AWEA: COVID-19 Jeopardizes Windfarm Power Projects

Researched by Industrial Info Resources (Sugar Land, Texas)--COVID-19 is putting an estimated 25 gigawatts (GW) of wind project development at risk, according to the American Wind Energy Association (AWEA).

Industrial Info is tracking nearly $20 billion worth of wind-power projects in the U.S. that are in the construction phase.

Click on the image at right for a graph showing U.S. wind-power project construction activity by market region.

AWEA said in a press release last month the projects at risk represent $35 billion in investment.

"There is a record amount of wind projects under development. Delays caused by COVID-19 will make it difficult for some U.S. wind projects to come online in time to meet financial and economic obligations, putting projects at risk of cancellation," said AWEA Vice President of Research and Analytics John Hensley.

The trade association is asking Congress to address the expected delays by providing two additional years of tax credits for projects commencing construction after December 31, 2015.

Industrial Info has identified seven U.S. windfarm projects worth $2.1 billion that have been impacted so far by COVID-19.

One of these projects is First Reserve Corporation's (Greenwich, Connecticut) now-delayed $330 million Scandia IV Windfarm Unit Addition in Bovina, Texas. Construction of the 200-megawatt (MW) project had been planned to kick off in 2021, with completion in mid-2022. For more information, see Industrial Info's project report. Also delayed is the Scandia V unit addition; see project report.

In Lindsay, Montana, Upper Badlands Wind Development LLC's (Glendive, Montana) $400 million Upper Badlands Windfarm also is seeing delays in part because of COVID-19-related issues. The 320-MW project had been planned to kick off construction in second-quarter 2021, with completion in first-quarter 2022. For more information, see Industrial Info's project report.

Other impacted projects include:

• Duke Energy Corporation's (NYSE:DUK) (Charlotte, North Carolina) 182-MW Maryneal Windfarm in Blackwell, Texas; see project report
• Iberdrola SA's (Bilbao, Spain) 158-MW Otter Creek Windfarm in Ransom, Illinois; see project report
• AES Corporation's (NYSE:AES) (Arlington, Virginia) 144.5-MW Sand Hill Windfarm in Alameda, California; see project report, and
• BP plc's (NYSE:BP) (London, England) Sherbino 149.6-MW Windfarm Repower Project in Fort Stockton, Texas; see project report

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