Microsoft inks a power purchase agreement with RES America for the purchase of 100% output of the Keechi Wind Power project in Texas.
Microsoft, a huge consumer of energy, commits to going green and supporting the efforts towards development of renewables backing the 110-megawatt Keechi project through a power purchase agreement. Susan Reilly, CEO and president of Res America, the project developer, said that without said agreement the project would not have happened.
Microsoft is actually financing the purchase of the Keechi wind power through a mechanism called internal carbon fee. This means that every time a division of Microsoft causes carbon emissions, it will have to pay an offset fee. With this mechanism the company sets a goal for itself of having a zero carbon footprint throughout its direct operations – office buildings, air travel, software development, and data centers. This scheme has started July this year.
This scheme can’t directly be called investing in wind power, but as mentioned by Susan Reilly of RES America, the Keechi project won’t have happened without it. The Keechi project is planned to be located 70 miles northwest of Fort Worth, Texas, near the lode of Fort Worth- Dallas making the price of power generated very attractive. The construction of the plant will start before the end of 2013, hence it still qualifies for the production tax credit. Full operation is projected for 2015.