More than 12,000 megawatts of U.S. wind farms were under construction at the end of 2013, the most ever, as developers raced to qualify for an expiring federal tax credit, according to the American Wind Energy Association.
The U.S. wind turbine market is likely to be stable this year and next even though the main government incentive to the industry has expired, Vestas Wind Systems A/S Chief Executive Officer Anders Runevad said.
The decision by Warren Buffett’s utility company to order about $1 billion of wind turbines for projects in Iowa shows how a drop in equipment costs is making renewable energy more competitive with power from fossil fuels.
A stripped-down wind-energy proposal backed by Maryland’s governor and gaining support in its legislature may be the first step in creating a network of offshore turbines and sub-sea cables spanning the U.S. Atlantic coast.
U.S. utilities agreed to buy 7.6 gigawatts of wind capacity this year through September, as construction in 2013 slowed to a trickle after a federal tax credit expired at the end of 2012, the American Wind Energy Association said.
Cape Wind Associates LLC, the developer seeking to build the first U.S. offshore wind farm, expects to resolve by year-end the last lawsuits delaying the project, clearing the way for construction to begin before a key tax credit expires this year.