Corporations Take the Lead in US Wind Power

by Woodson Powell

According to the American Wind Energy Association’s (AWEA) Q4 2015 market report, about 75% of the megawatts contracted through power purchase agreements (PPAs) during the fourth quarter were non-utility buyers (companies, city governments, universities) [http://blog.rmi.org/blog_2016_02_22_us_wind_power_demand_corporations_take_the_lead]. That spike in corporate contracts is not simply reflective of a shift in contracting, but also of the growth in the wind power industry. The AWEA’s report notes that the United States wind industry installed 8,598 megawatts in 2015, 77% more than 2014 [http://awea.files.cms-plus.com/FileDownloads/pdfs/4Q2015%20AWEA%20Market%20Report%20Public%20Version.pdf]. Historically, utility-scale wind power was mostly purchased in the form of large wind farms, because it was an efficient way for states to meet their renewable portfolio standards. Nowadays, corporate purchasers are entering the market, because wind power has good value, not just because of government mandates. Continue reading