OG&E announced Sept. 29 agreements with developers who will build two new wind farms in northwestern Oklahoma as part of a plan under which OG&E will more than triple its current wind power capacity by the end of 2010. The construction of the new wind farms is contingent upon Oklahoma Corporation Commission approval of the agreements negotiated by OG&E.
OG&E has 170 megawatts of wind capacity in production at its Centennial and Sooner wind farms currently, both near Woodward. The new 100 MW "OU Spirit" wind farm, now under construction near Woodward, is expected to be in production by year-end.
The agreements announced today result from a competitive bid process conducted by OG&E earlier this year. Maryland-based CPV Keenan submitted a proposal based on a 150 MW wind farm in Woodward County and Edison Mission Energy a 130 MW facility in Dewey County near Taloga. The agreements with CPV Keenan and Edison Mission are both 20-year power-purchase agreements, under which the developers will build, own and operate the wind generating facilities and OG&E will purchase their electric output.
"We are delighted to be helping OG&E bring more renewable power to the citizens of Oklahoma," said Sean Finnerty, CPV REC senior vice president, said. "Keenan II is an exceptional wind energy project that will provide economic benefits to Woodward County - the new center of wind power in Oklahoma -and environmental benefits to OG&E customers for many years to come."
TOTAL POWER
The two new facilities, "OU Spirit" and the company's existing wind generation would combine to give OG&E a total of 550 MW of wind-generation capacity - enough to power 125,000 homes on a typical day.
"We are pleased to take the next major step toward our goal to significantly increase our renewable generating capacity," OG&E’s Brian Alford said. "Our request for proposals attracted quality bids and our successful negotiation of these projects will deliver the best-available value to our customers, who have supported our efforts to increase our generation from renewable sources."
OG&E received more than 50 responses from a variety of developers and sites after it issued its request for proposals from wind power developers. Negotiations continue with Chermac Energy, the third bidder on OG&E's short list announced in June, for an additional 150 MW of wind energy from Texas County. The company also expects to solicit additional proposals from wind developers in the next several months with an eye toward adding more wind generation in 2011 or 2012.
OG&E serves more than 773,000 customers in a service territory spanning 30,000 square miles in Oklahoma and western Arkansas and is a subsidiary of Oklahoma City-based OGE Energy Corp. which also is the parent company of Enogex LLC, a midstream natural gas pipeline business with principal operations in Oklahoma.