2012 Green Energy Summit & Exposition:

U.S. WIND POWER AS A DRIVER OF ECONOMIC GROWTH

March 8, 2012Jeff Anthony

Director of Business DevelopmentAmerican Wind Energy Association

American Wind Energy Association (AWEA)

AWEA is the trade association for the wind energy industry• 2,300 business members including manufacturers, developers, transportation, utilities, construction, insurers, financial community and technical support and forecasting representing 75,000 wind jobs • Develops policies and conducts analysis to support wind industry growth• Execute wind industry’s legislative agenda• Promotes wind energy through advocacy, advertising and media relations• Convenes conferences and workshops to educate the public and bring industry members together.

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U.S. Wind Resource: World Class

Wind Power: Americans “Get It”

Source: March 2010, February 2011 surveys by Public Opinion Strategies

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Utilities Are Reconsidering “Low Cost” Options

Wind Power in the U.S. Today

• Inexhaustible, domestic source of electricity – in 2010 produced as much electricity as 10 nuclear power plants

• Wind power installed 35% of all new generating capacity since 2007

• Wind energy costs continues to decline making wind energy cheaper than new nuclear or coal plants and competitive with natural gas

• Long term contracts for wind energy have no fuel cost and thus offer utilities a hedge against fuel price volatility risk

• Zero air impacts provides utilities a hedge against regulatory risks posed by environmental regulations through EPA, federal and state regulations

• Wind uses no water avoiding risk posed by other energy production and generation

U.S. Annual and Cumulative Wind Power Capacity (in megawatts, MW)

» There were 6,810 MW of wind projects installed in the

U.S. through the fourth quarter of 2011, a 30% increase over new installations in 2010.

» Total U.S. wind installations stand at 46,919 MW, with annual growth of 17% in 2011.

» 5-year average annual growth of 33% for the U.S. wind industry.

Source: AWEA Fourth Quarter 2011 Market Report

U.S. Wind Power Installations by State

Source: AWEA Fourth Quarter 2011 Market Report

» There are wind projects currently installed across 38 of the 50 U.S. states.

» Over 100 different projects were installed in 2011 ranging from a single turbine to over 400 MW in size.

» 50 different companies developed wind projects in 2011

Off-Shore Wind Power Prospects in the U.S.28 coastal states use 78% of electricity

US Population Concentration U.S. Wind ResourceU.S. Population Density

Turbine Manufacturers’ Share of 2010 U.S. Wind Power Installations

Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2010

Turbine Manufacturers with U.S. Installations by Year

Active Wind Turbine Manufacturers in 2011

Utility-Scale Wind Turbines Installed in 2011

Aeronautica Northern Power

Alstom PowerWind

Clipper Repower

Gamesa Samsung

GE Energy Sany

Goldwind Siemens

Hyundai Sinovel

Kenersys Suzlon

Mitsubishi Unison

Nordex VENSYS

Nordtank (refurbished) Vestas

Data Source: AWEA Fourth Quarter 2011 Market Report

»There were 22 wind turbine manufacturers which installed wind turbines in the U.S. in 2011.

Online & Announced Manufacturing Facilities in 2010

Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2010

Wind-Related Manufacturing Facilities Which Came On-Line in 2010

Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2010

Wind Turbine & Component Manufacturing

Domestic Content of U.S Wind Turbine Projects

2005-2006 2007-2008 2009-20100%

20%

40%

60%

80%

100%

Imported Value*

Rapid market growth in U.S. wind energy between 2005 and today triggered a surge of investment in new American manufacturing capabilities, causing a decreased need for imports and shift to domestic production.

60% Domestic Content of Wind Turbines in U.S.

Prior to 2005, domestic content of wind turbines installed in the U.S. was less than 25%. Today domestic content of wind turbines and components reached 60%:

Since 2005, manufacturers have made major investments in the U.S. with 24 new manufacturing facilities built in the last 2 years alone.

Over 400 facilities manufacture components for wind turbines today in America.

By 2009 and 2010, imports dropped to 40% of the value of a wind turbine according to the ITC data and DOE analysis, and domestic content of wind turbines reached 60%. Source: U.S. International Trade Commission (ITC)

U.S. Wind Industry Jobs by State

Source: AWEA U.S. Wind Industry Annual Market Report Year Ending 2010

Turbine Manufacturing & Supply Chain in SC

» Current manufacturing & supply chain companies in Wisconsin actively supplying the U.S. wind energy industry:

A&D Machine, Inc. Redgranite, WIABB Inc. New Berlin, WIAmerican Superconductor (AMSC) Middleton, WIApplied Plastics Oak Creek, WIAvanti Wind Systems New Berlin, WIBassett Mechanical Kaukauna, WIBladeskin (Howard Grote & Sons Inc) McFarland, WIBroadwind Towers Manitowoc, WIDonaldson Company Stevens Point, WIEnerpac Milwaukee, WILindquist Machine Corp. Green Bay, WIMAC Giddings & Lewis Fond du Lac, WIMagnetek Menomonee Falls, WIMatenaer West Bend, WIMerit Gear Antigo, WIMesser Cutting Systems Menomonee Falls, WIMilwaukee Gear Company Milwaukee, WIMilwaukee Machine Works Milwaukee, WIPlexus Neenah, WIS&C Electric Company Franklin, WIWausaukee Composites Cuba City, WIWausaukee Composites Wausaukee, WI

Why Wind Power is Threatened in Wisconsin

» PSC128 “Siting Rules” to promote fair development of wind projects in Wisconsin• Developed over 2009-2010; set to take effect 03/01/11 • State legislative committee suspended rules same day• Effectively made Wisconsin “closed for business”• Projects and jobs have left Wisconsin for other states

» State political leadership needs to act to provide investment stability

» Go to: http://www.RENEWwisconsin.org/

Why Wind Power is Threatened in U.S.

» Federal Production Tax Credit (PTC) set to expire at the end of 2012:• Provides a level playing field for wind power• Political climate in Washington, DC has prevented a timely

extension of the PTC• Manufacturing jobs are threatened this year• Investments could flow to other countries

» Federal political leadership needs to act to provide investment stability

» Go to: http://www.saveUSAwindjobs.com/

Your Questions ?

Jeff Anthony AWEA Director of Business Development

www.awea.org | 414-967-5950 | janthony@awea.org

American Wind Power:Clean. Affordable. Homegrown.