Tulsa’s Public Service Co. is asking for a quick decision from the Oklahoma Corporation Commission on its plan to build what will be the largest wind farm in the U.S.
PSO and a sister utility say they need the fast response in order to have the Wind Catcher project near Guymon qualify for federal tax credits for renewable energy.
PSO’s application was filed Monday.
“The project is located in a high-quality wind area and is projected to be eligible to receive 100 percent production tax credits under federal law,” explained PSO vice president of regulatory and finance, Steve Fate in the filing. “It will produce a savings for PSO customers in each year of the project with approximately $996 million net present value of savings as compared to purchasing PSO’s energy needs from the market.”
PSO hopes to have the 800-turbine wind farm in operation by the end of 2020 and wants a Corporation Commission decision by March 31, 2018. Here’s why the rush for approval is critical to PSO. The federal production tax credit program is set to phase down annually to 40 percent of its value before the end of 2019.
Projects started this year will receive an incentive worth 1.84 cents per kilowatt hour and the credit will last for 10 years. Some construction on the Wind Catcher project is already underway.