Posts Tagged ‘wind energy’


The Mafia is Getting Into Green Energy? – Treehugger.com

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ROME — The seizure of a record 1.5 billion euros from a Sicilian businessman known as “Lord of the Wind” has put the spotlight on Mafia money-laundering through renewable energy ventures.
“The Mafia use clean energy to invest dirty money,” Sicilian journalist Lirio Abbate told AFP after police confiscated the assets from businessman Vito Nicastri on Tuesday.
The haul included no fewer than 43 wind and solar energy companies and around 100 properties including swank villas with swimming pools in Sicily’s western Trapani region, along with cars, a catamaran and bank accounts, the interior ministry said.

The infiltration of organised crime into the renewable energy sector is “a combination that is only now coming to light” in terms of legal action, said Abbate, a specialist in Mafia affairs who is under police protection.

“In the countryside it’s been apparent for longer because wind farms are springing up on land belonging to people with ties to the Mafia or obtained through violence,” he said.
Opposition Senator Giuseppe Lumia lamented: “The Cosa Nostra has managed to infiltrate the wind energy sector in the past few years by taking advantage of bad policies and bad bureaucracies.”

Nicastri, 54, is known nationally in the wind power sector, hence the nickname “Lord of the Wind”.
Anti-mafia investigators said Nicastri has links to Matteo Messina Denaro, considered the current supremo of the Sicilian Mafia, or Cosa Nostra.
Denaro has shifted from hypermarkets to wind energy, Abbate said.

“It’s obvious that these companies were tied to the Mafia because they have never been targeted, while construction sites in other sectors have been attacked,” he said.
This affair “confirms what we have been denouncing for a long time: infiltration in the new energy economy,” said the vice president of the national Anti-Mafia Commission, Fabio Granata.

Since Prime Minister Silvio Berlusconi returned to power for a third time in 2008 elections, authorities have seized or sequestered some 16 billion euros (20 billion dollars) in assets belonging to suspected members of Italy’s crime syndicates.

The seizure of Nicastri’s assets “confims the interest that organised crime has in renewable energy, which several annual reports on environmental issues have already stressed,” said Beppe Ruggiero, an official with the anti-Mafia association Libera.

“It is very important for this sector to stay far from Mafia activities,” Ruggiero said, stressing the need for renewable energy to develop in Italy’s poorer south. “Investment in renewable energy should not be discouraged,” he said, adding that the nuclear alternative would be “a losing choice”.

The Berlusconi government in February began a process of restarting nuclear power, which was banned by a referendum held soon after the 1986 nuclear meltdown in Chernobyl, Ukraine, sent highly radioactive fallout over large areas of Europe.

Italy is ranked third in Europe, after Germany and Spain, for wind power, with a total power of nearly 5,000 megawatts at 294 farms as of the end of 2009, according to Gestore Servizi Energetici, a public company that manages incentive programmes for renewal energy.

Over the past decade, thanks to generous subsidies, wind farms have proliferated at a rate of 20 percent per year and the energy generated has risen by 34 percent per year, GSE said.
Most of that total — 98 percent — is generated in the south.

Last year wind power produced 6,543 gigawatt hours, 35 percent more than in 2008.

The Mafia interest in clean energy is explained by the fact that it is a “new sector where there is more public money and less control”, Ruggiero said.

“It allows the creation of new companies, and so the recycling of money. For organised crime, it’s a sector that was still unknown 15 years ago, but is becoming very important.
“They steal money from the state and in addition they sell them the energy they produce. They win twice,” Ruggiero said.

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China Leads World in Renewables? – CNN.com

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NEW YORK (CNNMoney.com) — Five miles off the coast of Shanghai, the Chinese recently completed the country’s first offshore wind farm.

The project was completed before construction on the first American offshore wind farm has even begun.

The Shanghai project is not just another wind farm. It’s the next generation in wind power technology and the latest example of how China is jumping ahead of the United States.

Earlier this month, the accounting firm Ernst & Young named China the most attractive place to invest in renewables, knocking the United States out of the top position.

The study ranked countries on such things as regulatory risk, access to finance, grid connection and tax climate. It cited the lack of a clear policy promoting demand for renewables in the United States — a product of Congress’ failure to pass an energy bill — as one of the main factors for the dethroning.

China has already surpassed the United States in the amount of wind turbines and solar panels that it makes. China is also gaining on the United States when it comes to how much of their energy comes from renewable energy sources.

The country that leads in the renewable energy industry, is opening the door to more home-grown jobs.

Cash is pouring in: From an investment point of view, the trend is clear.

In 2009, nearly $35 billion in private money flowed into Chinese renewable energy projects, including factories that make wind turbines and solar panels, according to the research firm Bloomberg New Energy Finance. The United States attracted under $19 billion.

“Within the past 18 months, China has become the undisputed global leader in attracting new investment dollars,” Ethan Zindler, head of policy analysis at New Energy Finance, recently told a congressional committee.

Zindler said the money came from not only the Chinese government and banks, but also Western private equity funds and individual investors buying publicly-traded Chinese stocks.

Jobs growth, for China: The result of all this investment money is jobs.

In wind power, China-based companies are on track to make 39% of the turbines sold worldwide in 2010, according to New Energy Finance. U.S.-based companies will make just 12%.

In solar, China-based firms will make 43% of the panels. U.S. firms will make 9%.

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Why Isn’t There a Google of Energy? – RenewableEnergyWorld.com

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New York, New York — We often wonder when the next Google of clean energy will materialize. When will the lone inventor finally emerge from his garage to change the world and solve our energy problems? What stealth company will bring the establishment to its knees? Our recent experience with IT makes these questions seem relevant. But some analysts say they ignore the realities of energy.

“It’s a dangerous distraction,” says Mark Bünger, a research director with Lux Research. “There’s such a long distance between invention and implementation in these really physical technologies.”

It’s convenient to compare solar cell manufacturing to chip manufacturing or smart meters to personal computers. But a variety of factors make these sectors very different, says Bünger.

Firstly, the regulatory barriers in energy mean that projects often take a long time to develop. This will make the transition to renewables less like the IT Revolution and more of an evolution. Secondly, while information technologies were being deployed within an entirely new framework, energy technologies are competing against well-established incumbents. And thirdly, the capital needed to roll out renewable energies is orders of magnitude greater than in IT.

There’s basically zero variable cost associated with information technologies. And that’s exactly the opposite of most renewable energy technologies,” Bünger says.

The path to commercial adoption in energy is littered with all kinds of financial, political and regulatory barriers. These make it difficult for entrepreneurs and start-up companies to bring technologies to market.

This brings us to the “Valley of Death,” the gap between venture capital and project finance. The Valley of Death is where a technology is too capital intensive for a venture capital firm to continue investing, but too risky for a bank or private equity firm to bring it to scale. This gap is particularly wide in renewable energy where many technologies are still unproven and up-front capital needs are much higher.

If a framework for financing next-generation renewables is not established, say experts, new game-changing technologies will get stuck in this lonely Valley and wither away before they reach their potential.

That’s what this week’s podcast is all about: How to cross the Valley of Death.

Listen to the podcast…

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Cape Cod Wind Project is Approved but Much to Chagrin of Residents (yes, energy is complicated)

HYANNIS, Mass. — The federal government may have described the Cape Wind project as a fait accompli, but Ian Parent does not expect to see turbines in the water or run the panini maker at his restaurant with electricity generated in Nantucket Sound any time soon.

“I bet this goes on for another five years,” said Mr. Parent, the owner of La Petite France Café, as he unwrapped cheese behind the counter on Wednesday afternoon.

Word that the federal government had approved a permit on Wednesday for Cape Wind Associates to build a 130-turbine wind farm off the coast here barely caused a ripple in Hyannis, where the installation will be visible from parts of the town, including a popular beach and many houses.

After a nine-year battle over the proposal, most here thought the decision would lead to even more years of litigation and waiting.

“I don’t think it’s over yet,” said Rob MacNamee, 42, a lawyer from Barnstable, Mass. “It’s been going on for how long? All the stickers for and against have washed off the cars, and the signs have blown down.”

The fight has dragged on for so long that many find themselves on both sides of the issue. That is, they now support the development of renewable energy, but just not here.

“I’m 100 percent for alternative energy, but just not in Nantucket Sound,” Mr. Parent said. “There’s no guarantee that the electricity will be cheaper. And once you put those windmills out there you can never take them away.”

Many in Hyannis, where the wind that would one day power the turbines whipped around rain and hail on Wednesday, thought the decision was to be expected from the Obama administration, which has dedicated billions of dollars to alternative energy sources.

Allen Rencurrel, a ship captain, speculated that the administration had deliberately waited until after the death in August of Senator Edward M. Kennedy of Massachusetts, one of Cape Wind’s biggest opponents, to make its call.

“Now that Teddy’s gone, that’s the only way they got it approved,” Mr. Rencurrel said from the deck of the Seafox, which harvests clams in beds near the site where the turbines would rise.

Mr. Rencurrel said he worried that the turbines would interfere with the routes he takes to some of his clam beds and challenge both experienced captains and recreational boaters.

“I feel sorry for the pleasure boaters out there — they’re inexperienced and are going to be running into these things,” he said.

Yet with unemployment high and affordable housing hard to come by, some here suggest that the construction and operations jobs could well make up for what might be lost in a vista.

“There’s a desperate need for work here,” said Steven Spagnohe, 46, a musician from Hyannis. “There’s a lot of skilled laborers and mechanical people out of work, and this would help.”

Mr. Spagnohe said that people opposed to the project are “old money” who “don’t want to lose tradition” while he sees Cape Wind as a step forward for the country’s energy policy.

“We’re going to get more electricity,” he said. “It’s a great opportunity for the United States, for America and for the Cape.”

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