In the latest demonstration of its belief in the future of wind-produced electricity in the United States, trader NICHIMEN CORP. and its Dutch partner in this business have bought two more wind-generated power plants in California. The purchase from FLOW WIND CORP. of Tehachapi, California was made with support from the investment arm of FLORIDA POWER CORP. One of the plants is located in Tehachapi; it has a generating capacity of 60,000 kilowatt. The other, a 30,000-kilowatt facility, is in Altamont. The partners will renovate the Tehachapi plant by early 1999 and then do the same for the Altamont generating station. Including these costs, the investment by the three partners is estimated at $92.2 million. The two plants have a 17-year contract to supply electricity to SOUTHERN CALIFORNIA EDISON CO. Earlier this year, the joint venture owned by Nichimen and the Dutch company bought one of the largest power plants in this country driven by wind (see Japan-U.S. Business Report No. 342, March 1998, p. 4).
An exchange rate of ¥141=$1.00 was used in this report.