USA Today reports that oil billionaire T. Boone Pickens is placing a $2 billion bet on wind power. Pickens' Mesa Power plans to build the Pampa Wind Project in the Texas Panhandle. It will eventually cover 400,000 acres and generate enough power for more than 1.3 million homes -- making it the largest wind farm in the world.
And Pickens is helping General Electric Company (NYSE: GE) in the bargain. That's because he's buying GE turbine technology. GE is expected to deliver 667, 1.5-megawatt wind turbines in 2010 and 2011. Jeffrey Immelt, GE Chairman and CEO said, "As America's demand for energy escalates, it is clear that wind can and will play a bigger part in meeting that need. We're excited to partner with an energy visionary like T. Boone Pickens to bring our wind technology to the marketplace."
With oil hitting $127 a barrel, I hope this project is the first of many. It will take many different sources of alternative energy to reduce U.S. demand for black gold. Wind power is certainly a good alternative. And if Pickens and GE get richer in the process, that's fine by me.
Peter Cohan is president of Peter S. Cohan & Associates, a management consulting and venture capital firm. He also teaches management at Babson College and edits The Cohan Letter. He owns GE shares.
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Reader Comments (Page 1 of 1)
5-16-2008 @ 7:57PM
John brennan said...
How much does one of the wind mills cost? I have been thinking the government should be funding the self empowered USA. Energy.
5-16-2008 @ 8:45PM
Jay said...
I think this is grate, one thing we seam to have is a lot of wind. i know some land owners that would jump at chance to put up some wind mill, Keep up the good work t. bone,
5-17-2008 @ 6:48AM
Priscilla Park said...
Has someone estimated how many birds will be killed by this wind project?
5-17-2008 @ 7:41AM
larry said...
We need to keep moving in this direction ,it happened to us in the 70s and now . Its best that we are not held hostage by the middle east.and become the leader in alternitive fuel sources.
5-17-2008 @ 8:10AM
Michael Schneider said...
T Boone comments on the wind deal and wind power are available free for those interested along with Donald Trump's comments on oil prices and other items in the Spotlight section at http://www.Barrelomoney.com. It seems that wind power is the next big thing in energy- T Boone said solar was coming on right before the solar stocks took off big time so he has a pretty strong grasp of what is happening in alternative energy I think.
5-17-2008 @ 9:49AM
Michael Schneider said...
Comments by T Boone Pickens about wind power and his new project are available free in the Spotlight section at http://www.Barrelomoney.com. It seems that wind power may be the next big thing in energy. T Boone said solar energy was about to come on right before the stocks took off big time so he seems to have a grasp of what is going on in alt energy
5-20-2008 @ 8:31AM
Rob Robinson said...
I've been pushing this idea for a while. please contemplat the potential. The best way to effect fuel costs is to conserve. The best way to do that is for home depot to open a heavilly advertised new green department. Selling efficiency technology to the consumer.#1 home retailer to educate, and sell the consumer. US is 63% more wastefull than europe. No one"s stepping up to market in this market. Please get the word out. Zero downside in this idea.
5-21-2008 @ 12:40PM
Al Schrader ; said...
Well, I'm the guy who made T. Boone Pickens a tender offer for his entire company.
Wind and Solar have good intentions, but each has drawbacks.
I have technology in my garage laboratory that is worth billions and it actually works. I'll sell it to anyone interested
at a whopping discount.
Alfred H. Schrader
alfredschrader@aol.com
6-30-2008 @ 6:31PM
Philip Block said...
By the time all the transmission lines and substations are installed, it will take 50 years to break even and then all the equipment will be worn out. Fuel Cells would have been a better investment. Wind and solar power are for the suckers. They sound good, and wind turbines may just the thing to save Immelt's hide. Fuel Cells take intelligent people to understand them. And there are not to many of them around.