A follow-up to yesterday's "Wind: "Google Makes First Direct Investment Into Clean Power Project" (GOOG)" upon which my first thought was
"Interesting, no? Nothing fancy. Old-fashioned technology+subsidies."From earth2tech:
On Monday Google unveiled that it’s invested $38.8 million into 169.5 MW worth of wind projects developed by NextEra Energy Resources in North Dakota. It was the search engine giants first direct investment into a wind power project and the money came out of Google Inc., in contrast to its previous investments out of its philanthropy arm Google.org. We got a chance to ask Rick Needham, Google’s green business operations manager, 10 questions about the company’s plans for the wind power project.
1). Why did Google make its first direct investment into utility-scale clean power into these particular projects?
A). We’re aiming to accelerate the deployment of renewable energy in a way that makes good business sense. These particular projects were attractive because they offered good returns for our capital, based on the risks of the projects, and allowed us to partner with experienced developers and investors. They also use turbines that take advantage of the excellent wind resources in the area and are able to use existing transmission capacity, resulting in low cost clean energy.
2). Why make this investment now, 2.5 years after you first launched RE
A). Our RE
3). Does Google plan to make more investments into clean power projects?
A). Yes, we hope to find more opportunities to invest in renewable energy projects that provide attractive returns and use the latest technologies to push the envelope for delivering low cost clean energy.
4). Google has said this is a financial investment. What kind of return is Google expecting to get?
A). We won’t disclose projected returns, but do expect to earn an attractive return as well as free up capital to enable future wind projects....MORE