Friday, December 19, 2008

"Tis the Season... of a poor economy...

It's unfortunate that this is the case but this economy is going to take a lot of tolls and I'm afraid wind energy is an unproven investment return that there will be little private investment for. Although wind energy seems like the right thing to do it will be a tough sell to the private investors who have been hit with heavy losses on much more secure investments. In today’s economy Cash Is King and anyone left with a few dollars to invest have many, many more opportunities to get a far better return on their money than they do in wind energy. A few years ago the pension funds, European Investors, and private equity funds started throwing a few bucks at this sector as it was a bit "sexy" to be green, plus with oil at $140 a barrel there was a chance that a break even might be possible... most of these guys have taken a pounding in the markets and are retreating from this kind of investment.... with oil at $37 a barrel I'm afraid hoping to revitalize this sector initiative in the near future is a long way off...
Billion-dollar wind energy plan for P.E.I. on hold
Friday, December 19, 2008
CBC News
The P.E.I. government has postponed its call for private wind power development proposals because of the downturn in the economy.
In October, the province announced a $1-billion development plan to more than triple the wind power generated in the province, to 500 megawatts, by the year 2013.
It planned to issue a call for proposals for private developers to build wind farms to generate that energy.
"Our opinion is the prospectors that could be out there might not be quite as aggressive at the moment," Energy Minister George Webster told CBC News on Friday.
"They need some time, as well, to assess the market and where the market is going with regards to wind development. So I think this bit of a delay is the right thing."
Webster said a call for proposals will not go out until at least until next April. The global economic situation will be reassessed then.
In the meantime, Webster said the government will draw up guidelines to help ensure that any new development will have community support.

1 comment:

Anonymous said...

To fluctuate from $145 down to $35 a barrel in 5 months should speak volumes to anyone with half an open mind. Save the jargon and spewing of economists and experts . . . an enlightened few are playing all of us with puppet strings. They have too much invested to allow any other energy player onto the playing field to any large degree.