Consumers Energy has received approval from the Michigan Public Service Commission for the acquisition of a 166 MW wind farm in Hillsdale County.
Under the terms of the agreement, the wind project would be designed, engineered, built and tested by Crescent Wind LLC before being handing it over to Consumers Energy after completio. The Crescent wind farm is expected to become operational on or before 31 December 2020.
Consumers, in its request for approval of the agreement, said the Crescent Wind project would have a 31-year levelized cost of energy of approximately US$48/MWh, provided Consumers qualifies for the full value of the federal production tax credit. That projected cost is lower than the levelized cost of energy of US$57.75/MWh projected in Consumers’ renewable energy plan approved by the commission in February 2019. The installed cost for the wind project is estimated at US1,506 per kilowatt, which is lower than the assumed cost of US1,560 per kilowatt.
The purchase agreement was approved after MPSC staff concluded Consumers’ requests for proposals complied with earlier commission orders. The commission assured that the full cost of the Crescent Wind Project will be recoverable under Consumers’ power supply cost recovery process.