September - October 2010

Tipping Point

Incentives and sustainability drive demand for small wind turbines.

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Adobe Systems Inc. didn’t expect a media frenzy when it announced a new wind energy installation at their San Jose, CA, headquarters. Nonetheless, hundreds, maybe thousands of stories about the group of 20 Windspire turbines have appeared worldwide, and the once-small market for business-sited wind turbines doesn’t look to be small anymore.

Actually, the small wind industry was at the tipping point. New vertical-axis designs with lower height requirements, and aesthetically pleasing products like Windspire Energy’s Windspire were already finding favor with architects and businesses looking to make a strong visual statement about their commitment to sustainability. And the financial return has improved markedly, thanks to new federal tax incentives that put small wind on equal footing with utility grade turbines and photovoltaic (PV) systems.

Moreover, there’s the fact that onsite energy is often the only option to lower utility bills when companies such as Adobe have maximized conservation and efficiency measures. At this point, Adobe is the world’s first commercial enterprise to achieve a total of four Leadership in Energy and Environmental Design (LEED) Platinum certifications, and its headquarters are the first commercial office buildings to receive the LEED-EB Platinum certification. The company estimates that it has saved $6.7 million through energy-efficient lighting, real-time water meters for landscaping, and an intelligent control system to monitor building efficiencies.

Photo: Urban Green Energy Urban Green wind turbines at Morrison’s Grocery

Such accomplishments are a tough act to follow, but according to Randall H. Knox, III, Adobe’s senior director, Global Workplace Solutions, the wind turbines have opened up new opportunities for onsite energy. “There are all kinds of technologies being developed right now, and we’re looking at various options for our San Francisco office,” says Knox. “We might try a horizontal wind turbine from Broadstar. It sits on the parapet of a building, so you capture the wind coming up and across the structure. This is all part of our company pushing ahead, and we believe that businesses have to make an investment in onsite generation and renewable energy.”

In visual terms, Adobe has certainly met its goal of showing fellow corporations that onsite generation has eye appeal well worthy of media attention. Each vertical-axis Windspire is 30 feet tall, 4 feet wide, and 650 pounds. The group stands together on a patio atop the sixth floor of parking garage, a spot originally designed as a rooftop garden and recreation space. They are nearly silent and vibration-free, and Knox notes with pride that Adobe’s employees enjoy the overall effect as winds from the Pacific Ocean funnel through Adobe’s three office towers to spin the turbines.

At 1.2 kW of output per unit, each Windspire could produce approximately 2,000 kWh per year if the wind conditions sustain an average speed 12 mph. With all 20 turbines humming, the total output isn’t enough to justify net metering, so the power goes towards reducing Adobe’s daily electrical load of 3 MW. It’s not exactly a staggering impact on that 3-MW demand, but according to Amy Berry, marketing director at Windspire Energy, Reno, NV, generating up to 40,000 kWh of electricity still has a great impact.

“We’ve heard people say it’s only 2% of their energy consumption, but, when you’re looking at a company of that size, it’s significant,” says Berry. “Adobe is a leader in green facilities, and they’ve done an incredible job of minimizing their energy consumption. And now they decided to look at onsite renewable energy, but they didn’t have the real estate for solar. If you’re a green company like Adobe, it’s hard to find a better visual statement than putting wind turbines right on your grounds.”

Making a visual statement for that was an equally strong factor for Quinnipiac University’s York Hill Campus, Hamden, CT. In this case, 25 Windspire turbines were grouped alongside a main walkway between a parking garage and student center. Brian Krafjack an associate architect with Centerbrook Architects and Planners, Centerbrook, CT, headed up the wind turbine search for the project and says the Windspire’s design made it the ideal choice for the college.

 “This turbine is generally a 20 feet tall, and half of that height is the pole, but you can use extensions to reach a height of up to 40 feet,” explains Krafjack. “The goal was to create an environment that was more like a sculptural piece for students as they walk through this terrace to get from the parking lot to the dorms and other parts the campus. The motion of the turbines is very relaxing, so now we have a kinetic sculpture, and we are adding seating so it can become a
gathering spot.”

As with Adobe, electricity from the turbines will be consumed onsite, with the intention of powering 50% of the exterior lights on the 250-acre campus. According to Joseph Rubertone, associate vice president for facilities administration at Quinnipiac, the location for the turbines doesn’t offer the highest wind speed, but other factors were considered.

Photo: Kurt Holtz, Lucid Dream Production One of four Model 712v AeroSolar Hybrids atop the US Social Security Building in Chicago

“We used an anemometer to measure the wind for about 10 months, and the average was a 9.4-mph wind speed,” says Rubertone. “That’s good, but not good enough for qualifying for the Connecticut clean energy grant, because they require an average wind of 12 miles an hour. But, even without that, the university decided to proceed with the demonstration project, and we’re anticipating that they’ll generate about 32,000 kilowatt-hours per year.”

The Windspire’s 1.2-kW output lends itself to multiple unit installations, but many other manufacturers are offering higher output designs that generate from 3 to 50 kW or more, from a single turbine. Best Buy Inc., a major retailer with stores nationwide, installed two vertical axis turbines at a store in Needham Prairie, MN, “The site was chosen because it’s close to their corporate headquarters and allows access for the executives and visitors,” explains Howard Makler, founder and president of WePOWER, the Aliso Viejo, CA-based manufacturer of the 1.2-kW, and 3.4-kW Falcon turbines. “Best Buy is a great example, and we will be installing turbines at four of their stores in California and Illinois. The first location created a lot of internal buzz, and many customers commented on the esthetics of the turbine, as well as just a general interest in wind turbines, and the fact they can operate in their community.”

WePOWER could benefit further from community interest in New Lenox Village, IL, where Village officials are closely watching a test of a 5.5-kW Falcon for installation at Prairie Ridge Estates, a new housing subdivision under construction. The Village would have to adopt new ordinances allowing wind turbines, and complicated height restrictions are a common factor in such ordinances, but vertical-axis turbines have some advantages.

“When you’re talking about an urban application where it’s on a street, height issues become significant,” says Mackler. “Horizontal axis turbines are typically 80 to 100 feet tall, but our standard pole is 18 feet, and we offer a 30- and 50-foot option. Even our largest turbine on an 18-foot pole can meet a 35-foot restriction.”

Considering that billboards are often taller than 35 feet, such heights shouldn’t be a problem, but Mackler notes a common lament from wind turbine proponents. “There’s no consistency with restrictions throughout the US, and you’ll find a wide variety of permitting fees. So some municipalities make it very affordable to encourage the renewable energy, while others have gone in the opposite direction.” Mackler estimates that Prairie will spend less than $40,000 for the turbine and installation, but state and utility incentives could offset that figure by as much as $23,000.

One of the most significant contributors to those incentives is the Small Wind Systems Tax Credit, a federal-level investment tax credit (ITC) now available to help consumers purchase small wind turbines for home, farm, or business use. Owners of small wind systems with 100 kW of capacity or less can receive a credit for 30% of the total installed cost of the system. The ITC, written into law through the Emergency Economic Stabilization Act of 2008, is available for equipment installed from October 3, 2008 through December 31, 2016. The value of the credit is now uncapped, through the American Recovery and Reinvestment Act of 2009.

Beyond the utility and government incentives, there is another method of cost reduction waiting in the wings—advertising. WePOWER and other manufacturers are touting the fact that their turbine blades can accommodate advertising messages, or provide onsite power to billboards or outdoor television/projection screens. In March, Japanese copy machine manufacturer Ricoh, debuted a wind- and solar-powered outdoor screen in the New York City, NY, Times Square. The device at 42nd and 7th Ave. uses 16 WePOWER Falcons and 64 solar panels, and is expected to save about $12,000 to $15,000 in monthly electricity bills.

WePOWER, calls the concept, “windvertising,” and markets the method directly to businesses and outdoor media companies. The idea has taken root in an offbeat fashion by the Prairie Sun Bank in Milan, MN. Erick Thompson, chairman of the bank, had his plans for a 20-kW turbine approved as an advertising expense by the Minnesota Commerce Department. The bank’s motto is “powering the renewal of our communities,” and the Commerce Department agreed, comparing the turbine to something more like a time and temperature sign, rather than a business venture.

Boosting turbine sales with the benefits of advertising and corporate branding make sense as a high priority for Helix Wind Corp. According to Ian Gardner, CEO of the San Diego, CA-based manufacturer of vertical axis turbines, businesses are more than ready for onsite wind turbines, and advertising makes for a compelling financial argument.

Photo: Kurt Holtz, Lucid Dream Productions New turbine designs open up options for onsite power.

“There’s a huge groundswell from all sectors of the marketplace, and what you’re seeing is a real push for the product on the consumer side,” says Gardner. “Corporations and individuals are getting creative as to how they want to use these technologies, and you can expect us to offer marketing opportunities with the integration of advertising and branding, such as a logo or message on our products.” Aesthetics are another factor in the Helix strategy, and Gardner notes that the turbines are designed with architectural values intended to enhance locations such as hotels, hospitals, offices, and residential complexes.

When it comes to aesthetics, businesses have a wide variety of options. The Pepsico/Quaker Oats Sustainability Center in Chicago, IL, made a highly visible design statement with four, 1-kW Aeroturbines from Aerotecture International Inc., Chicago. Each vertical-axis machine is combined with a 700-W solar electric array for a total of 1.7 kW per unit.

Multinational corporation SC Johnson recently launched a wind energy pilot program at their headquarters in Racine, WI. The installation consists of three, Swift Turbines, manufactured by Cascade Engineering, of Grand Rapids, MI. The horizontal-axis turbines have a uniquely designed five-bladed propeller that features a ring attached to the blade tips. Power at peak production is rated at 1.5 kW, and the annual energy production would be approximately 1,200 kWh if annual wind averages hit 11.2 mph, or 1,900 kWh with a 13.4-mph annual wind average.

A group of six Swift Turbines found their way to the rooftop of the Frauenthal Center for the Performing Arts in Grand Rapids. Michigan Governor Jennifer Granholm appeared at the launch of the project to tout the turbines as an example of alternative energy products produced in Michigan and well positioned to boost the state’s economic future. The turbines make quite a visual impact on the building, but there are some buildings and landmarks that could be sensitive to mixing modern technology with historic design. In such cases, the Fuller Wind Turbine System offers an interesting alternative.

In January of 2010, another company with a shroud on its turbine, Geneseo, NY-based WindTamer Corporation, announced completion of a an installation at the Perry-Warsaw Airport, a public general aviation airport located 3 miles northwest of the village of Perry in Wyoming County, NY. The choice of a WindTamer turbine is significant because it required Federal Aviation Administration (FAA) approval. WindTamer and the airport had to demonstrate that the turbine would not interfere with radar and radio signals, affect wildlife, or otherwise impact the operation of the airport or the surrounding community. It could be start of a lucrative market for Windtamer, because the Airport Planning & Environmental Division of the FAA recently launched a pilot program to develop ways to reduce energy consumption and encourage reduction of greenhouse gasses. WindTamers turbines have an advantage with airports because they are less than 40 feet high.

Ken Visser, Ph.D., from the Department of Mechanical and Aeronautical Engineering of Clarkson University, Postsdam, NY, evaluated the performance of two WindTamer rotor configurations and confirmed that the designs have an efficiency (or power coefficient) of over twice that of small turbines on the market today and can exceed the theoretical 59.3% limit (Betz’ limit) of extracting power from the wind.

Such performance achievements are another factor driving the decision of businesses to adopt wind power, but they’re also raising the bar for staying competitive in the industry.

Longevity helps, and played a role in the $10-million boost Southwest Windpower in Flagstaff, AZ, received from GE Energy Financial Services, Altira, Rockport Capital Partners, NGP Energy Technology Partners, and Chevron Technology Ventures. Kevin Skillern, managing director and leader of venture capital at GE Energy Financial Services, issued a statement saying, “In many applications, Southwest Windpower offers the most economic distributed renewable generation technology, and GE is helping the company accelerate adoption of that technology.”

Southwest has sold more than 140,000 turbines since it began manufacturing in 1987, and GE expects much of the company’s growth to center on the Skystream, 2.4-kW wind generator’s growth in both residential and commercial applications, such as parking lots, highway light poles, and other municipal structures. “I think there are a lot of new advances in technology and distributed energy, so the ability to interconnect and do more with large commercial buildings makes opportunities readily available,” says Miriam Robbins, director of marketing at Southwest. “We see a lot of interest, but it’s a little different than residential because a business can have more decision-makers. Sometimes it’s a little more intense, and these projects can take six to 24 months, so it’s a longer program and scenario.”

One sector that represents a good market for their products is street and parking lot lighting. Southwest currently has a retrofit in progress at a large retail establishment in Palmdale, CA. Robbins notes that Southwest has a number of projects in development from communities that are looking at options such as installing turbines on street and walkway posts.

The community lighting market has also attracted Urban Green Energy, a New York City-based manufacturer of vertical axis turbines. The company offers a uniquely designed solar hybrid streetlamp that incorporates a 600-W turbine, along with an 80-W PV panel. The streetlamp’s batteries can store up to five days of energy to keep the LED-based light fixture working through cloudy days. Urban Green makes a larger 4-kW unit, suited for powering business locations from a ground or rooftop mount. According to Nick Blitterswyk, founder and CEO, Urban Green was chosen by the New York City Economic Development Corp. for a pilot project to test turbines on high-rise buildings. “New York has a lot of motivation to take advantage of the winds on apartments and towers with roofs at high altitudes,” says Blitterswyk. Currently, the company keeps a status blog on the project at: www.urbangreenenergy.com/NYCEDCblog.php.

The horizontal-axis turbines manufactured by Bergey Wind Systems aren’t appropriate for rooftops, but Mike Bergey, president and founder, says the current market is still very promising for turbines. He notes that there are about 4.6 million commercial buildings in the US, with approximately 60% located in areas with “Class 2 or better winds” [11.5 to 14.3 mph].

“The business sector is growing, and we just had a bank in Illinois install one of our turbines,” says Bergey. “I don’t think a bank would have considered a wind turbine even five years ago.”

One of the best markets for Bergey turbines is remote telecom sites. For example, Smart Communications provides wireless service in the Philippines and has 68 Bergey 1-kW units at remote cell tower locations, with 41 powered only by wind, and 27 using hybrid wind/PV systems. These are sites that formally depended upon diesel generators typically operating under inefficient low loads and incurring very high fuel and maintenance costs.

“Wind and solar systems can reduce diesel runtime by 90% and operating costs by 75%,” explains Bergey. “Those conditions make it very easy to get a four to five-year payback, but telecoms are seeking a two to three year-payback, and that’s a very high hurdle.” However, if those telecoms have locations in southern California; Long Island, NY; and Oregon, Bergey says the incentives make it possible to have a payback in one to two years.

While Bergey has chosen to compete with efficiency improvements and longer warranties, other companies are looking to various technical innovations to gain market share. One such innovation is the elimination of the need for the inverter that generators use to convert their direct current (DC) output to alternate current (AC). Inverters are a costly component for the typical wind turbine, and the majority of the companies interviewed for this article aren’t satisfied with the reliability and costs of aftermarket inverters. Rather than compromise, they have turned to building or outsourcing their own inverters. The Earth Turbine 2500 from Williston, VT-based AllEarth Renewables Inc. has a different solution. It produces direct AC power from a patented direct drive gearless induction generator that doesn’t require an inverter. The turbine needs just 8 mph to begin power production, and these units have been tested in winds up to 120 mph.

Low startup speeds for power generation are another area where the technology has made great strides. For example, Blue Energy’s Solarwind double-helix, vertical-axis turbine design generates electricity in breezes as low as 4 mph. The Santa Fe, NM-based manufacturer’s turbine matches its unique looks with an equally unique technical approach, one that the company claims as the world’s first self-contained hybrid system. The turbine is literally coated with solar cells that capture sunlight from any angle.

To keep current losses to a minimum and provide secure reliable connections, the solar cells are parallel connected. Current loss from heat is another drain on solar cell efficiency, but because the Solarwind’s cells are cooled as the turbine spins, losses are minimal. As with other vertical axis turbines, the Solarwind isn’t affected by turbulent wind conditions that can adversely impact the performance of horizontal axis turbines. That advantage has led to many companies marketing their turbines as solutions for capturing turbulent wind from the edge of a building. But a new entrant to the market, Dallas, TX-based Broadstar Wind Systems may have designed the ultimate building mounted wind turbine.

“The key issue here is that in a distributed energy environment, the commercial facilities that we are targeting have a limited amount of space to generate energy, so power density is critical,” explains Steve Else, Broadstar’s president. “When we talk about conventional propeller blade technology, you have very large machines relative to their output. But we have developed a wind turbine where our efficiency is around 40%, and we think we can get even higher than that.”

The second component of the Broadstar strategy borrows from the success of the PV industry in supplying large systems. Broadstar’s goal is to sell wind in a commercial and industrial setting similar to a recurrent solar distributed energy generation system, with multiple megawatts of power from 50 to 100 turbines at a single location. “The trick was in developing a mechanism that requires a minimal amount of parts so it can be manufactured economically and allow us to compete with solar,” says Else.

The AeroCam has an 11-kW output, and Else sees the ability to market a 55-kW wind energy system as an ideal offering for dealers and national accounts. “If you look at the average commercial building in the US, it’s right around 6,000 square feet, and the national average annual energy consumption is about 77 megawatt-hours,” says Else. “So what we’ve constructed is a modular system that we can group into five to six turbines as a backbone that allows us to reach our economies
of scale.”

At this point, Broadstar is still ramping up for production, but has a demonstration site at a 1.6-million-square-foot JC Penny warehouse distribution center in Reno. Positioning on the parapet of a long flat building, such as a distribution center, or taller buildings in dense urban settings, allows the Aerocam to compete where other products would be restricted. But the design could also be used to capture the turbulent air flow between conventional utility scale wind turbines, thus offering wind farms a productivity boost by as much as 30%, according to Else.

With so many new markets opening up and existing markets now finding that wind is finally competitive with solar PV, it’s fair to say that businesses have many attractive reasons to install and benefit from distributed energy. The payback times have accelerated, and for those companies located within the 60% of the US that enjoys Class 2-or-better wind conditions, there’s a turbine for almost every situation imaginable. And if major corporations follow the pace set by Adobe Systems, small wind turbine manufacturers may find themselves working overtime to keep up with the growing demand.

Author's Bio: Writer Ed Ritchie specializes in energy, transportation, and communication technologies.