On 7/19/04 12:15 AM, "Dave Stack" <[EMAIL PROTECTED]> wrote:

> The Skyway News article states: "Crown Hydro's west bank project received a
> $5.1 million grant from Xcel's Renewable Energy Fund and, according to the
> letter, has spent $1.4 million". I am curious if anyone knows if these
> millions of dollars from this Renewable Energy Fund is money that could have
> been used for wind and solar projects? If so, then maybe that would be the
> wiser use.

I think that's certainly possible that the money awarded to Crown Hydro from
Xcel's Renewable Development Fund could have gone to wind or solar projects
and that they likely would have been more cost-effective.

According to Xcel Energy's web site, Crown Hydro was one of eight projects
that received funding in 2001.

http://www.xcelenergy.com/XLWEB/CDA/0,3080,1-1-1_11824_11838_2716-2239-5_406
_668-0,00.html

Of the remaining seven, two were wind and two were solar. The other three
were projects to produce methane from various forms of biomass wastes.

Interestingly, one of the wind projects was awarded $750,000 to install a
900 kW turbine on a school property. That's a cost to the Renewable
Development Fund of about $835 per kilowatt. Compare that to $5.1 million
for 3,200 kilowatts. That's nearly $1,600 per kilowatt. Also consider that a
total of $9.8 million was awarded for the eight projects, which will combine
to generate 12,000 kilowatts of electricity, for an average price of just
over $800 per kilowatt. Crown Hydro will use more than half of the total
funds awarded during that cycle to produce a little over a quarter of the
total electricity.

The Crown Hydro project is little more than an overpriced boondoggle. Part
of me is kind of glad to learn of this eminent domain approach because it
completely obliterates the myth that the folks behind Crown Hydro were
simply some nice guys who wanted to do something good for the community.

Personally, I think the Renewable Development Fund Advisory Board should
rescind the award to Crown Hydro and insist that the $1.4 million already
spent (on what?) be returned to the Fund.

Mark Snyder
Windom Park

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