying their electric bills.