) unit, Sempra U.S. Gas & Power, LLC, has acquired the 75
megawatt (MW) Broken Bow 2 wind farm, located in Custer County,
Neb. The company intends to develop the wind farm and upon
completion the Sempra unit will have more than 1,000 MW of wind
Although the company did not disclose the terms of the
transaction it has already executed an agreement with
) to buy 43 1.7-MW of wind turbines for the facility in Custer
The construction of the Broken Bow 2 wind farm is scheduled to
begin in December and will take about a year for completion. The
project is likely to employ some 300 workers during peak
construction period and will produce sufficient energy to power
30,000 Nebraska homes.
The Nebraska Public Power District has already agreed to purchase
the entire power output from the project for the next 25 years,
thereby paving the way for more utilization of renewable energy
as well as expected profits for Sempra.
Globally, utilization of renewable energy is rising primarily due
to its clean nature and a growing awareness among the masses
regarding its benefits. This has influenced utility providers,
like Sempra Energy and
Duke Energy Corp.
), to add more solar, wind and water to its energy basket.
Duke Energy recently announced that it has planned to build two
Texas wind farms - the Los Vientos III and IV - totaling a
massive 400 MW of electricity generation. The utility intends to
build, own, and operate the two projects via its Duke Energy
Renewables business. Each project will generate 200 MW of
emission-free electricity that is enough to collectively power
approximately 120,000 homes.
Austin Energy has already agreed to buy all renewable energy
credits as well as output from the two farms for the next 25
years. Wind-turbine company, Vestas will provide 200 2-MW
turbines for the project, which is slated to commence
construction in the fourth quarter of 2013. Los Vientos III
project should get operational by early 2015 and Los Vientos IV
by mid 2016.
The recent proposals from President Barack Obama to reduce
emissions from coal plants have also increased the need to
develop renewable energy. Earlier this month, another utility
DTE Energy Company
) has received the green signal from the Michigan Public Service
Commission to purchase 20 MW of wind power from a subsidiary of
Heritage Sustainable Energy, a Michigan wind energy producer.
Sempra Energy, Duke Energy, General Electric and DTE Energy, all
presently retain a Zacks Rank #3 (Hold).
DTE ENERGY CO (DTE): Free Stock Analysis
DUKE ENERGY CP (DUK): Free Stock Analysis
GENL ELECTRIC (GE): Free Stock Analysis
SPECTRA ENERGY (SE): Free Stock Analysis
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