The U.S. Renewable Energy Group (US-REG) and Cielo Wind Power LP have entered into a joint venture framework agreement with China’s Shenyang Power Group to develop a $1.5 billion, 600 megawatt wind farm on 36,000 acres in Texas.
We don’t know many details at the moment but the press release on the event simply says … This will be “… the largest private Chinese-American investment ever in U.S. renewable energy. The press conference will include a signing ceremony with Chinese government officials and top executives from US-REG (U.S. Renewable Energy Group), Shenyang Power Group (SPG) and Texas-based Cielo Wind Power, LP. ”
Here’s another release on the deal from the perspective of the turbine makers.
It’s not yet clear to us where the project will be in Texas.
The notion of foreign investment in U.S. wind might strike some as odd, but really it’s the major European utlities that have been putting their money into the industry here. For example, Houston-based Horizon Wind is now part of EDP, based in Spain, and fellow Spanish utility Iberdrola is planning up to $8 billion of investments in U.S. renewables. Given all the government incentives for renewables they likely see it as easy money.
Shenyang seems to have been formed earlier this year by the government in that large city.
Austin-based Cielo has its hands in 10 projects currently, its Web site notes, with a combined generating capacity of over 1,148 megawatts. Some of the superlatives they claim:
• Cielo Wind Power capitalized $1.4 billion and installed 1068 wind turbines on over 90,000 acres in our first ten projects.
• As of 2009, Cielo Wind Power has developed and installed 1% of the world’s wind generated energy.
• From 1998 to 2009, Cielo Wind Power developed and installed 1,148 MW of wind-generated electricity throughout the Southwest.
• Cielo developed approximately 20% of all installed wind turbines in Texas.
In 2000 and 2001, Cielo installed one out of every two wind turbines in the United States.
Recent news items include this announcement that they committed to buy three turbines earlier this year, which it appears will be located near Lubbock.
Be sure to read some of the bios of the U.S. REG team as they’re a bit unusual. It’s not every day you can say your boss is responsible for the George Gershwin Prize for popular song.