T. Boone Pickens' Wind Plans Experience Setback

(MoneyWatch)  When Texas oil tycoon T. Boone Pickens first unveiled his plan to build a 4,000 megawatt wind farm last year, a number of clever writers cracked that his answers were "Blowin' in the Wind" a la Bob Dylan. Well, that wind farm is now "Gone with the Wind " by the oilman's own admission. The project is on hold for a year or more , as the credit markets try to regain their own wind.

The intensely competitive Texan's casual admission that his plan is experiencing setbacks should be worrying to renewable energy advocates. Picken's wind farm enjoyed economies of scale and the benefit of his reputation; if it can't get money, it's probably indicative of a broader problem. Of course, plenty have pointed out that wind projects are suffering this year, but like the recession itself, nobody is sure exactly how bad the problem is.

The answer may be that it's bad enough even the stimulus package, which provides guaranteed tax credits for wind, won't be enough to bring new investors to the table. Although, by another argument, the stimulus itself could be part of the problem, as the credits it promises won't last long enough to see through a lengthy project like Pickens' farm in northern Texas.

Ironically, just last week it was reported that Texas approved almost $5 billion for new electricity transmission lines. Pickens had long argued that such lines were necessary for his wind project, finally declaring that he would build his own. That means there's at least one positive to the delays: He may not need to anymore.