MidAmerican to invest $1.9bn to further wind energy capacity in Iowa, US

MidAmerican Energy, a US-based power company, is outlining plans to invest $1.9bn to launch wind energy projects in the US state of Iowa over the next three years.

With this investment, the company is looking to boost its wind energy portfolio by 1,050MW capacity by the end of 2015.

These projects would feature 656 new wind turbines, the company said in its statement.

MidAmerican Energy Holdings Company chairman, president and CEO Greg Abel said the company, which has strived to invest in the state, is pleased to work in collaboration with the government in this project that fosters the state’s growth and creates new jobs.

MidAmerican Energy president and CEO Bill Fehrman claimed: "The proposed wind expansion will not only add to MidAmerican Energy’s and Iowa’s position as a national leader in wind generation capacity, it will help reduce future rates to our customers by as much as $10 million per year and further enhance our corporate principle of environmental respect by reducing our carbon footprint by 10.3 percent."

The reduction in the electric rate is expected to start with $3.3m in 2015.

In addition, the state will receive tax revenues of about $360m over next 30 years.

Iowa governor Terry Branstad welcomed the expansion citing it as an opportunity to enhance renewable portfolio of the state, besides adding new jobs and providing additional economic benefits.

Iowa lieutenant governor Kim Reynolds noted: "In addition to helping boost our state and local economies, the expansion would create approximately 460 construction jobs over a two-year period and an estimated 48 permanent jobs in our state."

Meanwhile, the expansion is subject to approval by Iowa Utilities Board, following which the company’s portfolio will increase to 3,335MW in the state.

Currently, MidAmerican Energy owns and operates about 2,285MW of wind generation capacity with 1,267 installed wind turbines in Iowa.