June 17, 2010: The price of wind power

>> Rooney: FOR ALMOST THE DECADE

THE DEBATE OVER CAPE WIND

FOCUSSED ON WHETHER NANTUCKET

SOUND IS THE RIGHT PLACE FOR THE

NATION'S FIRST OFF-SHORE WIND

FARM BUZZ AS CAPE WIND MOVES

TOWARDS THE CONSTRUCTION PHASE

CRITICS ARE POINTING TO THE COST

OF ENERGY AND RETAIL GIANT

WAL-MART IS LEADING THE WAY.

>> Rooney: GOING GREEN IS A BIG

PART OF WAL-MART'S BUSINESS PLAN

AND TOUTS THE PARTNERSHIP WAY

TEXAS WIND FARM.

>> WE PURCHASE POWER AT A SET

RATE AND ONE OF THE WAYS WE KEEP

OUR PRICES LOW.

>> Rooney: DON'T LOOK FOR

WAL-MART TO BE LOOKING

COMMERCIALS WITH CAPE WIND

ANYTIME SOON.

IN FILINGS WITH THE STATE

WAL-MART WARNS THEY'LL OVERPAY

FOR THE ENERGY AND PASS THE COST

ON TO CONSUMERS.

NATIONAL GRID'S RON GARATOWSKI

SAYS IT'S OVERRATED.

>> WHEN WE HAVE SOMETHING THAT

CAN CAUSE RATE INCREASES THEY'RE

CONCERN AND IN SOME INSTANCES

THEY MAY NOT BE CLEARLY

UNDERSTANDING WHAT WE'RE

PROPOSING IN THE RATE MAKING

SIDE.

>> Rooney: THE SAID THE RATES

WILL BE OFFSET BY CHEAPER

SUPPLIERS AND MAKING THE IMPACT

ON CUSTOMERS NEGLIGIBLE.

>> WE CALCULATED TO $1.59 A

MONTH AND IT'S NOT AN ISSUE OF

RATES GO UP.

>> Rooney: STATE REGULATORS

COULD REJECT THE PENDING

CONTRACT WITH NATIONAL GRID BUT

GIVEN THE STATE'S PUSH FOR

RENEWABLE ENERGY IT SEEMS

UNLIKELY.

JOINING ME NOW IS THE PRESIDENT

OF CAPE WIND, JIM GORDON.

WELCOME, JIM.

>> HI, EMILY, HOW ARE YOU.

>> Rooney: FOR YOU IT'S ONE SNAG

AFTER ANOTHER.

I'M CURIOUS IF YOU EVER TRIED

USING THE ARGUMENT THAT

SOMETIMES YOU HAVE TO PAY MORE

TO GET SOMETHING NEW AND

DIFFERENT.

THIS IS NOT THE OLD WAY OF DOING

BUSINESS.

HAVE YOU TRIED THAT ARGUMENT.

>> WAL-MART SELLS COMPACT LIGHT

BULBS THAT COST MORE AND LAST

LONGER AND USE LESS ENERGY SO

ULTIMATELY THE CUSTOMER GETS THE

PAYBACK AND THE SAME IS FOR CAPE

WIND.

I THINK HOMEOWNERS AND BUSINESS

PEOPLE REALIZE THAT THEY'D

RATHER TIE THEIR FUTURE ELECTRIC

BILLS TO WIND RATHER THAN BEING

ON THIS ROLLER COSTER OF FOSSIL

FUEL COSTS AND IMPACTS.

WE KNOW THAT FOSSIL FUEL IMPACTS

ARE NOT ONLY WHAT YOU SEE ON

YOUR ELECTRIC BILL BUT THE COST

OF ENVIRONMENTAL DEGRADATION AND

THE COST OF INCREASED HEALTH

CARE IMPACT FROM POLLUTION.

THE COST TO OUR NATIONAL

SECURITY BY DEFENDING PERSIAN

GULF SUPPLY LINES.

WHAT WE'RE LOOKING AT THE

UNFOLDING TRAGEDY IN THE GULF OF

MEXICO.

THESE ARE ALL COSTS THAT ARE I

AM -- IMPOSED BY THE STATUS QUO.

>> Rooney: THEY HAVE CERTAIN

THINGS THEY'VE BEEN DOING.

DO THEY HAVE A PERSONAL ISSUE

WITH YOU?

>> NO, THIS IS THE FIRST TIME WE

HEARD ABOUT THIS BUT YOU KNOW,

EMILY, THERE ARE SO MANY

BUSINESSES IN MASSACHUSETTS.

THE PROGRESSIVE BUSINESS LEADERS

NETWORK, 120 COMPANIES IN THE

HEALTH CARE, HIGH TECH

MANUFACTURING SPACE ARE

SUPPORTING CAPE WIND.

COMPANIES LIKE LEGAL SEAFOOD AND

DESIGN AND OTHERSES WE HAVE A

LOT OF SUPPORT FOR THE PROJECT

AND EXCITED TO SEE IT GOING

FORWARD.

>> Rooney: IS THERE A WAY YOU

CAN MITIGATE THE WHOLE ARGUMENT

OF THE COST BY ABSORBING IT IN

THE BEGINNING AND HAVING IT

LEVEL OFF LATER ON?

>> WHEN YOU LOOK AT THE PRICE OF

CAPE WIND'S POWER WE'RE GIVING A

BUNDLED PRICE AND A NUMBER OF

PRODUCTS IN THAT PRICE WITH

ENERGY AND CAPACITY AND AGREEING

TO FIX OUR PRICE OVER A LONG

TERM AND PROVIDING TRADABLE

RENEWABLE ENERGY CREDITS IN THE

PRICE.

WHEN YOU ADD UP THE COST OF ALL

THOSE PRODUCTS AND COMPARE IT TO

THE PRICE OF ENERGY, WE MIGHT BE

-- WE'RE A LITTLE HIGHER NOW AND

AS NATIONAL GRID POINTED OUT IT

WILL COST THE AVERAGE HOMEOWNER

FIVE CENTS A DAY BUT WE HAVE TO

START SOME WHERE AND THAT FIVE

CENTS IS GOING TO BE OVERCOME BY

THE COST SAVINGS TO OUR FUTURE,

OUR HEALTH AND ENVIRONMENT.

>> Rooney: HOW FAR ARE YOU AWAY,

JIM, FROM LAYING THE FIRST

FOUNDATION FOR THE MILLS

THEMSELVES?

>> WE'RE HOPEFUL WE CAN START --

>> Rooney: IN OUR LIFETIME,

RIGHT?

>> IT WILL BE IN OUR LIFETIME

AND WE'RE HOPEFUL WE CAN START

CONSTRUCTION BY THE END OF THE

YEAR.

THAT'S WHAT WE'RE AIMING FOR.

>> Rooney: I MEAN, IS IT

FRUSTRATING FOR YOU.

YOU'VE GOT PEOPLE LIKE AUDRA

PARKER WHO VOWED TO FIGHT IT TO

THE END AND BEEN IN LEGAL

BATTLES FOR TEN YEARS NOW.

>> IT IS FRUSTRATING BECAUSE

WHEN YOU SEE THE DEPARTMENT OF

INTERIOR SECRETARY STAND NEXT TO

THE GOVERNOR AT THE STATEHOUSE

ON APRIL 28th AND ANNOUNCED THE

APPROVAL OF CAPE WIND AFTER TEN

YEARS OF A COMPREHENSIVE AND

EXHAUSTIVE REVIEW AND THE SAME

PEOPLE SAYING THE COST OF

ELECTRICITY IS GOING TO BE

HIGHER AND HARM THE WHALES WERE

DISPROVED AND THEY'RE A BROKEN

RECORD AND THAT WILL BE THERE

AFTER THE WIND TURBINES ARE UP

AND RUNNING BUT THE POINT IS

THAT PEOPLE IN MASSACHUSETTS

UNDERSTAND THAT WE HAVE AN

OPPORTUNITY TO LEAD THE NATION.

SECRETARY SALAZAR SAID IT WILL

OPEN A NEW HISTORY IN THE

AMERICAN ENERGY DEVELOPMENT AND

THE PRESIDENT THE OTHER NIGHT

SAID WE HAVE TO MOVE TO A CLEAN

ENERGY FUTURE.

THAT'S WHAT CAPE WIND IS ALL

ABOUT.

A CLEANER ENERGY FUTURE AND WE

THINK IT WILL SAVE CONSUMERS

MONEY OVER THE LONG TERM.

>> Rooney: WE ACTUALLY WENT DOWN

TO FALMOUTH A COUPLE WEEKS AGO

AND DID A STORY ABOUT THE ONE

WINDMILL TURBINE THEY HAVE THERE

AND THEY'RE THINKING OF PUTTING

UP ANOTHER ONE AND THE ISSUE

THERE WAS NOISE.

I'M CURIOUS WHAT IF YOU HAVE

STUDIED THAT AND WHAT IS IT 140

TURBINES.

>> 130.

>> Rooney: WILL THERE BE

SIGNIFICANT NOISE?

>> REMEMBER, EMILY WE'RE NINE

MILES AND 13 MILES.

>> Rooney: SOUND CARRIES OVER

WATER.

>> YOU WILL NOT HEAR A THINK.

IF YOU GO IN A BOAT AND FISH

UNDER THE WIND TURBINES YOU'LL

HEAR THE WHOOSH OF THE WIND AND

THEY'RE QUIET BECAUSE THEY

RESOLVE AT ABOUT 16 RPM AND

THAT'S NOT AN ISSUE FOR CAPE

WIND.

>> Rooney: THAT WON'T BE --

>> IT WON'T BE AND WHEN YOU SEE

LAND-BASED WIND TURBINES BEING

BUILT NEXT TO SCHOOLS, HOMES,

HIGH SCHOOLS, YOU HEAR THE

WHOOSH OF THE WIND.

>> Rooney: I THINK 22 WAS THE

CUTOFF FOR THE FALMOUTH

TURBINES.

>> THESE WILL OPERATE AT 16

RPMs.

>>

>>Reporter: ALL RIGHT, JIM.

WE'LL BE WAITING FOR YOU TO --

WHAT IS THE FIRST THING YOU DO?

IS IT LIKE POURING A CEMENT

FOUNDATION?

>> NO, WE DRIVE A PILE INTO THE

SEA BED.

>> Rooney: A PILE OF?

>> A FOUNDATION AND THE WIND

TURBINES WILL BE BOLTED ON TOP

OF THE FOUNDATION AND PUT THE

BLADES ON AND ULTIMATELY YOU

CONNECT IT SO AN ELECTRIC

SERVICE PLATFORM AND CONNECT IT

WITH UNDERSEA CABLE AND GO RIGHT

TO THE EXISTING GRID TO SUPPLY

75% OF THE CAPE AND ISLAND'S

ELECTRICITY WITH ZERO POLLUTANT

EMISSIONS AND ZERO WATER

CONSUMPTION AND ZERO WASTE

DISCHARGE AND MOST IMPORTANTLY

HELPS US KICK OUR ADDICTION TO

FOREIGN ENERGY AND WE'LL CREATE

JOBS.

>> Rooney: THAT'S THE GOOD PART.

JIM DORGAN ALWAYS A PLEASURE.

WHEN WE CONTINUE THE MAJESTY OF

BIRDS.