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As the first shallow water offshore project under review in the United States, utility-scale projects like Cape Wind are important to our national interest and a critical first step to building a domestic, globally competitive wind industry. Success in the project could also lay the foundation for a focused national investment to develop offshore wind technology in the coming years.
-- David Garman, U.S. Undersecretary of Energy |
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IN BOOST FOR CLEAN ENERGY & MASSACHUSETTS, COURT UPHOLDS CAPE WIND CONTRACT WITH NATIONAL GRID
Wednesday, December 28, 2011
BOSTON, MA, December 28, 2011 – In a major legal victory today for Cape Wind, the Massachusetts Supreme Judicial Court in two decisions unanimously upheld the long term Power Purchase Agreement (PPA) between Cape Wind and National Grid.
“This decision provides a big boost for creating up to 1,000 jobs and providing Massachusetts with cleaner air, greater energy independence and a leadership position in offshore wind power,” said Jim Gordon, President of Cape Wind.
The Massachusetts Supreme Judicial Court reviewed the Massachusetts Department of Public Utilities (DPU) decision to approve the PPA between Cape Wind and National Grid and found that:
“In sum, our review of the record indicates that there was clearly sufficient evidence of which the department could base its conclusion that the special benefits of PPA-1 exceeded those of other renewable energy resources, and we uphold the department’s conclusion that approval of the contract was in the public interest.”
The Court also noted the DPU’s finding that Cape Wind would lower regional energy costs through “price suppression,” described as “the reduction of wholesale energy market clearing prices that results from the addition of low-cost generation resources.”
The DPU carefully reviewed the Cape Wind PPA during a five month adjudicatory proceeding involving twenty two different parties. Supporters and opponents of the PPA made their case and called witnesses. In the end, the DPU concluded that:
“The evidence in this proceeding makes it clear that the Cape Wind project offers unique benefits relative to the other renewable resources available. In particular, the project’s combination of size, location, capacity factor, advanced stage of permitting, and advanced stage of development is unmatched by any other renewable resource in the region for the foreseeable future. This combination of benefits will significantly enhance the ability of National Grid to achieve renewables and greenhouse gas emissions reduction requirements.”
For more on the benefits to Massachusetts from the Cape Wind PPA with National Grid, click here.
Cape Wind is America’s first offshore wind farm to secure Federal and State approval and to be issued a lease to operate by the Federal Government. Cape Wind will create jobs and promote greater energy independence and a cleaner environment. Cape Wind will also establish Massachusetts as a leader in offshore wind power. For more information visit www.capewind.org.
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