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Lawmakers: it's time for LIPA to pull plug on windfarm
"I remain unconvinced that the myriad costs associated with this proposed windfarm are justified by the project's purported benefits of reducing our dependence on fossil fuels and improving air quality," said Johnson. "For the sake of Long Island ratepayers, LIPA must face the grim reality about this windmill project and move on to finding real alternative solutions that achieve reliable results we can afford." When the plan was initially proposed by LIPA, in conjunction with Florida Power and Light (FPL), it was estimated to cost betweein $150 and $200 million. In 2004, FPL won the right to build the project with a bid of $356 million. The latest estimates provided by FPL show the project ballooning to and estimated at $697million.
"I certainly respect and value the opinions of Senators Johnson and Fuschillo on the proposed Offshore Wind Project," said LIPA CEO/President Richard M. Kessel. To help address their concerns, LIPA is in the process of having a detailed study completed that evaluates FPL Energy's estimated project costs with costs associated with other wind projects in the United States and Europe. When completed that evaluation will be released to help guide any public discussions and future decisions regarding the Offshore project, said Kessel.
"It would be a pity," said Arlene Leben of Westchester. "I hope they can put it in some other places." "I would hate to see it (the Jones Beach view) spoiled for other generations," said Jeff Leben, who added that he and his wife have been "regulars" at Jones Beach over the past 40 years. Others were not as concerned. "I think people will get used to it," said Marlene Nuwesra of Bayside, Queens. "But I would much rather see a ship on the horizon." The windfarm is projected to provide approximately 35 megawatts of energy, enough to power to 44,000 Long Island homes, but only under 100 percent ideal conditions. In Europe, which has a number of existing windfarms, turbines are operating on an average of less than 20 percent of their rated capacity, and electricity rates are still high. Denmark, for example, has the highest percentage of wind-produced electricity in the world, yet also has electricity prices that are nearly 100 percent higher than elsewhere in Europe, said the lawmakers. Marty Cantor, CPA, director of LI Economic and Social Policy Institute at Dowling College, completed a financial study of the plan, determining, that it was too costly. His report found that the 19 percent return sought by FPL over 20 years would result in a $52.54 cost per kilowatt hour for ratepayers, more than ten times what they pay now. And, LIPA's lower projections, which take into account projected cost of fossil fuels over the next two decades, are simply unreliable, he said. "No economist would make a cost projection based on the price of these types of energy more than two years ahead because of the volatile markets and what is happening in the Middle East," he said. Johnson has made public statements over the past year, raising concerns about, and opposing the project. But this is the first time that Fuschillo has come out in opposition to it. "This is about economics," said Fuschillo. "I have had many discussions about the issue and reviewed all of the information and it has become very apparent that asking LIPA to look for alternative sources of energy for Long Island is the way to go." The announcement was received well by civic leaders such as Phil Healey and Wally D'Amato of Massapequa who have orchestrated the effort to stop the project once they became convinced it would not be cost effective. "This was a wonderful day and we really appreciate Sens. Fuschillo and Johnson speaking out on this issue," said D'Amato. "Maybe now LIPA will turn its attention to real solutions such as landbased wind turbines and solar energy." The announcement by Fuschillo and Johnson was also recognized by Babylon Town Supervisor Steve Bellone. His administration has been vehemently opposed to the plan, citing its poor energy return on investments, and its esthetics.
"Their support is appreciated and we hope that they can help convince LIPA to move to repowering the existing power plants," he said. "This would deliver hundreds of megawatts of new energy and reduce emissions by 90 percent, compared to the 38 mega-watts of power the winfarm would produce without reducing current emissions at all."
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