1 Fox Islands Wind Project Vinalhaven, Maine
I.
Introduction and Project Overview
Vinalhaven and North Haven are two small islands, collectively known as the Fox Islands. They are located in the Atlantic Ocean off the coast of Maine, and are about 80 miles northeast of Portland. There is no land bridge to the islands; they are accessible by boat, including ferry service, and by air. The islands are relatively compact -‐ Vinalhaven has a land area of about 25 square miles and North Haven has a land area around 12 miles. In November 2009, a community-‐owned and operated wind facility designed to provide power to residents of both islands began operation. It is the first wind energy farm in Maine’s coastal area to go into operation. The facility, known as the Fox Islands Wind Project, is located on the interior of Vinalhaven. It consists of three General Electric wind turbines with a combined capacity of 4.5 megawatts; each wind turbine is 118.5 meters tall. On a yearly basis, the turbines are expected to generate around 11,600 megawatt hours of electricity,i an amount slightly larger than the Fox Islands’ yearly use of electricity, which is estimated to be approximately 10,500 megawatt hours.ii
II.
Demographics
Vinalhaven, the larger of the two islands, has a year-‐round population of about 1200, and a summer population of over 4000. North Haven is smaller, with a year-‐round population of about 400 and a summer population of around 800.iii According to a Harvard Business School case study of the wind project, Vinalhaven’s economy is largely dependent on a lobster industry, while North Haven “is dominated by maintaining its summer resort community.”iv According to the 2000 census, the median incomes of year-‐round households on Vinalhaven and North Haven are around $34,000v and $40,000vi respectively. Seasonal residents of the islands are typically wealthy (HBS case study). North Haven island residents include U.S. Congresswoman Chellie Pingree, and Maine Speaker of the House Hannah Pingree.
III.
Background of Project
a. History of Fox Islands Electric Cooperative Since the Fox Islands do not have a land bridge to the mainland, access to the mainland grid has ranged from non-‐existent to problematic. Initially, electricity for the Fox Islands was generated and provided by Vinalhaven Light & Power Company, an island-‐based utility, using diesel generators. In the early 1970s, in response to service issues, islanders voted to form a community-‐owned electrical cooperative, and purchased Vinalhaven Light & Power. Two years later, the co-‐op, named Fox Islands Electric Cooperative (FIEC), had a “10-‐mile submarine electric cable put in place between North Haven and Central Maine Power Company’s lines at Rockport, on the mainland.”vii The cable provided a relatively reliable source of electricity to the islands, but at a cost of 28 cents per kilowatt hour, which was about three times the national average cost of electricity, and about twice the average cost in New England.viii
2 Due in large part to high electricity rates, the FIEC began to explore the possibility of using wind energy in 2001. In 2002, the cooperative received a grant for a three-‐year study to be conducted by the University of Massachusetts Renewable Energy Research Laboratory. The purpose of the study was to determine is wind power was a feasible alternative. The site studied was a piece of land on Vinalhaven owned by two island residents who were amenable to the idea of leasing the land for a wind energy facility. The study’s results indicated that the site’s wind resource was “good, but not great” (HBS case study.ix In 2005, the submarine cable connecting the islands with the mainland, which had been operating unreliably, was replaced. The cable, which was owned by the FIEC, would become an integral part of the wind project, by supporting the transfer of electricity from the islands to the mainland in times of deficit or surplus as a result of varying demand and wind conditions.x b. Financing Early in 2008, the FIEC decided to pursue a wind power project. They requested assistance from the Island Institute, a nonprofit organization chartered to provide assistance to Maine’s coastal islands, located in Rockland, Maine.xi Philip Conkling, president of the Island Institute, and Dr. George Baker, a Harvard Business School Professor on leave who is also the Renewable Energy Specialist for the Island Institute, prepared a preliminary economic analysis and a financial model.xii “George Baker became involved in the Fox Islands Wind project through the Island Institute, where he served as Vice President for Community Wind” (HBS case study). The economic analysis indicated that a wind energy facility could lower electric rates on the islands on the order of a few cents per kilowatt hour of use for the first decade, with a more striking decrease in kilowatt cost in the second decade of the project (Project Background). The cost of the wind energy project was estimated to be 14.5 million dollars. (Conkling) Its capital requirements were greater than typical wind projects because of its lack of scale and its location on an island that is not connected to the mainland (HBS case study). Substantial federal tax credits existed to offset the cost of wind facilities, but FIEC, because of its status as a non-‐profit, was not eligible for the credits. A separate for-‐profit entity, Fox Islands Wind LLC, with Dr. Baker as CEO, was formed to take advantage of the tax credits. The tax credits were then transferred to Diversified Communication, a family-‐owned and privately held Maine-‐based corporation, as part of an arrangement that included Diversified’s investment of five million dollars in the project. The company, which owns television stations, magazines, and puts on trade shows internationally, was started by former Maine Governor Horace A. Hildreth Sr. His son, Horace A. Hildreth Jr., a longtime summer resident of Vinalhaven,xiii is currently Chairman of the Board of Directors. Hildreth Jr. was also formerly chairman of the board of the Island Institute, and is currently Chairman Emeritus.xiv The agreement between Fox Islands Wind LLC and Diversified called for Diversified to sell their partial ownership back to the cooperative after five years (Urquhart). Because it is a privately held company, it is difficult to ascertain how much the tax credits were actually worth, but several estimates indicate that the internal return on the five million investment is somewhere between 9 and 15 percent (Audio). When asked about this by a reporter, “a Diversified Communications representative did not return phone calls seeking comment.”xv The remaining balance of 9.5 million dollars came from a low-‐interest loan obtained from the Rural Utilities Service, a division of the United States Department of Agriculture. The payback period is estimated to be twenty years (The Fox Islands Wind Project Fact Sheet). For additional details of the financing, see the Lawrence Berkeley National Laboratory Report, “Community Wind: Once Again Pushing the Envelope of Project Finance” at http://eetd.lbl.gov/EA/EMP/re-‐pubs.html. c. Gathering Information and Building Support
3 To gather information and present an outline of the proposed wind project to Fox Islands Electric Cooperative members, a number of studies were conducted with the support of the FIEC and the Island Institute. These included engineering feasibility studies by an engineering company, environmental impact studies, and a sound analysis. The engineering study concluded that it was possible to successfully put a wind energy facility on the island. The environmental study found that use of wind turbines on Vinalhaven would result in limited environmental harm to birds, rare plants, and wetlands. The sound analysis was completed by Acentech Incorporated. According to Acentech, “No federal noise regulations are applicable to the off-‐site environmental sound associated with the construction, operation, or maintenance of the proposed project. The town of Vinalhaven relies upon noise standards set by the state of Maine Department of Environmental Conservation.”xvi Given the turbines’ location in a previously quiet, protected area, Maine’s noise regulations stated that the wind energy facility must abide by the following: “Hourly equivalent operating sound level limits of 55dBA during daytime hours from 7 a.m. to 7 p.m. and 45dBA during nighttime hours from 7 p.m. to 7 a.m” (Acentech Report). Acentech’s findings indicated that the wind energy facility could adhere to Maine’s noise standards. Interestingly enough, another document on the state of Maine’s website entitled “Primer for Addressing Wind Turbine Noise” cited as a background reading on noise issues seems to contradict these standards.xvii This document references ISO recommendations for community noise limits, which are significantly more stringent than Maine’s standards. For rural areas, the ISO recommendations ranged from a daytime limit of 35 dBA to a nighttime limit of 25 dBA.xviii Acentech’s report also stated that “background ambient sounds levels also increase when local wind speeds increase.” ‘The Fox Islands Wind August 31 cover letter to the state Department of Environmental Protection (DEP) explained the FIW’s interpretation of the Acentech’s results, "When the turbines are generating higher sound levels, background noise will be higher as well, masking the sound of the turbines.”’xix In regards to building support, the Island Institute was integral in conducting a public-‐education and outreach campaign. “Baker’s principal means of building support in the community more broadly was through hosting town hall meetings on the subject with both year-‐round and summer residents to communicate directly with them” (HBS case study). In addition, U.S. Congresswoman Chellie Pingree and Speaker of the Maine House of Representatives, both island residents, were in favor of the proposal. d. Finalizing the Project In July of 2008, the ratepayers on both of the Fox Islands voted 382-‐5 to authorize the FIEC Board to Directors to proceed with developing plans to erect as many as three turbines on a site located on the interior of Vinalhaven. NOTE: According to Charles A. Farrington, General Manager of the FIEC, “the Coop has about 1,400 members some are full time and some are part time residents. Property ownership is not a requirement for membership. Each member has a voting right and all of the members were given the opportunity to vote on the wind project” (email). Of the total number eligible to vote, only about 28%
actually did. There were a number of legal requirements to be met before construction on the wind project could begin. According to Fox Islands Wind website, “during the summer and fall of 2008, Baker and Island Institute staff raised funds from a variety of private individuals and foundations to finance additional detailed engineering, legal and environmental information required for project permits. FIW has
4 partnered with the Island Institute to raise pre-‐development capital for attorney fees, interconnection and environmental studies, to complete necessary local, state and federal permitting, and to secure permanent financing for insurance, operations and maintenance” (Project Background). According to the Working Waterfront article by Conkling, the requirements that needed to be fulfilled included “federal environmental review, approval from the Federal Energy Regulatory Commission, certification from the Maine Department of Environmental Protection, agreements with Central Maine Power, and the Planning Board's consent.” On May 13, 2009 the Vinalhaven Planning Board, which was the final approval needed in the local permitting process, unanimously approved the construction permit (Conkling). Furthermore, the facility had to meet Maine’s Department of Environmental Protection safety setback and noise standards. Though there is no set DEP standard for amount of Shadow Flicker allowed annually, the current practice of Maine’s DEP is to limit Shadow Flicker to 30 hours annually.xx Cianbro Corp, the contractor in charge of construction, started work in June 2009; more than 200 people were present for the groundbreaking ceremony. Construction was completed in early November; General Electric then began its commissioning process for the turbines, generating the project’s first kilowatts during its testing (Project Background). On November 17, 2009, the ribbon cutting ceremony was held to celebrate the on-‐time completion of the wind project. Attendees including Maine Governor John Baldacci, U.S. Congresswoman Chellie Pingree, and Maine Speaker of the House Hannah Pingree.xxi e. Energy Use Now Currently, more than fifty percent of the electricity generated by the turbines is being used directly on the islands (Fox Islands Wind Fact Sheet). However, because wind is an intermittent and variable resource, supply and demand are not always equal to each other. Peak electricity production is in winter; peak demand is during the summer, when the islands’ population greatly increases. To accommodate this, the submarine electric cable owned by FIEC is used to transmit excess power to the mainland, primarily in winter, and obtain additional power from the mainland grid, primarily in summer. It has been predicted that over the course of a year, the FIEC will sell 5000 megawatt hours and buy back 4000 megawatt hours; the project was sized purposely to achieve this goal of generating approximately the amount used on the islands over the course of a year (Renewable Energy). In order to sell the excess energy back to the grid, FIEC required an exemption from Maine’s deregulation laws; Maine Speaker of the House Hannah Pingree submitted a bill, and “a sympathetic legislature passed it handily” (Urquhart).
IV. Controversies
Since the turbines began operating in late 2009, there has been a great deal of controversy surrounding the project. Noise level concerns have been at the forefront of this debate. Though the project was originally very well-‐received in the community, and is still widely popular, some of the island residents are seeking to change the turbines operation practices in order to lower noise levels. Even though it is a limited number of residents who are directly affected by the noise, they are members of a small and close-‐knit community, and their discomfort is having a significant impact on the opinions of other members of the community. In addition, it has opened the door to scrutiny of this project, as the issues raised by this group have received national attention. The result of this increased scrutiny has
5 also brought questions about the actual savings, and whether or not they will be realized, particularly if noise reduction, which will also reduce the amount of electricity generated, is required. There were a number of local newspapers that covered the Fox Island Wind project and the controversy surrounding it. These included the Bangor Daily News, the Working Waterfront (published by the Island Institute), the Fishermen’s Voice, and the Portland Press Herald. Each paper had published both news reports and editorials on the subject. The articles focused largely on the project’s progress, including its start and the completion of work on the wind project, the project’s goal to lower electric rates, and on the noise issues. There are also a couple of articles in the Bangor Daily News implying that the Fox Islands Wind Project is being looked at closely by other groups potentially interested in wind energy.xxii a. Who is in favor of the project and why Initially, the project had a wide support base. “The majority of us like them,” said Jeannie Conway, an employee at the island’s ferry office.xxiii There was extensive local support, and even after the project was up and running, survey results taken in May 2010 indicated that most residents were still in favor of the wind project. In this survey administered by the FIEC and the FIW, about 35 percent of the 1,447 surveys were returned. Of these, 97 percent stated that they had originally supported the wind farm. Also, since the project has been up and running, 95 percent of responders had either kept their original opinion or grew more supportive of the wind project.xxiv Furthermore, both U.S. Congresswoman Chellie Pingree and former Maine Speaker of the House Hannah Pingree had offered their support to the project, and expressed their pride in the wind project at the ribbon cutting event in 2009. According to Hannah Pingree, "It's a huge step toward the sustainability of our islands as year-‐round communities. This project is only the beginning. I am very, very proud."xxv
Community Feedback
July 2008
May 2010
http://www.foxislandswind.com/surveyresults_072010.html
12
Figure 1: From Suzanne Pude’s Presentation at the Manomet Conference on the Social Challenge of Wind Energyxxvi
6 On the state level, Maine’s policies are usually supportive of renewable energy projects in general, and of wind projects in particular.xxvii The state of Maine is striving to be a leader in the emerging field of renewable energy, and has set wind energy generation goals. Maine enacted the Wind Energy Act of 2008 to encourage wind energy projects. It also, according to some, “gave developers a fast track for putting up wind turbines on some of the state’s treasured high ground, and was a piece of legislation passed at the time in the name of jobs, energy independence, and climate change.” This bill “cut off a layer of appeal for those protesting state permits for wind power, set ambitious goals for the development of wind power that could result in 1,000 to 2,000 turbines being constructed along hundreds of miles of Maine’s landscape, including the highly prized mountaintops where wind blows hard and more consistently, and it opened every acre of the state’s 400 municipalities to fast-‐track wind development.”xxviii The project’s popularity largely stems from its community-‐oriented sponsorship and goals. The primary goals of the wind project, to lower and stabilize electricity rates, are popular with the Fox Island rate-‐payers. Since the project has been up and running, many of the residents’ electricity bills have decreased.xxix According to the Fox Islands Wind Project December 2010 update on their website, there has been “more than a 27% reduction in the energy portion of Fox islands electric rates as compared to the previous year.”xxx Furthermore, the islanders are directly using the turbines to produce a significant portion of their energy use. When they need electricity, or have too much of it, they can buy and sell it at market rates, leaving their overall balance at about zero. This is expected to help protect the islanders from fluctuations in market prices (Renewable Energy). In addition, the ideal of producing renewable, clean, and sustainable energy is popular within the community. To this point, the Fox Islands Wind website maintains a record of carbon dioxide emissions that have been avoided by using wind energy. The timing of the project was also a factor in its environmental support. Many of the comments sent to project managers by residents in a survey about the wind farm mentioned the Gulf Oil Spill.xxxi The phrase “Spin, Baby, Spin!” is popular among rate-‐payers on the islands (Zeller). In addition, much of the rhetoric supporting the project highlights the role wind has played in the Islands history. “A century ago, Maine’s strong offshore winds lifted the sails of boats that carried granite, timber, livestock, people, and vital supplies between hundreds of small island communities and the mainland.” (Project Background) From a visual standpoint, since the turbines located on interior of Vinalhaven, and most big houses on Vinalhaven are on the coast, most people have to look out back door to see them according to Dr. Baker. However, this does not hold true for residents on North Haven. (Renewable Energy) Last, Dr. Baker has pointed out that from organizational and regulatory standpoint, the Fox Islands were well-‐suited to putting in a wind energy project. They were already in charge of the electricity supply to the islanders, and owned the submarine cable. The idea that the benefits and control of the utility are kept within the community is key. According to Dr. Baker, “It’s about community ownership, community control, and community benefit.”xxxii b. Who is against project and why Despite the aforementioned widespread support of the project, local concerns and disenchantment with the wind farm became apparent shortly after the turbines began running. Though there were visual, environmental, medical, and community monetary risk concerns, noise was, and still is, the largest point of contention. The noise produced by the turbines is thought to bother between 15 and 20 of Vinalhaven’s residents living near the turbines. Some of the affected residents, who believe that the
7 turbines’ sound levels were violating Maine’s noise regulations, have taken legal action in an effort to address their concerns. They formed a not-‐for-‐profit, the Fox Islands Wind Neighbors (FIWN), and started a website to provide information about this project and other wind projects. Their efforts to publicize the issue have led to articles about the project by the New York Times, the Boston Globe, and the Associated Press.xxxiii Some of the residents bothered by the noise produced by the turbines, which consists of two unique sounds – a whooshing sound caused by the movement of the turbines’ blades and the mechanical sounds produced by the movement of gears and other mechanical parts of the turbinexxxiv -‐ feel that the high noise levels were an honest mistake, and are looking to Dr. Baker and the FIEC to lower sound levels. There are several ways to potentially do this: decreasing the turbines’ energy production during the night, changing how the turbines operate, or by investing in noise buffering technology. The type of turbines used in the project might also be part of the problem – there are claims that GE turbines are noisier than turbines made by other manufacturers.xxxv As a side note, in January 2011, President Obama visited the GE plant in Schenectady, New York and gave a speech about the importance of clean energy technology innovation. Other residents bothered by the turbines’ noise feel that FIW has misled them on the noise issue. Publicly, the FIWN has contested the results of the sound analysis completed by Acentech. “Fox Islands Wind used an unusual and possibly misleading method to calculate what area should be designated a “quiet zone” around its wind turbines, a state environmental official confirmed. Jim Cassida, director of the Department of Environmental Protection’s land resource regulation division, said when Fox Islands Wind collected its data it excluded periods when winds were below 3 mph. This skews the results by “taking out the quietest time,” he said.”xxxvi On this issue, the FIWN hints on their website that the FIEC “shopped around” for sound results. According to the Frequently Asked Questions section of the FIWN website: “In September, 2008, the Fox Island Electric Coop hired Woodard and Curran of Bangor, Maine, to do a study of the proposed Vinalhaven wind farm site. In turn, Woodard and Curran hired Resource Systems Engineering (RSE), Brunswick, Maine, to study of the Vinalhaven site and determine if noise would be an issue. In summarizing their study, RSE predicted that noise could be an issue. In fact, RSE recommended that the neighbors be notified of the possible noise issue……FIW and FIEC did not follow the advice from the RSE report. They chose not to notify neighbors of possible noise issue, but instead released RSE and hired Acentech, a sound engineering firm from Boston, Ma. Acentech told FIW that the ambient sound would mask the sound of the turbines. Considering the noise wind farm neighbors are experiencing, one can only assume that Acentech’s model is flawed.” Many of the residents bothered by the turbines’ noise had originally supported the project because it had seemed like the right thing to do, and they had believed noise would be a non-‐issue. They claim they were told the turbines weren’t going to be noisy, and now some residents feel their suffering is being marginalized (Zeller). Furthermore, FIWN claims that electricity costs would have been lowered anyway even without the turbines due to decreases in market rates. Even some of the residents in favor of the turbines have expressed sympathy for those living near the turbines who are bothered by the sound. There was one comment on the results of the above-‐ mentioned FIEC and FIW survey that said that while the resident was in favor of the project, he or she wished for less of a “torpedo” approach. A number of the comments expressed a desire to have received more information beforehand, and some of the residents near the turbines miss the quiet of the islands. According to Sally Wylie, a member of the FIWN, “there is also a question as to whether there is any electrical savings at all. Due to the drop in electricity prices on the mainland, chances are excellent that the islanders could be buying their electricity off of the grid for less than they pay with the
8 wind turbines” (email). Furthermore, there have been concerns over diminished property values of houses near turbines (Survey Comments). There are also medical concerns about the effect of the noise on health, and environmental concerns about the turbines’ effects on wildlife, especially bald eagles (Urquhart). Here is part of one of Sally Wylie’s emails; she lives near the wind turbines: “The Vinalhaven wind project leaves the unanswered question of who is responsible for the damage that has been done? For instance, our retirement finances and plans have gone up in smoke as we try and figure out how we can afford to sell our home (if anyone will buy it) at a 20 to 40% loss, and start all over again in our 60's. For those of us who trusted what we were told and happened to have properties near the wind turbine site, the consequences of FIW's irresponsible decision to site the wind turbines too close to homes has been disastrous. Unbelievably, it seems FIW and some members of the FIEC believe that it is all right to sacrifice the lives of the minority in order to provide for the majority (in this case with what they believe to be lower electrical rates). We have no idea how our situation will all be resolved, but we do know that at this stage, FIW has not turned down the turbines once without the insistence of the DEP. Their rhetoric professes that they are eager to be "good neighbors," but their track record tells a very different story.”
V.
Noise Debate
There are two main reasons that this project has raised a great deal of debate about the extent of actual noise impacts on the Vinalhaven residents. First, there are no international standards detailing acceptable noise levels for wind turbines, in large part due to the novelty of such projects. Each country or state has set its own standards for noise levels. According to the FIWN, Maine’s noise standards have been in place since the 1970s, long before wind turbines were running in the state. Furthermore, even with standards in place, the wind turbines’ sounds affects people differently – whether or not the noise bothers someone is largely subjective. This can be due to personal preferences, or to location. According to Primer for Addressing Wind Turbines Noise, found on the Maine government’s website, “the amounts of annoyance that wind turbine noise is likely to cause can be related to other ambient noises.” In the case of Vinalhaven, the turbines are located in an area that had been relatively quiet. The Primer also noted that the World Health Organization recommends that ambient noise levels be below 35 dB for optimum sleeping conditions.” This recommendation is important because results of a Dutch study on wind turbines noise have found that noise from a wind energy facility becomes more noticeable at night. Furthermore, “intermittent peaks of 45dB occurring more than 40 times per night…will disturb most people’s sleep” (Alberts). Last, in an email, Sally Wylie stated that “the relatively small size of the wind farm site made it so the turbines had to be installed in a triangular figuration which makes the turbines downwind of each other and increases the noise.” Second, in the case of the Fox Islands Wind Project, there has been debate about the accuracy of one of the sound studies and some of the measurements taken to record noise levels. In regard to the former, the fairness of the one of the sound experiments run by the FIW has been debated. The purpose of the sound experiment was to obtain subjective responses from residents living near the wind energy facility to the turbines’ noises. The FIWN reports that only two of the wind turbines were actually running for most of the time period of the study, and not everyone had received data colleting sheets by the purported start date of the study (FIWN).
9 The accuracy of the various noise measurements taken near the wind turbines has also been contested. Each side is claiming their results are accurate, and that the other sides’ results are wrong. In the case of the FIWN, some of the neighbors living near the turbines have been taking their own noise measurements. According to the Boston Globe, Lindgren, one of the neighbors living near the turbines, has measured sound levels using his own equipment on a biweekly basis, and claims he has recorded sound measurements up to 49 dBA.xxxvii However, the FIW has continued to publicly state that the turbines are operating in compliance with Maine’s standards. “It’s very frustrating,’’ said Baker, a Harvard Business School professor. “We are absolutely in compliance.’’ Also, according to Charles Farrington who is FIEC’s general manager, “The project is working out great. We’ve had measuring equipment up there since the beginning” (MacQuarrie). Maine’s Department of Environmental Protection (DEP) also conducted sound studies in response to complaints that the FIW was violating noise state noise standards. “A report filed by Warren Brown of Enrad, a consultant hired by Maine’s DEP to conduct sound studies, states that the nighttime sound levels were as high as 48 decibels for seven-‐ to ten-‐minute intervals at an abutting property and that the intervals of higher sound were repeated. Brown further noted that the wind speed measurements taken by the consultant for Fox Island Wind in 2008 did not supply adequate data to determine an accurate wind speed correlated to sound levels. This data was taken from an instrument placed higher in elevation than the Maine Department of Environmental Protection requires and was recorded in an area obstructed by a building and a tree, according to Brown's report to the Maine DEP.”xxxviii In response to the Brown’s report, “Baker said the FIW consultant corrected the data for ambient noise in the trees, whereas he said it was likely that the data used by the Maine DEP was not corrected for ambient noise. Correcting data for interfering variables, like ambient noise, is a standard analytical approach in working with scientific data, but it is not the only accepted approach” (Parrish). In summary, there are no clear and accepted standards when it comes to measuring noise levels and determining what is acceptable. In addition, what is disturbing when it comes to noise is highly subjective and highly dependent on the level and type of noise people are accustomed to hearing. What is acceptable to those in an urban environment is not likely to be acceptable to people in a rural environment.
VI.
What is being done now
As referenced above, a number of residents bothered by the turbines’ noise documented sound levels to find out if the facility was violating the above-‐mentioned state noise standards. According to the FIWN, sound levels did violate Maine’s noise standards. In July 2010, some of the islanders living near the turbines filed a noise complaint. After reviewing the case, Maine’s Department of Environmental Protection agreed with the FIWN and found that the turbines had exceeded noise standards. In November of 2010, the “Maine Department of Environmental Protection requested that Fox Islands Wind, LLC submit a revised protocol for the operation of its community-‐owned wind project on Vinalhaven…..The immediate step in this process is for FIW to submit a revised protocol for the DEP’s review and approval by January 23, 2011.”xxxix In a press release, Cheryl Lindgren, one of the affected neighbors who led the formation of Fox Islands Wind Neighbors said the department’s move was welcome, if a long time in the making.”xl In response to Maine’s Department of Environmental Protection decision, Fox Islands Wind stated:
10 “The Coop and FIW disagree with the method used by the DEP’s sound consultant in this analysis but welcome the Department’s effort to finally resolve this issue for everyone involved. We want to be good neighbors, successfully address the concerns during these conditions, and bring this matter to a conclusion. In accordance with its request, a draft of the revised protocol was submitted to the DEP on December 3.”xli Fox Islands Wind has promised to continue working with residents to mitigate noise issues. Early in 2010, one of the turbines was operating at reduced capacity to meet sound regulations (Cartwright). According to Dr. Baker, the turbines are currently operating under Reduced Noise Operations from 7 p.m. to 7 a.m. In spite of this, Dr. Baker has stated that the turbines’ capacity factor is above projections.
Power Production
9
Figure 2: From Suzanne Pude’s Presentation at the Manomet Conference Also, as referenced above, Fox Islands Wind has conducted a couple of surveys to understand the subjective noise responses of residents living within one mile of the turbines.xlii However, the FIW and Dr. Baker have stated that if wind energy production decreases in order to lower noise levels, then other rate-‐payers on the islands may lose savings on their electricity bills (Zeller). "We will absolutely comply with state laws," said Baker. "If it comes to needing to turn the turbines down, we will do that. I hope that doesn't happen. It will cost electric rate payers a lot of money if we do." (Parrish) In addition to local changes, the Fox Islands Wind Project has caused others to reevaluate their approach to wind energy, the siting of wind energy facilities, and current noise standards. “Some towns in Maine are enacting ordinances requiring a mile between turbines and homes.”xliii There was also a bill proposed in the Maine Legislature to “amend current noise standards to include low frequency sounds,” but it is unclear what the status of this bill is (Turkel). Hannah Pingree, who is no longer in the Maine
11 State Legislature due to term limits, has publicly stated that Maine’s current noise level standards are inadequate.xliv Futhermore, Pinagree said that “Wind power was exciting. I think legislators had a sense we wanted to be bold and have the state be a real leader in this area — they may not have known how many turbines or the challenges of siting that many turbines” (Schalit). The Harvard Business School case study listed some key considerations made by Dr. Baker in regards to future wind energy generation projects. These included: a. b. c. d.
“With concerns around noise pollution, the site radius would likely need to be increased substantially in future projects. Property devaluation was another real concern.” The large turbines are in high demand, and there are long waiting lists for them. Would it be better to use a few large turbines and wait for them, or should a greater number of smaller turbines be used instead? Could wind energy succeed in another island community where residents have to first be persuaded that wind energy is a good idea? What public policy conditions and energy costs are necessary to make wind energy projects economically feasible?
What FIWN has said they expect in 2011: “Cooperation. We hope that in 2011, DEP will levy sanctions on Fox Island Wind: turn the turbines off at night or down so that the 45dBA level is never exceeded. With the continued leverage of DEP findings, it is possible that FIW will finally cooperate with neighbors and cease expensive plans that have no result other than deny the facts and to delay compliance. We hope for transparency: free access to real time noise level and meteorological data from the wind turbines, and for access to complete information from FIEC and FIW as to the financial arrangements of the turbines. A year from now, we hope the Maine legislature and Governor’s Office will be more educated about the plight of Vinalhaven neighbors who, through no fault of our own, have been saddled with the enormous financial and physical cost of proving non-‐compliance. Perhaps the new year will bring a weekly report showing that Fox Islands Wind has been fully in compliance over the past week, saving us the cost and effort to monitor turbine noise ourselves. Finally, we hope that the board of directors of FIEC will form independent judgments about the facts and finally talk honestly with us.” (FIWN website)
VII.
Food for Thought
a. What should outsiders learn from this case? If the United States as a whole, and individual states separately, are planning to invest in renewable energy projects for environmental, cost, and energy independence reasons, then standards and regulation needs to be in place prior to construction of these facilities. If something goes wrong with a wind energy project, then it makes wind energy as a whole unpopular. According to Ms. Sally Wylie, members of the FIWN have “learned that across the US setbacks and noise regulations for wind turbines are completely inadequate. Individuals have lost their life's savings as their property values have plummeted. Some families have been forced to abandon their homes. On Vinalhaven, several homeowners were bought out because the turbines were so close to their
12 properties that it would have been impossible to live there. If we knew what we know now, we would have fought the FIW project and made sure that it was not built on a site that is too close to homes.” b. What was handled well? Dr. George Baker and the Island Institute were very effective in obtaining the public, financial, and political support needed to get the project up and running in a short period of time. According to the HBS case study, Dr. Baker was “anxious to proceed quickly lest public support wane.” In fact, Dr. Baker and EOS Ventures, a firm dealing in construction services for renewable energy projects, was also able to persuade GE to deliver the wind turbines “far sooner than the waiting list suggested” (HBS case study). Dr. Baker was also successful in deflecting negative press prior to completion of the project. “Before the [Coop members] vote [on the wind project], Baker had avoided making announcements about the project off the islands. “There are a bunch of anti-‐wind people in Maine, and we didn’t want to fire them up,” Baker said’ (HBS case study). c. What was not handled so well? 1. There is a great deal of information about noise problems from wind turbines available, but in the project’s planning stages, this issue does not seemed to have received a great deal of thorough attention. The HBS case study notes that very few of the islanders expressed noise concerns prior to completion of the project. 2. Some of the residents feel that the FIW and the FIEC marginalized their noise concerns.
d. Questions raised by this project. 1. What can and should be done ahead of construction to address noise issues? 2. What is an adequate buffer zone between residents and turbines? 3. How should noise be monitored post-‐construction, and are there contingent agreements that can be negotiated ahead of construction, for mitigation actions? 4. Is there any successful strategy for compensating people affected by the noise? 5. Assuming there is a measurable financial cost to minimizing or eliminating “collateral damage,” should this cost be built into initial projections? i
Vinalhaven Wind Project. Natural Resources Counsel of Maine. http://www.nrcm.org/Vinalhaven_wind.asp Conkling, Micah. Construction to Start on Fox Islands Wind Project. The Working Waterfront. Published by the Island Institute. June 3, 2009. http://www.workingwaterfront.com/articles/Construction-‐to-‐start-‐on-‐Fox-‐Islands-‐ wind-‐project/13163/ iii The Fox Islands Wind Project: Leading the Way on U.S. Coastal Wind Power. Fox Island Wind Project Fact Sheet. http://www.foxislandswind.com/pdf/FIWFactSheet111609.pdf iv Lassiter III, et al. The Fox Islands Wind Project. Harvard Business School. Rev: September 8, 2010. v Table DP-‐1. Profile of General Demographic Characteristics: 2000. Geographic Area: Vinalhaven town, Knox County, Maine. U.S. Bureau of the Census, Census 2000. http://censtats.census.gov/data/ME/0602301379130.pdf vi Table DP-‐1. Profile of General Demographic Characteristics: 2000. Geographic Area: North Haven town, Knox County, Maine. U.S. Bureau of the Census, Census 2000. http://censtats.census.gov/data/ME/0602301351620.pdf vii Gallant, Frank K. A Good Job for Vinalhaven. Fox Islands Electric. Rural Electrification Magazine October 1983. http://www.foxislands.net/aboutfie.htm ii
13 viii
F.A.Q. –Frequently Asked Questions. How Expensive is Electricity on the Fox Islands and How Does that Compare with the National Average? Fox Islands Electric. http://www.foxislands.net/windpower/faq.htm ix Urquhart, Thomas. Mighty Wind on Vinalhaven. DownEast.com. December 2009. http://www.downeast.com/magazine/2009/december/mighty-‐wind-‐vinalhaven x Project Background. Fox Islands Wind Project. http://www.foxislandswind.com/background.html xi What’s New. Island Institute. Home. http://www.islandinstitute.org/ xii Biography. George P. Baker. Senior Lecturer of Business Administration. Harvard Business School ;Faculty and Research. http://drfd.hbs.edu/fit/public/facultyInfo.do?facInfo=bio&facEmId=gbaker xiii Renewable Energy: Community Wind – Lessons & Opportunities – Sustainable Islands Living Conference 2009. Presenters: George Baker, vice-‐president of Maine Community Wind, Island Institute; Suzanne Pude, director of Maine Community Wind, Island Institute. Island Institute. Multimedia. http://www.islandinstitute.org/audio/Renewable-‐Energy-‐Community-‐Wind-‐%93-‐Lessons-‐and-‐ Opportunities/13798/ xiv Leadership. Diversified Communications. http://www.divcom.com/leadership.htm xv Goldfine, Rebecca. Power Play: Inventive financing and an ambitious scope make the Fox Islands wind project a model for other communities. Mainebiz Online. September 6, 2010. http://www.mainebiz.biz/news46823.html xvi Barnes, James D. and Wood, Eric W. Fox Islands Wind Power Project Vinalhaven Island, Maine. Acentech Report No. 0393. May 2009. Submitted by Acentech Incorporated. http://www.maine.gov/dep/ftp/Rufus%20Brown%20Exhibits/Exhibit%2030.pdf xvii Briefing Materials. Governor’s task Force on Wind Power. State of Maine. Maine.gov. http://www.maine.gov/doc/mfs/windpower/briefing_material.shtml xviii Alberts, Daniel J. Primer for Addressing Wind Turbine Noise. Revised October 2006. Lawrence Technological University. http://www.maine.gov/doc/mfs/windpower/pubs/pdf/AddressingWindTurbineNoise.pdf xix Wylie, Sally. Opinion: Hard Lessons from the Fox Islands Wind Project. The Working Waterfront. December 8, 2009. http://www.workingwaterfront.com/online-‐exclusives/Opinion/13571/ xx Draft: Guidebook for the Maine Model Wind Energy Facility Ordinance. Maine State Planning Office. February 5, 2010. http://www.maine.gov/spo/landuse/docs/draft_windenergyfacilityorgguidebook_feb2010.pdf xxi Simmons, Mathew R. Fox Islands Wind LLC. America’s First Offshore Wind Project. November 17, 2009. Vinalhaven, ME. http://www.oceanenergy.org/matthew_simmons_papers/2009/Fox%20Island.pdf xxii Search Results. Bangor Daily News. January 24, 2010. http://www.bangordailynews.com/browse.html?search_filter=fox+islands+wind xxiii Zeller Jr., Tom. For Those Near, the Miserable Hum of Clean Energy. The New York Times. Global Edition. Energy & Environment. October 5, 2010. http://www.nytimes.com/2010/10/06/business/energy-‐ environment/06noise.html xxiv May 2010 Member Survey Results. Fox Islands Wind Project. http://www.foxislandswind.com/surveyresults_072010.html xxv Waterman, Melissa. Vinalhaven Celebrates Fox islands wind Turbines. November 19, 2009. The Free Press. http://www.freepressonline.com/main.asp?SectionID=52&SubSectionID=78&ArticleID=3980 xxvi Pude, Suzanne. Fox Islands Wind: A Community Case Study. Social Challenge of Wind Energy. November 9, 2010. Manomet Conference on the Social Challenges of Wind Energy. Slide Show. http://www.manomet.org/sites/manomet.org/files/Pude.pdf xxvii Maine Revised Statute Title 35-‐A. Chapter 34: The Maine Wind Energy Act. http://www.mainelegislature.org/legis/statutes/35-‐a/title35-‐Ach34.pdf xxviii Schalit, Naomi. Some who Created Wind Power Fast Track Now Questioning the Goals they Set. Bangor Daily News. August 9, 2010. http://www.bangordailynews.com/detail/150961.html xxix Update on the Fox Islands Wind Project. October 7, 2010. http://www.foxislandswind.com/pdf/October2010FIECWindPowerUpdate.pdf xxx Update on the Fox Islands Wind Project. December 7, 2010. http://www.foxislandswind.com/pdf/December2010FIECWindPowerUpdate.pdf
14 xxxi
Fox Islands Electric Cooperative May 2010 Member Survey. Comments in Response to Question #13. Any other comments or any thoughts you would like to share on the Project in general and/or sound issues? http://www.foxislandswind.com/pdf/2010FIECSurvey_Comments.pdf xxxii Du Houx, Ramona. Fox Islands Cooperative – a Model for Community Wind. Maine Insights. January 3, 2010. http://maineinsights.com/perma/fox-‐islands-‐electric-‐cooperative-‐%E2%80%94-‐a-‐model-‐for-‐community-‐wind xxxiii State of Maine to Wind Turbine Farm on Vinalhaven: Turn Down the Noise -‐ Neighbors of Wind Turbine Farm Stand Their Ground. November 29, 2010. http://www.fiwn.org/vhnews/dep_finds_violation.html xxxiv Technology Fact Sheet-‐ Sound and Wind Energy. New York Power Authority. August 2010. http://www.nypa.gov/NYPAwindpower/ProjectTechnologySheets/NYPA_GLOW_TechFacts_SoundAug2010FINAL.p df xxxv Frequently Asked Questions. Why are the wind turbines on Samso, Denmark so much quieter than on Vinalhaven? Fox Islands Wind Neighbors. http://www.fiwn.org/ xxxvi Cartwright, Steve. DEP Questions Fox Island Wind’s Noise Study. Fishermen’s Voice. March 2010. Volume 15, No. 3. http://www.fishermensvoice.com/0310depQuestionsFoxIsland.html xxxvii MacQuarrie, Brian. Maine Wind Farm Not Soothing to All Ears. The Boston Globe. August 30, 2010. http://www.boston.com/news/science/articles/2010/08/30/maine_wind_farm_not_soothing_to_all_ears/ xxxviii Parrish, Christine. Fox Islands Wind Turbines Exceed Legal Sound Levels, Says DEP. The Free Press. September 16, 2010. http://freepressonline.com/main.asp?SectionID=52&SubSectionID=78&ArticleID=8903 xxxix News Release. Fox Islands Electric Cooperative Responds to Maine Department of Environmental Protection. November 24, 2010. http://www.foxislandswind.com/pdf/2010FIECNewsRelease11-‐24-‐10Final.pdf xl Zeller Jr., Tom. Maine Officials Say Turbines are Too Loud. The New York Times. Environment. Green: A Blog about Energy and the Environment. December 1, 2010. http://green.blogs.nytimes.com/2010/12/01/maine-‐ officials-‐say-‐turbines-‐are-‐too-‐loud/?emc=eta1 xli Update on the Fox Islands Wind Project. December 7, 2010. http://www.foxislandswind.com/pdf/December2010FIECWindPowerUpdate.pdf xlii Recent News. Fox Islands Wind Project. http://www.foxislandswind.com/ xliii Turkel, Tux. Turbines Turn into Headache for Vinalhaven. Portland Press Herald. Maine Sunday Telegram. January 24, 2010. http://www.fiwn.org/resources/Turkel%20Article%20in%20Press%20herald%20-‐%2001-‐24-‐ 2010.pdf xliv Proposed Spruce Mountain Wind Project. Friends of Spruce Mountain. http://friendsofsprucemountain.com/