Dover, DE In Support of Contract to Construct Wind Energy Turbines
Status: Adopted on 1/28/08
Vote: Unanimous (one member absent)
Council Resolution Number 2008-02
CITY OF DOVER'S SUPPORT FOR ENTRY OF POWER SUPPLY CONTRACT WITH BLUEWATER WIND
WHEREAS, the Electric Utility Retail Customer Supply Act of 2006 required Delmarva Power to seek new, Delaware based power generation, to assist in providing stable prices and a reliable energy source to Delmarva's customers; and
WHEREAS, in compliance with that legislation State Agencies issued a Request for Proposals and received proposals from three different companies, each offering different means of generating power; and
WHEREAS, one of the responses to that Request for Proposals was submitted by Bluewater Wind for the construction of offshore wind turbines to provide a renewable, reliable, Delaware-based energy source; and
WHEREAS, after significant public input, research and review, on May 22, 2007, the Public Service Commission, Delaware Department of Natural Resources and Environmental Control, the Office of the Controller General, and the Office of Management and Budget determined that Delmarva should enter into negotiations with Bluewater Wind to construct an offshore windfarm to meet Delaware's power supply needs now and in the long-term; and
WHEREAS, on April 27, 2007, the Delaware Municipal Electric Corporation ("DEMEC") and Bluewater Wind entered into a Memorandum of Understanding ("MOU") for the purchase by DEMEC of electrical power produced by the Bluewater Wind Project; and
WHEREAS, the City of Dover is a member of DEMEC and the citizens of Dover will benefit greatly from the Bluewater Wind Project; and
WHEREAS, since that time Bluewater Wind and Delmarva have been in negotiations for Bluewater Wind to supply power to Delmarva's customers; and
WHEREAS, Bluewater Wind has taken numerous steps to address concerns raised regarding the construction and operation of the windfarm, including re-working their pricing structure to significantly lower the cost increases and to establishing significant penalties to Bluewater Wind if they do not perform as promised; and
WHEREAS, a contract between Delmarva and Bluewater Wind has been drafted and presented to the Public Service Commission, Delaware Department of Natural Resources and Environmental Control, the Office of the Controller General, and the Office of Management and Budget for their approval; and
WHEREAS, the Public Service Commission Staff have given the contract a favorable review; Draft Council Resolution No. 2008-02 City of Dover's Support for Entry of Power Supply Contract with Bluewater Wind; and
WHEREAS, on December 18, 2007, the Public Service Commission, Delaware Department of Natural Resources and Environmental Control, the Office of the Controller General, and the Office of Management and Budget met to consider the terms of the contract but instead decided to postpone the vote; and
WHEREAS, the Bluewater Wind Project will provide a substantial, additional source of power for DEMEC's member municipalities, including the City of Dover, that is easily accessed, reliable, and price-stable, and that offers certain credits and offsets because of its renewability; and
WHEREAS, having a Delaware-based wind farm will establish the State of Delaware as a leader in providing renewable power to its citizens; and
WHEREAS, the construction and operation of a project of this size will provide significant economic development benefits to Delaware; and
WHEREAS, there has been enough study of this matter and it is time for action on behalf of Delaware's citizens; and
NOW, THEREFORE, BE IT RESOLVED BY THE MAYOR AND COUNCIL OF THE CITY OF DOVER:
1. That the City of Dover supports the proposed contract between Bluewater Wind and Delmarva, as it will provide the citizens of Delaware with clean renewable, Delaware-based energy supply and make Delaware a leader in providing renewable energy sources.
2. That the City of Dover urges the Public Service Commission, Delaware Department of Natural Resources and Environmental Control, the Office of the Controller General, and the Office of Management and Budget to vote to approve the contract presented by Delmarva and Bluewater Wind as quickly as possible.
3. That such approval will enable DEMEC and its member municipalities, including the City of Dover, to move forward with the MOU with Bluewater Wind for the purchase of renewable wind power.