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Kansas Wind Energy A Municipal Utility Perspective. KANSAS CITY BOARD OF PUBLIC UTILITIES Blake Elliott – Director Electric Supply Planning September 2007. KCBPU.

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Kansas Wind Energy

A Municipal Utility Perspective

KANSAS CITY BOARD OF PUBLIC UTILITIES

Blake Elliott – Director Electric Supply Planning

September 2007


Kcbpu
KCBPU

Kansas City Board of Public Utilities, an administrative agency of the Unified Government of Wyandotte County/Kansas City, Kansas.

Our mission is to be the utility of choice and the workplace of choice, while improving the quality of life in the communities we serve.


Kcbpu statistics

Providing electric service since 1912

Service territory 127 Square Miles

System peak 529 MW

KCBPU Statistics

2006 Annual Report


Kcbpu environmental responsibility
KCBPU Environmental Responsibility

  • KCBPU is the largest municipal utility in the State of Kansas.

  • Dedicated to environmental stewardship

    • Early addition of renewable energy into our portfolio ahead of regulations requiring participation

    • Energy efficiency programs such as heat pump rebates, etc.

    • Active participation with customer groups managing our Federal Power Hydro Allocations (SPA, SPRA & WAPA)

    • Internal Environmental Services Department.


Kcbpu wind history
KCBPU Wind History

  • 2003 Electric System Master Plan recommended continually evaluating additional energy sources to meet the long term needs of the BPU.

  • 2005 Integrated Resource Plan submitted to the WAPA recommended a review of renewable energy resources including wind.

  • 2006 Electric System Master Plan Review by Black & Veatch consulting engineers recommends between 20 & 30 MW of wind.


Why participate
Why Participate ?

  • Location advantage - better wind resource


Location advantage

Smoky Hills

Class 4 mean wind speed

KCBPU

Class 2 mean wind speed

Location Advantage

21% higher average wind

speed at Smoky Hills


Why participate1
Why Participate ?

  • Location advantage - better wind resource

  • Size (> 100MW) - economies of scale

  • Financing (private) - Production Tax Credits & accelerated depreciation

  • Development time (faster)

    • site studies

    • site permits

    • landowner leases


Potential municipal utility pitfalls
Potential Municipal Utility Pitfalls

  • Desire to own the resources outside of utilities’ core competencies

  • Request-For-Proposal public bidding process

    • Wind developers consider certain information as proprietary. They may not bid if that information is open to competitor discovery. For example, indicative pricing, wind factor, turbine pricing, etc.


Repa advantages
REPA Advantages

  • Long-term contract

  • Fixed price

  • Saves ratepayers money

  • Reduces future air emission, water discharge and solid waste disposal from self generated and/or purchase power energy

  • Hedge against high market purchase prices due to high gas prices of the units on the margin


Why smoky hills
Why Smoky Hills?

  • Right Development Team

    • TradeWind Energy

  • Right Time

  • Right Price


Outstanding issues
Outstanding Issues

  • Transmission • Curtailments • Deliverability

  • Wind generation & SPP market operations

  • Wind energy profile and existing base unit turn down ratios

  • Long term equipment maintenance & reliability

  • State & Federal Regulations


Thank You

KANSAS CITY BOARD OF PUBLIC UTILITIES

Blake Elliott – Director Electric Supply Planning

[email protected] or 913.573.6837


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