The Michigan Public Service Commission on Oct. 7 approved Consumers Energy Co.'s purchase of a 166-MW wind farm in southern Michigan.
The project to be built in Adams, Moscow and Wheatland townships in Hillsdale County, Mich., is part of the company's plan to add up to 525 MW of new wind facilities to meet the state's 15%-by-2021 renewable energy standard.
The CMS Energy Corp. subsidiary asked the commission in July to approve an agreement under which developer Crescent Wind LLC would design, engineer, build, start up and test the project. Once complete, Consumers Energy would purchase the wind farm, which is expected to be in commercial operation on or before Dec. 31, 2020. The Crescent Wind project was selected through a request for proposals.
Consumers Energy told the commission that the wind project would have a 31-year levelized cost of energy of about $48/MWh, provided Consumers Energy qualifies for the full value of the federal production tax credit. That projected cost is lower than the levelized cost of energy of $57.75/MWh forecast in Consumers Energy's renewable energy plan approved by regulators in February. (Michigan PSC Case No. U-18231)
In approving the build-transfer contract with Crescent Wind, the commission said the contract would not affect rates or rate schedules resulting in an increase in the cost of service to customers.
The commission also gave assurance to Consumers Energy that the full cost of the Crescent Wind Project would be recoverable under the company's power supply cost-recovery process. (Michigan PSC Case No. U-15805)
