Iowa Lakes Electric Cooperative dedicates wind energy project
Wind -generated energy to run ethanol plantsBy Michael Tidemann - Staff Writer
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Celebrating the first wind farms to generate wind energy to serve another renewable energy resource, Iowa Lakes Electric Cooperative Thursday dedicated the wind turbines at its Superior and Lakota sites.
Each seven-unit wind farm will supply directly to an ethanol plant - Superior Ethanol on the west edge of Superior and another ethanol plant in Lakota.
The cooperative broke ground for the projects August 2008 and completed them at breakneck pace to start generating power late March 2009.
The ceremony was held at the Superior 71 Drive-in Theater just west of Superior and south of the turbines.
A surprisingly blustery day for August, the turbines were turning at near full capacity as ILEC officials - and many others - lauded the efforts by the cooperative and those who assisted it in completing the project that was innovative both in concept and in financing.
"This is truly an historic event for the cooperative we are celebrating here today," said ILEC President and CEO Terry Bruns. This is truly a first-of-a-kind-in-the-nation event."
Bruns underscored the $43 million investment and multiple partnerships that made the project a reality.
Bruns said cooperative member-owners had started the dialogue about possible options for wind energy and the cooperative began discussing a community-based project six years ago. However, such a project was not feasible due to lack of incentives for cooperatives as compared to for-profit developers.
Then in 2005 Congress approved Clean Renewable Energy Bonds. That opened the door for the cooperative to apply for CREB financing.
The cooperative came up with the idea of locating the wind farms next to ethanol plants. Working with Basin Electric, Sen. Charles Grassley and Iowa Sen. Jack Kibbie, the cooperative saw the plan was economically feasible.
In December 2007, the cooperative was awarded $43 million in CREBs to finance the development of wind projects in its service area.
"We are the first wind project in the nation where the wind farm serves another renewable resource," Bruns said. He said ILEC was also the first electric cooperative to develop a wind farm of this size, generating 71 million kilowatts annually.
In a video message from Grassley, the senator noted his role as a champion of wind and alternative energy "for a very long time."
Grassley said he authored the first wind production tax credit in 1992 to help launch the fledgling wind industry. He also worked on the CREBs legislation passed in 2005.
Grassley called ILEC "a real pioneer in the generation and use of renewable energy" and that the turbines visible on the horizon helped to reduce the nation's dependence on foreign oil.
"This really closes the loop when we talk about renewable energy," said Rep. Tom Latham.
Latham noted his opposition to the current cap and trade legislation before Congress and said instead the nation needed a mix of energy resources - renewable and traditional combined with conservation. "This is a key part," Latham said of the wind farm dedicated Thursday. "It's about the opportunities for so many people to have jobs."
Latham recalled his working with Iowa Lakes Community College several years ago to secure financing for the windmill now used in the college wind turbine and energy technology program.
"These are very, very good jobs and the opportunities are tremendous," Latham said.
"What renewables have done for the state of Iowa is remarkable when it comes to economic development and jobs," said Sen. Kibbie.
As far as support for renewable energy in the Iowa Legislature, said Kibbie, "It's been in a bipartisan way and that's the only way you accomplish those goals."
Kibbie said the Legislature has expanded the state tax credit program for wind energy which allows cooperatives to use special property tax valuations and have sales tax exemptions. "That means a lot to this cooperative," Kibbie said.
Kibbie said legislation for small wind farms will help farmers, schools, hospitals and others construct turbines for their own use. "That has helped and we hope to see a lot more of that," Kibbie said.
Kibbie also touted the nationally recognized Iowa Lakes Community College wind program. "It's a great fit for all these energy projects," Kibbie said.
Rick Olesen, vice president of operations and engineering, said the project would not have happened without the assistance of Basin Electric.
"They decided to help us out and partner" on the project, Olesen said.
Recognition also went to CoBANK with bought the $43 million in CREBs.
A host of other partners was recognized, including the National Rural Utilities Cooperative Finance Corporation which provided interim project financing and the National Rural Electric Cooperative Association.
Kibbie also accepted an award on behalf of Gov. Chet Culver for his support of the project.




