GE Gets $1.4B Contract for Wind Turbines

General Electric Co. on Thursday said it has received a $1.4 billion contract to supply wind turbines and related services for a wind farm project that is expected to be the largest ever.

The company says the order from independent power producer Caithness Energy is its largest for its 2.5xl wind turbines. It will install 338 of the turbines, which are already in use in Europe and Asia, between 2011 and 2012.

The 845-megawatt Shepherds Flat project, located in Oregon, has received most of the government permits it needs to run.

Caithness Energy estimates that the project will inject $16 million of direct economic benefits into Oregon on an annual basis, and will employ 400 workers during construction and 35 during operation. Construction will start next year and is expected to be finished in 2012.

GE will also supply 10 years of operational and maintenance services.

Under three 20-year power purchase agreements, the Shepherds Flat wind farm will supply renewable energy to Southern California Edison, an Edison International company. Using U.S. Environmental Protection Agency methodology, the companies estimate that the project will provide enough clean energy to power about 235,000 average California households, avoiding more than 1.5 million tons of greenhouse gas emissions per year.

General Electric has 10,000 worldwide wind turbine installations comprising more than 15,000 megawatts of capacity, according to the company's Web site. The company has wind manufacturing and assembly facilities in Germany, Spain, China, Canada and the United States.

[rjmosk]

Exciting news from GE. I hope it makes their stock go up !!!!

[sjc_1]

This is good news. We do good for the renewable energy picture and we do well for the economy. We need to have more wind turbine manufacturing in the U.S. We started to in the 1970s and then Reagan eliminated all assistance to get the industry going.

[retm-w]

The problem is the article doesn't state where they will be manufactured. GE has plants in Mexico and China, they only say 400 construction jobs which are temporary and 35 permenant jobs. Where are all the manufacturing jobs to build these turbines. If any government funding is involved it should be required that at least 75% should be produced in the US.

[sjc_1]

Denmark is a leader in wind turbines. I believe that GE buys component from other companies outside of the U.S. and assembles some of the sub assemblies outside the U.S. Some of the components are made here, but most are made in other countries. They could do all the assembly here, but I do not think that they would make all the components here.

I agree that it would be best to have mostly U.S. content, but when administrations come and go, some support it and some don't, it is too uncertain to build an industry over decades. Denmark has had consistent policies for more than 30 years, no matter who is in power.

[tiktin]

Next we are going to replace motor ships with sailing ships.