In August of 2008, there were 125 companies that were squarely focused on alternative energy production globally. Of those, 41 were based in the United States – roughly a third. At the time, the value of those alternative energy companies was approximately only 25%, a figure that has waxed and waned with the turbulent global economy. However, alternative energy companies have still followed a general pattern of growth despite economic downturns.
For example, First Wind, a Massachusetts company formerly known as UPC Wind which has constructed facilities in both New England and Hawaii,, hopes to raise $450 million in an offering underwritten by Credit Suisse, Goldman Sachs, and JPMorgan. The 130-employee company has wind farms operating or in development in six states and one Canadian province. The company will be listed on the NASDAQ exchange under the symbol “WNDY.”
Wind energy is one of the fastest-growing sources of alternative energy in the United States and is expected to account for 1.8 percent of electricity production by the year 2012. The Department of Energy is examining the possibility of raising that output to 20 percent by 2030, which would require the construction of more than 300,000 megawatts of generating capacity.
However, alternative energy companies have farms that are large and unwieldy, and sometimes make for difficult negotiations with those who have interests in real estate development. Thousands of new turbines generally generate countless permitting processes and regulatory reviews. Some companies, however, such as First Wind, pride themselves as possessing the skills to both engineer the technology and handle the ensuing bureaucracy.
