Duke dumps planned 500 MW wind purchase on transmission cost concerns

|About: Duke Energy Corporation (DUK)|By:, SA News Editor

Duke Energy (DUK +0.2%) has abandoned a request for proposals to purchase 500 MW of wind energy for customers in North Carolina after deciding that proposals were not attractive enough.

The purchased wind energy would have come from the Midwest, and a DUK spokesperson tells Utility Dive that a lack of transmission options may explain the lack of economically feasible proposals.

"One of the key things for Midwest wind is what kind of transmission corridors you have," says the DUK official. "We were thinking there would be better transportation methods than there are."

Because DUK included the possible purchase of 200 MW of wind energy in its integrated resource plan last year, it remains uncertain whether the utility will need to find replacement power.

DUK has been adding renewable resources to its system, transitioning away from a generation mix heavy on coal; in April, it announced its renewable energy capacity grew by nearly 20% last year.

Subscribe for full text news in your inbox