090130: Cape Cod Wind Farm is Approved; Kennedy Objects

January 19, 2009

(Bloomberg) -- The U.S. Interior Department gave environmental approval for a proposed 24-square-mile wind farm off the coast of Cape Cod, Massachusetts, over the objections of Senator Edward Kennedy and other residents.

Final federal approval to build the 130 windmills, the first in U.S. waters, wouldn't be granted for at least 30 days, after President-elect Barack Obama takes office.

Supporters call the project, under review since 2001, an important step toward developing renewable energy. Opponents say it may cause radar interference to boats and planes and spoil the ocean views from Cape Cod. The towers, placed about one- third to one-half mile apart, would be about five miles off the shore and reach 440 feet.

"It would be one of the largest skylines in the U.S. in the middle of Cape Cod beaches," said Audra Parker, executive director of the Alliance to Protect Nantucket Sound. "We support renewable energy, but Nantucket Sound is the absolute worst location for an industrial-scale wind plant."

The Interior Department's finding is one of about 20 federal, state and local permits or authorizations needed, she said. The alliance is readying a fund to pay for legal action against the wind farm.

Kennedy, a Democrat from Massachusetts, has a home on Cape Cod. He has said that while he supports wind power development, the project off the coast is a "sweetheart deal" that "threatens the livelihood of Massachusetts' fishermen" and its tourism industry.

Public Conflict

By taking this action, the Interior Department has virtually assured years of continued public conflict and contentious litigation.

The windmills, proposed by Boston-based Cape Wind Associates LLC, would produce three-quarters of the electricity needs of the Cape and surrounding islands, according to the company's Web site.

Cape Wind President Jim Gordon disputed Parker's statement that the project needs several more approvals and authorizations.

The company needs two more approvals, one from the Federal Aviation Administration and one from the state, before it will be cleared pending any lawsuits, Gordon said at a press conference at the company's Boston office. The windmills could be built by late 2011, he said.

Renewable Energy

"I am hopeful that President-elect Obama will follow through on his stated goals of increasing the nation's production of renewable energy," Gordon said.

Randall Luthi, director of the Interior Department's Minerals Management Service, told reporters today on a conference call that the agency has approved the environmental plan.

"There is nothing in the final environmental impact statement to basically cause extreme alarms about the project," Luthi said.

Supporters say the project will create jobs while promoting energy security.

"This project opens the door to offshore wind development in the United States and is exactly the type of clean energy investment that will jumpstart our economy," said Nathanael Greene, director of renewable energy policy at the Natural Resources Defense Council, in a statement.


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